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Organigram announced a C$124.6 million equity investment from BAT, a leading multi-category consumer goods business

The follow-on strategic equity investment from BAT marks a significant milestone for the company and provides hope for the struggling cannabis landscape by:

Extending the international footprint: The majority of the $124.6M investment will be used by Organigram to create a strategic investment pool named Jupiter, which will target investments in emerging cannabis opportunities. It will also enable the company to take advantage of the newly surfacing legalization trends at a global level, including the U.S. while catering to an increasingly sophisticated cannabis consumer base who are seeking progressive cannabis formats beyond combustibles.

Bolstering Organigram’s strong balance sheet: The flexibility and opportunity afforded to the company through this investment will allow them to capitalize on their state-of-the-art facilities in Canada, support further research and development projects, optimize their operation to deliver on cost savings, and accelerate earnings growth while delivering market gains to their incremental investors.

Significant premium: The deal was priced at C$3.2203/share, which represents an over 100 per cent premium to the last traded price of $1.59 (representing the close on November 3rd, 2023, on the TSX).