Gatineau pot producer Hydropothecary closes $150M offering

hydropothecary
From left to right, Hydropothecary's team includes chief brand officer and co-founder Adam Miron, CFO Ed Chaplin and co-founder and CEO Sébastien St. Louis. Photo by Mark Holleron.

Hydropothecary has locked down a previously announced bought deal placement, with investors taking an over-allotment option for an extra $20 million in financing.

The full round is worth $150 million and currently stands as the largest public equity deal in Canadian cannabis history – for at least a few days. Smith Falls-based pot producer Canopy Growth expects to close a $200-million round next week.

Hydropothecary (TSX-V:THCX) initially announced it would raise $100 million a few weeks ago, but immediately increased the deal value due to high demand.

Chief executive Sébastien St. Louis told OBJ then that the new funding will allow Hydropothecary to tackle the Canadian cannabis market.

The Gatineau company has had an up-and-down week on the TSX Venture Exchange. Shares hit a high of $5.25 a week ago but have dropped below $4 since, a decrease of more than 25 per cent over the past seven days.