Tilray, Inc. Announces Completed Merger With Privateer Holdings, Inc.

The deal between the two companies was closed December 12, 2019

Tilray, Inc, a global pioneer in cannabis research, cultivation, production, and distribution, today announced that the merger with Privateer Holdings, Inc. ("Privateer"), closed on December 12, 2019.

Mark Castaneda, Chief Financial Officer of Tilray, said: "We appreciate the long-term confidence that Privateer has in the Tilray business and we look forward to having their investors as part of our stockholder base."

We believe this transaction will give Tilray greater control and operating flexibility while allowing us to effectively manage our public float."

Pursuant to the merger, all of Privateer's capital stock outstanding immediately prior to the effective time of the merger (excluding certain shares) were canceled and automatically converted solely into the right to receive the applicable portion of an aggregate shares of Tilray Class 2 common stock and shares of Tilray Class 1 common stock (inclusive of shares of Tilray Class 2 common stock held in escrow for contingent release to Privateer's stockholders) issuable as consideration in merger. Tilray did not pay any cash consideration in connection with the merger.

As previously disclosed, each Privateer equity holder who received the shares of Tilray stock in the merger is subject to a lock-up allowing for the sale of such shares only under certain circumstances over a two-year period.

During the first year following the closing of the merger, shares will be released only pursuant to certain offerings or sales arranged by and at the discretion of Tilray.

At the end of the first year, to the extent not already released at Tilray's discretion as a result of the aforementioned offerings or sales, 50 percent of the total shares subject to the lock-up will be released.

Over the course of the second year following closing, the remaining shares will be subject to a staggered release in four equal quarterly increments.

To learn more about Tilray visit their Company HQ here

Disclaimer: Past performance is not an indicator of future performance.

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Niki Mohazeb
Niki Mohazeb

Niki is a Sydney based writer, with a passion for promoting the health benefits of medicinal cannabis. Niki also enjoys researching and writing about the future of cannabis along with the many other benefits that the plant provides, such as the diverse utilities of hemp.

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