British Columbia-based greenhouse growers Village Farms International, Inc. (TSX: VFF and NASDAQ: VFF) is trying to raise as much as $10 million through a new public offering.
In a statement Thursday, the company announced the release of 3,125,000 common shares at a value of $3.20 each with Beacon Securities Limited acting as an underwriter.
Following news of the incoming increase in volume, shares in the company dipped from yesterday’s value of $3.60 a share and settled at $3.29 by the end of the day’s trading.
The long-time B.C. vegetable grower recently emerged as the majority stakeholder in its Pure Sunfarms joint cannabis venture, following a protracted legal dispute with Emerald Health Therapeutics (TSXV: EMH and OTCQX: EMHTF).
Read more: Village Farms and Emerald Health settle dispute
Village Farms said it granted the underwriter permission to extend the offering by 15 per cent up to 30 days from closing.
The company said it expects the offering to close on March 24, 2020, and intends to use the proceeds for working capital and general corporate expenses.
Shares will be available in all the Canadian provinces, excluding Québec. Some of the shares will also be available in the U.S. through a filing with the U.S. Securities and Exchange Commission.
Top image via Village Farms