Tilray Surges After Privateer Holdings Vows to Hold Stake Until At Least H2 2019 - TheStreet.com Thestreet.com - Fri 11 Jan 13:28 GMT
Tilray shares surged Friday after a key stakeholder said it would hold onto shares of the Canadian cannabis company until at least the second half of the year....TLRY
Tilray Inc. (TLRY) shares surged Friday after its biggest stakeholder said it would hold onto shares of the Canadian cannabis company until at least the second half of the year.
Privateer Holdings, a a Seattle-based private equity group that limits its investments to the cannabis industry that owns an estimated 76% of Tilary's outstanding shares, said it has a strong belief in Tilray's long-term global growth strategy and its "pioneering role" in shaping the future of the legal marijuana market.
"We do not have plans to register, sell or distribute the shares Privateer holds in Tilray during the first half of 2019," Privateer managing partner Michael Blue said in a statement.
Tilray shares were marked 23% higher in pre-market trading following the announcement, indicating an opening bell price of $99 each, a move that would still leave the stock with a 25% three month decline.
As part of the deal, each company will pitch in $50 million, with Tilray taking part through its subsidiary, High Park Co., which develops, distributes and sells cannabis products in Canada.