Flora Growth, a Canadian producer of natural medicinal-grade cannabis products, announced terms for its IPO on Thursday.
The Toronto, Canada-based company plans to raise $15 million by offering 3.3 million shares at a price range of $4 to $5. At the midpoint of the proposed range, Flora Growth would command a fully diluted market value of $221 million.
Flora cultivates and processes natural medicinal-grade cannabis oil and high quality cannabis-derived medical and wellbeing products that it intends to supply to large channel distributors, including pharmacies, medical clinics, and cosmetic companies. The company just began generating revenues in August 2020 through its Flora Beauty and Hemp Textiles subsidiaries. It has not yet produced commercial grade oil extracts and will require adequate proceeds to do so.
Flora Growth was founded in 2019 and booked $2 million in sales for the 12 months ended June 30, 2020. It plans to list on the Nasdaq under the symbol FLGC. Boustead Securities is the sole bookrunner on the deal.
