243
On November 15, 2017 ACB announced:
Pursuant to the terms of the Indenture, the Company may accelerate the expiry date of the Warrants when the volume weighted average closing price (the "VWAP") of the common shares of the Company (the "Common Shares") on the Toronto Stock Exchange (the "Exchange") for 10 consecutive trading days exceeds $4.50.
As of the close of markets on November 14, 2017, the VWAP of the Common Shares on the Exchange for 10 consecutive trading days equalled $5.01. Effective today, the Warrants are set to expire at 5:00 p.m. (Vancouver time) on Friday, December 15, 2017. This news release constitutes notice to Warrant holders of the new expiry date. Any Warrants remaining unexercised after the new expiry date will be cancelled.
The warrants had a $3 strike price and set to expire February 2019. Let’s now revisit CBW.
CBW’s warrants had an acceleration clause not based on VWAP but rather “Pursuant to the terms of the Indenture, the Company may accelerate the expiry date of the Warrants when the closing price of the common shares of the Company (the "Common Shares") on the TSX Venture Exchange (the "Exchange") exceeds $2.00 for 10 consecutive trading days”.
The following is a chart (as at April 9, 2018) of companies with warrants as well as the free trading convertible Organigram debentures: