Newstrike shareholders vote in favour of acquisition by CanniMed Therapeutics – Saskatoon

Shareholders of Newstrike Resources Ltd. (TSXV:HIP) voted overwhelmingly in favour of an acquisition by licensed cannabis producer CanniMed Therapeutics Inc. (TSX:CMED) at a special meeting Wednesday.

Approximately 99.4 per cent of the votes, representing more than 271.8 million outstanding common shares, were cast in support of a plan that would see Newstrike shareholders receive 33 CanniMed shares for each 1,000 shares of Newstrike.


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The Tragically Hip backs Newstrike’s deal to be bought by CanniMed

The Tragically Hip, a major shareholder in Newstrike, last week threw its support behind the company’s friendly takeover by Saskatoon-based CanniMed.

However, the deal, which CanniMed said better positions the company for entry into the recreational cannabis market, is subject to approval from CanniMed shareholders at a special meeting scheduled for Jan. 23.


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CanniMed files $725M lawsuit against Aurora, others over hostile takeover bid

The final outcome of that deal remains uncertain, as CanniMed is also the target of an all-stock hostile takeover by Edmonton-based Aurora Cannabis (TSX:ACB) that is conditional on abandoning the Newstrike deal.

CanniMed has urged its shareholders to vote in favour of Newstrike, but three of the Saskatoon-based company’s biggest shareholders representing 38 per cent of outstanding shares have signed lock-up agreements backing Aurora’s bid.

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This is the Buds2Go Staff Account. We work really hard to provide information and news about marijuana legalization, product information and promotional events going on across Canada. We are fanatics and experts on strains and utilizing medical cannabis for the treatment of common ailments.

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