Cannabis company The Green Organic Dutchman Holdings Ltd (TSE:TGOD) (OTCMKTS:TGODF) revealed the Ontario Superior Court of Justice had approved its previously announced spin-off of subsidiary TGOD Acquisition Corporation.
The latter is an investment firm mainly focused on investments in the cannabis industry in Canada and internationally.
READ: The Green Organic Dutchman shareholders approve spin-off for international growth and up to C$10M private offering
The spin-off is being carried out under a scheme of arrangement dated October 25 last year and will see the company distribute to its shareholders unit purchase warrants of TGOD Acquisition Corporation (SpinCo).
Each TGOD shareholder of record on January 31 this year and who elects to receive SpinCo unit warrants, will receive 0.15 of one SpinCo unit warrant for each TGOD shares held.
Each SpinCo unit warrant will entitle the holder to purchase one unit of SpinCo upon the holder tendering the exercise price of $0.50 per SpinCo Unit to SpinCo within 30 days following the effective date of the arrangement.
Each SpinCo Unit consists of one share and one-half of one SpinCo Share purchase warrant, the Mississauga, Ontario-based company said.
Each SpinCo warrant is exercisable into one SpinCo Share at an exercise price of $1.25 per SpinCo warrant share for 24 months from the date the SpinCo shares begin trading on a recognized stock exchange.
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