If you are an APHA stockholder, your stocks would be converted to TLRY stock. For every Aphria stock that they hold, APHA investors would get 0.8381 TLRY stock. After the merger, APHA stock would cease to trade.
How much should Aphria stock have traded at before the merger?
· Aphria is going to hold about 63% of the merged entity. It's going to be called Tilray. They didn't delve into the reasons why, but I suspect because Tilray is a more recognized name.
When does the TLRY and Aphria merger take effect?
· In an all-stock deal agreed to last December, each Aphria share held as of April 30 was swapped for 0.8381 of a Tilray share. Aphria's CEO Irwin Simon is taking over that role …
What happened to Aphria stock after the Tilray deal?
· Merger Terms For APHA Stock After Aphria and Tilray merge, the combined entity will be called Tilray and the shares will continue to trade on Nasdaq under the ticker TLRY. Yet …
What happened to Aphria?
· The company will continue to trade on the Nasdaq Global Select Exchange under the symbol "TLRY" and will commence trading on the Toronto Stock Exchange under the …
What happens when Aphria and Tilray merger?
Under the deal, structured as a reverse acquisition of Tilray, each Aphria shareholder will receive 0.8381 Tilray shares for each Aphria share held. That means Aphria shareholders would own roughly 62% of outstanding Tilray shares.
What will happen to Aphria shareholders?
Aphria shareholders voted in favor of the proposed merger with rival Tilray, which will create the world's largest cannabis company by revenue. Aphria (APHA) and Tilray (TLRY) first announced their proposed deal in December of last year.
How will Aphria merger affect stock?
Under terms of the merger deal, Aphria shareholders will receive 0.8381 Tilray shares for each Aphria share they own, while Tilray shareholders will see no adjustment to their holdings. The "reverse acquisition" of Tilray represents a 23% premium to Tilray's stock closing price of $7.87 on Tuesday.
What does Aphria merger mean for shareholders?
The transaction is effectively a takeover of Tilray by Aphria, with Aphria shareholders receiving 0.8381 of a share of Tilray common stock for each of their Aphria shares. Aphria shareholders will therefore own 62 per cent of the new company, while Tilray stockholders will own the remaining 38 per cent.
Will Tilray and Aphria stocks merge?
Tilray Inc. TLRY, -2.54% shareholders voted to approve the Canadian cannabis company's proposed merger with Aphria Inc. apha ca:apha at a special meeting on Friday, according to media reports, paving the way for the creation of the world's biggest cannabis company measured by revenue.
Is Tilray buying Aphria?
Once completed, Tilray will acquire all outstanding Aphria Shares and Aphria will become a wholly-owned subsidiary of Tilray. Aphria Shares will be delisted from the TSX and NASDAQ. Are the Tilray Shares listed on a stock exchange?
Is Aphria a good stock to buy now?
Currently, Aphria is trading at close to 0.73 times Tilray's share price. The single most compelling reason to buy Aphria stock right now is that this ratio absolutely must increase to the 0.8381 ratio included in the merger agreement.
What is the future of Tilray stock?
The average one-year Tilray share price forecast is $10.31 a potential upside of 28%. The high price target is set at $23, while the low is at $6. According to the algorithm-based forecasting website WalletInvestor on 6 April, the stock could continue to decline and in 12 months' time fall to $5.3.
Why is Aphria stock dropping?
Aphria stock plunged Monday after the Canadian cannabis firm missed expectations for third-quarter sales and its net loss widened. Also falling were shares of Canadian peer Tilray , which plans to merge with Aphria.
What is Aphria called now?
Last week, Tilray (TLRY) and Aphria formally merged to form a new company. It instantly became the industry leader in the Canadian pot market.
What did Tilray Buy?
March 3 (Reuters) - Tilray Brands (TLRY. O) on Thursday agreed to buy up to $211 million of HEXO's (HEXO.TO) debt, giving the Canadian cannabis producer a right to pick a significant equity stake in its troubled rival.
How do I vote for Aphria?
Registered and beneficial Shareholders may vote using the following methods: Internet: Go to www.proxyvote.com and enter the 16-digit control number printed on the form of proxy or voting instruction form or scan the QR Code on the Aphria form of proxy to access the website and follow the instructions on the screen.
What happens to APHA stock after merger?
For every Aphria stock that they hold, APHA investors would get 0.8381 TLRY stock. After the merger, APHA stock would cease to trade.
What changes will be made after the Tilray and Aphria merger?
There will be more changes after the Tilray and Aphria merger. First, the combined entity will get a new logo that blends the legacy of both the companies. Also, there will be management changes. Aphria CEO Irwin D. Simon will lead the new Tilray in a dual role as CEO and chairman, while Brendan Kennedy, ...
How many stores does Tilray have?
Also, it would have the largest global footprint with operations in North America as well as Europe. Tilray would have access to around 17,000 stores in North America. The company would be a diversified play on the marijuana industry with both medical and adult-use operations.
Is Tilray stock a good buy?
