TORONTO — The Green Organic Dutchman Holdings Ltd. (TGOD) has signed a deal to merge with BZAM Holdings, a privately owned cannabis company.
The companies say the deal combines TGOD's market strength in Quebec and Ontario with BZAM's strength in Western Canada.
Under the deal, TGOD will issue shares to BZAM's shareholder in two tranches, totalling a 49.5 per cent stake in the combined company.
The BZAM shareholder will also be able to earn up to $33 million in shares in the combined company, subject to the achievement of certain milestones.
Once the deal is complete, BZAM chief executive Matt Milich and chief commercial officer Jordan Winnett will lead the combined company as CEO and CCO, along with TGOD's current CEO and interim chief financial officer, Sean Bovingdon, who will be CFO.
The board of directors of the combined company will include seven members including five from TGOD's existing board and two nominated by BZAM.
This report by The Canadian Press was first published Oct. 19, 2022.
The Canadian Press
