- CannPal Animal Therapeutics (CP1) shares have ceased trading on the ASX at the close of today’s session after they were acquired by AusCann Group (AC8)
- The Court orders approving the scheme of arrangement were lodged with the Australian Securities and Investments Commission today, making the scheme legally effective
- Shareholders in the animal health company will receive 1.3 new AusCann shares for every CannPal share held on the record date of March 15, 2021
- Those new shares will be transferred on March 18, 2021
- CannPal shares last traded at 17 cents, while AusCann Group closed flat at 14.5 cents
CannPal Animal Therapeutics (CP1) shares have ceased trading on the ASX at the close of today’s session after they were acquired by AusCann Group (AC8).
AusCann is an Australian pharmaceutical company and entered a scheme implementation deed in November 2020 to acquire all CannPal shares.
Under the terms of the scheme, CannPal shareholders were offered 1.3 AusCann shares, valuing CannPal shares at 18.4 cents each and the animal health company at $17.5 million on a fully-diluted basis.
The court orders approving the scheme of arrangement were lodged with the Australian Securities and Investments Commission today, making the scheme legally effective.
CannPal shareholders will receive 1.3 new AusCann shares for every CannPal share held on the record date of March 15, 2021.
Those new shares will be transferred when the Scheme is implemented on March 18, 2021.
Speaking on the rationale for the acquisition in November, AusCann Chairperson Max Johnston said the synergies it would create would accelerate growth within the burgeoning sector.
“The combined business is expected to have the financial resources and technical expertise to accelerate the growth, commercialisation and market penetration of its pipeline products in Australia and offshore.”
“The complementary nature of developing new health solutions for both human and animal and creating a much larger addressable market makes this combination a game-changer for both companies.”
“The combined resources position the new company well to take a leadership position within this new health industry sector,” he concluded.
CannPal shares last traded at 17 cents, while AusCann Group closed flat at 14.5 cents.