Aphria and Tilray continue to inch closer to finalizing the merger that will create the largest cannabis company in the world. A deal this big has a lot of moving parts and requires a great amount of input, and both companies have been talking to shareholders this week to determine if the plan makes sense. Based on how things are developing so far, it looks like there isn’t any resistance to the planned arrangement.
Aphria held a call with shareholders at the beginning of the week, explaining that the interim order needed by the Ontario Superior Court of Justice is in place. The company has also received the regulatory approvals it needed to see the deal be completed, and the two entities have now filed a joint proxy statement ahead of another Aphria shareholder meeting scheduled for April 14 and one to be held by Tilray two days later.
Aphria Chairman and CEO Irwin D. Simon explains about the pending merger, “We are excited to advance closer towards the completion of our complementary and highly scalable strategic transaction with Tilray. On behalf of our board of directors, we recommend Aphria Shareholders vote “FOR” the resolution required to approve the business combination with Tilray. We continue to believe our combined business strengths and capabilities will help us to connect more effectively with new and existing consumers and patients across Canada and internationally. Together, we expect the Combined Company to have a strong financial profile, low-cost production, leading brands, distribution network and unique partnerships, positioning us to deliver sustainable value for all stakeholders.”
As long as shareholders of both companies don’t object to the merger, there will be only one more approval needed. The final order of the Ontario Superior Court Of Justice will be handed down on April 19, taking into account the results of the shareholder meetings that will take place just ahead of that decision. Provided everything goes well, the merger is expected to be completed on or about April 20.