The forecast for Tilray stock looks positive after the Aphria merger and it looks like a good long-term buy . The combined entity had a combined market capitalization of $7.92 billion based on the closing prices on May 3.
Who is the CEO of Aphria?
Aphria CEO Irwin D. Simon will lead the new Tilray in a dual role as CEO and chairman, while Brendan Kennedy, who is the current Tilray CEO, will be a director on the board of the new entity.
What is the ticker symbol for Tilray?
The new entity would start trading on the Toronto Stock Exchange on May 5 under the ticker symbol “TLRY. ”. The Nasdaq listed Tilray stock would continue to trade under its “TLRY” ticker symbol as it did before the merger. Article continues below advertisement.
Is TLRY merged with APHA?
TLRY and APHA merger is finally confirmed. While Aphria stockholders approved the merger earlier in April, Tilray had to delay the vote. Tilray was reportedly having trouble garnering the votes. It also lowered the quorum requirement for the stockholder meeting. Meanwhile, the good news is that TLRY stockholders have also approved the merger, ...
Merger Terms For APHA Stock
After Aphria and Tilray merge, the combined entity will be called Tilray and the shares will continue to trade on Nasdaq under the ticker TLRY. Yet the terms of the deal look more advantageous to Aphria.
The Synergies
Even with the growth opportunities of the cannabis market, there is something else needed for a successful company: scale. Having a cost advantage is extremely important especially as markets get saturated.
Market Opportunity
Cannabis does look like a secular growth market. And it is global. According to research from BDSA, the spending is expected to hit a hefty $55.9 billion by 2026. This represents a 17% compound annual growth rate.
What is the aphria-tilray merger?
Currently, investors are keen to cash in on the Aphria-Tilray merger arbitrage opportunity. A merger arbitrage occurs when the stock price of the target company trades below the proposed acquisition price, mostly because of uncertainty around whether the deal will succeed or fall through. This price difference allows investors to buy the stock ...
What happens if a merger doesn't go through?
But there are also risks to an arbitrage -- like if the merger doesn't go through, the share price will drop. Additionally, if more people opt to take advantage of the arbitrage, the opportunity might vanish altogether. However, there is another way to make money out of this merger deal (if you have the patience).
How much is the cannabis market worth in 2027?
The global cannabis market is expected to grow at a compound annual growth rate (CAGR) of around 17.8% to be worth $65.1 billion by 2027. Knowing this, I think it's smart to invest in a growing pot stock and hold it for the long term in order to reap all the possible benefits.
Is Tilray stock higher than Aphria?
Currently, Tilray's shares are trading higher than Aphria's. So, buying Aphria now and shorting Tilray is a good short-term bet for making a profit when the merger completes. Shorting Tilray shares allows investors to borrow and sell the stock now, and then buy the stock later to return it to the lender. In this way, the investor is essentially ...
Who owns the Tilray company?
According to the merger agreement, while the combined entity will operate under the Tilray name, Aphria shareholders will own 62% of the new company.
Is Aphria a long game?
Aphria and Tilray are playing the long game. No doubt, the arbitrage opportunity creates a short-term advantage until the merger closes. But stock investments are almost always fruitful when played out for the long run. Cannabis is an evolving, quickly growing industry.
Is cannabis stock up in 2021?
Marijuana stocks have rallied tremendously this year, largely based on speculation that the U.S. Congress would legalize cannabis. Indeed, even after the recent pullback of APHA stock, the shares are up 95% so far in 2021. Meanwhile, the shares of Tilray, with whom Aphria has agreed to merge, have surged 99% in 2021.
Will Aphria merge with Tilray?
Meanwhile, the shares of Tilray, with whom Aphria has agreed to merge, have surged 99% in 2021. But recent information suggests that, as I had previously predicted, Congress won’t legalize cannabis anytime soon. In all likelihood, in order to legalize the drug, all 50 Democratic U.S. senators, plus at least ten Republican senators, ...
What is the merger between Aphria and Tilray?
The merger between Tilray and Aphria would create a marijuana powerhouse with globally diversified operations . It would rival Curaleaf’s (CURLF) position as the world’s largest marijuana company.
When did Tilray and Aphria merge?
The Tilray-Aphria merger date hasn't been finalized yet. However, after TLRY stockholders approve the merger on April 30, which looks likely since the company has also lowered the quorum requirement, the merger could be completed in a few days.
Is marijuana stock going to recover?
There has been a healthy correction and marijuana stocks should recover. Second, in the medium to long term, more jurisdictions will take a favorable view of marijuana legalization for adult use. Also, the medical industry will likely see increasing adoption of marijuana given its health benefits for some ailments.
Is APHA stock a good buy?
However, APHA stock looks like a good buy now ahead of its merger with TLRY. The two companies announced the merger in December 2020.
Is there merger arbitrage in Aphria?
Still some merger arbitrage in Aphria stock. According to the merger terms, Aphria stockholders will get 0.8381 Tilray shares for each Aphria share that they hold. There's still a merger arbitrage of a little above 1 percent in APHA’s favor. While it isn't much, it's another reason to buy APHA stock before the merger with TLRY.
