Bulletin
Investor Alert

Market Pulse Archives

June 10, 2019, 6:55 a.m. EDT

Tilray's stock surges after deal that extends lock up of shares held by largest shareholder

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Tilray Inc. Cl 2 (TLRY)
  • X
    S&P 500 Index (SPX)

or Cancel Already have a watchlist? Log In

By Tomi Kilgore

Shares of Tilray Inc. /zigman2/quotes/209129655/composite TLRY +0.68% shot up 8.2% in premarket trade Monday, after the Canada-based cannabis company announced an agreement that extends the lock up, and provide for the orderly sale, of the 75 million shares, or 77% of the Tilray shares outstanding, held by its largest shareholder, Privateer Holdings. Inc. Under terms of the letter of intent, Privateer will merge with a wholly-owned subsidiary of Tilray, with Privateer stockholders receiving newly issued Tilray shares equal to the number of Tilray shares currently held by Privateer. Once the merger is completed, all Tilray shares held by Privateer will be cancelled. The Tilray shares distributed in the merger will be subject to a lock-up agreement that allows for the sale of 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 marketed offerings and/or block trades to institutional investors or via stock sales to strategic investors, all of which would be arranged at the sole discretion of Tilray," Tilray said in a statement. "The remaining shares will be subject to a staggered release over the course of the second year following closing." Tilray's stock has tumbled 44.6% over the past three months through Friday, while the S&P 500 /zigman2/quotes/210599714/realtime SPX -1.05% has gained 4.8%.

/zigman2/quotes/209129655/composite
US : U.S.: Nasdaq
$ 19.37
+0.13 +0.68%
Volume: 2.34M
Feb. 21, 2020 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$1.93 billion
Rev. per Employee
$62,689
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,337.75
-35.48 -1.05%
Volume: 2.12B
Feb. 21, 2020 5:16p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »
Link to MarketWatch's Slice.