Northern Leaf Investor Update3 Aug 2021 17:00
All good stuff re. investment funds and capital developments / yield. Excerpt below from the section re. IPO:
"As matters presently stand, we have formally appointed our brokers and financial advisor, finnCap, the leading
small cap investment house, and highly experienced cannabis capital markets lawyers, Memery Crystal, who
have been involved in a number of the recent stock market listings in the sector. Work has commenced and we
are collaborating with the finnCap team on the forecasts, model, valuation and being advised as to the optimal
timing to give the best valuation and chance of a successful IPO for Northern Leaf.
Earlier this year there was a surge of interest in cannabis stocks. This led to several companies being listed that,
in our view, were not really ready for this public transition and, after an initial uplift in the share price, the
majority have sunk back as the reality of listing before they were ready, kicked in.
A successful IPO is based not just on listing the company, but also in being in the strongest possible position post
listing in order to deliver on operational targets and drive share price in the aftermarket. Accordingly, the timing
to affect a successful IPO will be based around operational execution and market timing, we remain in constant
dialogue with our financial advisors around these issues. We have also taken market soundings from prospective
institutional investors and some of our CLN holders, we are therefore, very aware that being revenue generating
and having our European accreditations, will make us stand out from the crowd, attain a premium cannabis
company status and attract better, larger blue-chip institutions to the shareholder base at the time of an IPO.
We will only list when the market conditions and Northern Leaf’s operations make it prudent to do so. In the
meantime, our oversubscribed placing in March affords us the rare financial flexibility to make sure that we get
the timing right.
Ahead of any IPO we are putting together an experienced Board of Directors, along with a first-class Advisory
Board consisting of experienced medical and industry professionals. We want to get these important
appointments right and are already in discussions with a number of parties. We have identified a highly
experienced PLC Chairman, well known to many institutional investors. He is Jersey based and currently working
with us as a consultant to position ourselves as a leading European listed, quality medicinal cannabis company."
Sign In
Follow the stocks
