Organigram Holdings Inc. - OGI STOCK NEWS

Organigram Holdings has made a significant investment of €14 million in Sanity Group, a leading German cannabis company, marking its strategic entry into the European market.

This investment includes €11.5 million in an unsecured convertible note and €2.5 million for equity interest, with an option to invest an additional €3 million. This collaboration also includes a new supply agreement with higher volumes and plans to commercialize Organigram’s brands in Germany.

Sanity Group, which holds a 10% share of the German medical cannabis market, is expected to benefit from recent legal reforms in Germany and is expanding its footprint in Switzerland through a recreational cannabis pilot program. The investment aims to leverage Sanity's robust distribution network and regulatory advancements in Europe's cannabis market.

Organigram has signed a three-year supply agreement with Avida Medical in the UK, its second international medical cannabis customer in the region.

Under the agreement, Organigram will supply 1,700 kilograms of high-quality cannabis flower, with 500 kilograms expected in the first year.

Avida Medical will gain exclusivity for three of Organigram's cannabis strains in the UK.

This agreement aligns with Organigram's strategy to expand beyond Canada, adding to its existing international agreements in Australia, Germany, and Israel.

Organigram (NASDAQ: OGI) reported a 21% YoY growth in recreational net revenue to $33.1 million for Q2 FY2024. Despite this, overall net revenue decreased by 5% to $37.6 million due to a decline in international sales. The company closed the first tranche of a $41.5 million private placement, raising its cash balance to $83.6 million. The firm also completed an oversubscribed offering for $28.8 million post-quarter-end, bringing its pro-forma cash position to about $195 million.

Organigram maintained market leadership in various product categories in Canada and expanded its international footprint, including new shipments to Germany and the UK. However, the quarter saw a net loss of $27.1 million, an increase from $7.5 million YoY, and a negative adjusted EBITDA of $1.0 million, down from $5.6 million YoY.

Organigram Holdings Inc. (NASDAQ: OGI) will report its second-quarter fiscal 2024 earnings on May 14, 2024. The conference call to discuss the results will take place at 8:00 am Eastern Time. The Company is a leading licensed producer of cannabis.

Organigram Holdings Inc. (NASDAQ: OGI) has been recognized on the 2024 Report on Business 'Women Lead Here' list for gender diversity, with 50% of its executive leadership team being women. The company stands out in the cannabis industry for its significant female leadership presence. Organigram prioritizes inclusivity, flexibility, and equality in the corporate landscape, with over 46% of its workforce being women.

Organigram Holdings Inc. celebrates SHRED brand's success, surpassing $200 million in yearly retail sales with innovative products that revolutionized the cannabis industry.

Organigram Holdings Inc. successfully closes a public offering, raising C$28.8 million in gross proceeds to enhance its balance sheet. The Company sold 8,901,000 Units at C$3.23 per Unit, including the exercise of the over-allotment option. Each Unit comprises a Common Share and a Warrant. The net proceeds will be used for growth initiatives and general corporate purposes.

Organigram Holdings Inc. announces a public offering of units, led by ATB Securities Inc., to sell 7,740,000 Units at C$3.23 per Unit, aiming to raise approximately C$25 million. The Company grants underwriters an over-allotment option to purchase up to an additional 1,161,000 Units. Each Unit includes a Common Share and a Warrant, with the Warrant exercisable at C$3.65 per share for four years post-closing.

Organigram Holdings Inc. announces a public offering of units for gross proceeds of approximately C$25 million. The offering will be completed through underwriting agreements with ATB Securities Inc. and is expected to close on April 2, 2024. The company plans to use the net proceeds for growth initiatives, acquisitions, and investments in the cannabis and hemp markets.