Clifford Starke's Holdings in Flora Growth Corp.
Rhea-AI Summary
Clifford Starke, an investor in Flora Growth Corp. (FLGC), has increased his holdings in the company. On August 14, 2024, FLGC shareholders approved the issuance of 1,028,665 stock appreciation rights (SARs) to Starke on December 15, 2023, and an additional 575,319 SARs on August 14, 2024. These SARs vest in 12 equal installments, subject to share price criteria, with a ten-year term. Following this acquisition, Starke's fully-diluted ownership in FLGC increased from approximately 10.03% to 16.44% of outstanding common shares. Starke may acquire or dispose of FLGC securities in the future, depending on market conditions and other factors.
Positive
- Increased insider ownership from 10.03% to 16.44% on a fully-diluted basis
- SARs vesting tied to share price criteria, potentially aligning management interests with shareholders
Negative
- Potential dilution for existing shareholders due to the issuance of new SARs
- Insider's large ownership position may impact stock liquidity
News Market Reaction
On the day this news was published, FLGC gained 4.09%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Panama City, Panama--(Newsfile Corp. - September 12, 2024) - On August 14, 2024, at the annual meeting of the shareholders of Flora Growth Corp. (the "Issuer"), the shareholders of the Issuer approved: (a) the December 15, 2023, issuance of 1,028,665 stock appreciation rights ("SARs") to Clifford Starke (the "Acquiror") and the; (b) the August 14, 2024 issuance of 575,319 SARs to the Acquiror. The SARs vest in 12 equal installments, subject to Issuer share price criteria, have a ten-year term, and a post-termination exercise price of one year (the "Acquisition").
Immediately before the completion of the Offering, the Acquiror owned an aggregate of 1,340,056 common shares of the Issuer, representing approximately
In accordance with applicable securities laws, the Acquiror may, from time to time and at any time, acquire additional common shares, and/or other equity, debt or other securities or instruments (collectively, "Securities") of the Issuer in the open market or otherwise, and Acquiror reserves the right to dispose of any or all of its Securities in the open market or otherwise at any time and from time to time, and to engage in similar transactions with respect to the Securities, the whole depending on market conditions, the business and prospects of the Issuer and other relevant factors.
The head office address of the Acquiror is: PH Park Loft - Suite 2006, Via Porras 75, Panama City, Panama.
The Acquiror acquired the Shares for investment purposes, and has no present intention of acquiring additional Securities. Depending upon the Acquiror's evaluation of the business, prospects and financial condition of the Issuer, the market for the Issuer's Securities, general economic and tax conditions and other factors, the Acquiror may acquire more or sell some or all of the Acquiror's Securities of the Issuer.
This press release is issued pursuant to early warning requirements of National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues which also requires the Early Warning Report to be filed in accordance with applicable Canadian securities laws. For further information please refer to the Early Warning Report to be posted on the Issuer's SEDAR+ profile at www.sedarplus.com or which may be obtained by contacting the Acquiror at (954) 842-4989.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/223147
FAQ
How many stock appreciation rights (SARs) were issued to Clifford Starke by Flora Growth Corp. (FLGC)?
What is Clifford Starke's current ownership percentage in Flora Growth Corp. (FLGC) after the SARs issuance?
What are the vesting terms for the SARs issued by Flora Growth Corp. (FLGC) to Clifford Starke?
When did Flora Growth Corp. (FLGC) shareholders approve the issuance of SARs to Clifford Starke?
