Exhibit 99.10
FORM 9
NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES
(or securities convertible or exchangeable into listed securities)
Name of Listed Issuer: | Symbol(s): |
CURALEAF HOLDINGS, INC. (the “Issuer”). | CURA |
This Form 9 is filed as a technical matter in respect of sales in the United States to "qualified institutional buyers" as defined in Rule 144A under the U.S. Securities Act pursuant to the Base Shelf Prospectus of the Issuer dated November 2, 2020 and the accompanying Prospectus Supplement of the Issuer dated January 8, 2021, to the extent that such sales constitute a "private placement" for purpose of the CSE Rules. See also the Form 8 filed by the Issuer with the CSE on January 8, 2021.
Date: January 13, 2021
Is this an updating or amending Notice: ¨ Yes x No
If yes provide date(s) of prior Notices: ________________________.
Issued and Outstanding Securities of Issuer Prior to Issuance: 663,786,286.1
Pricing
Date of news release announcing proposed issuance: January 6, 2021, January 7, 2021 and January 12, 2021 or
Date of confidential request for price protection: ________________
Closing Market Price on Day Preceding the news release: C$16.81 (as at market close on January 5, 2021)
Day preceding request for price protection: _N/A_________________
Closing
Number of securities to be issued: 18,975,000 Subordinate Voting Shares (reflecting the exercise of the over-allotment option in full).
Issued and outstanding securities following issuance: _682,761,2862____________
Instructions:
1. | For private placements (including debt settlement), complete tables 1A and 1B in Part 1 of this form. |
1 Includes all equity securities of the Issuer that have been issued or reserved for issuance on an as-converted to Subordinate Voting Share basis.
2 Includes all equity securities of the Issuer that have been issued or reserved for issuance on an as-converted to Subordinate Voting Share basis.
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 1 |
2. | Complete Table 1A – Summary for all purchasers, excluding those identified in Item 8. |
3. | Complete Table 1B – Related Persons only for Related Persons |
4. | If shares are being issued in connection with an acquisition (either as consideration or to raise funds for a cash acquisition) please proceed to Part 2 of this form. |
5. | An issuance of non-convertible debt does not have to be reported unless it is a significant transaction as defined in Policy 7, in which case it is to be reported on Form 10 – Notice of Proposed Transaction |
6. | Post the completed Form 9 to the CSE website in accordance with Policy 6 – Distributions. In addition, the completed form must be delivered to listings@thecse.com with an appendix that includes the information in Table 1B for ALL placees. |
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 2 |
Part 1. Private Placement
As part of the offering, certain Subordinate Voting Shares were sold in the United States and to or for the account or benefit of "U.S. persons" (as defined in the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), on a private placement basis to "qualified institutional buyers" pursuant to an exemption from the registration requirements of the U.S. Securities Act, and outside Canada and the United States on a private placement basis.
Table 1A – Summary3
Each jurisdiction in which purchasers reside | Number of Purchasers | Price per Security | Total dollar value (CDN$) raised in the jurisdiction | |||||||||
United States of America | 19 | C$ | 16.70 | C$ | 42,753,619.90 | |||||||
Cayman Islands | 4 | C$ | 16.70 | C$ | 21,330,125.10 | |||||||
Switzerland | 1 | C$ | 16.70 | C$ | 40,080,000.00 | |||||||
United Arab Emirates | 1 | C$ | 16.70 | C$ | 30,060,000.00 | |||||||
Total number of purchasers: | 25 | C$ | 16.70 | C$ | 134,223,745.00 | |||||||
Total dollar value of distribution in all jurisdictions: | C$ | 134,223,745.00 |
Table 1B – Related Persons
Full Name &Municipality of Residence of Placee |
Number of Securities Purchased or to be Purchased |
Purchase price per Security (CDN$) |
Conversion Price (if Applicable) (CDN$) |
Prospectus Exemption |
TotalSecuritiesPreviously Owned, Controlled or Directed |
Payment Date(1) |
Describe relations-hip to Issuer (2) |
N/A |
3 In addition, C$182,658,755 aggregate principal amount of Subordinate Voting Shares were sold in each of the Provinces of Canada, other than Québec, pursuant to the prospectus supplement to the Company’s base shelf prospectus dated November 2, 2020.
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 3 |
1. | Total amount of funds to be raised: C$316,882,500 (including the exercise of the over-allotment option in full). |
2. | Provide full details of the use of the proceeds. The disclosure should be sufficiently complete to enable a reader to appreciate the significance of the transaction without reference to any other material. |
The Issuer intends to use the net proceeds of the offering for working capital and general corporate purposes. The additional net proceeds resulting from the exercise of the over-allotment option in full will be allocated to general corporate purposes, including working capital.
3. | Provide particulars of any proceeds which are to be paid to Related Persons of the Issuer: N/A. |
4. | If securities are issued in forgiveness of indebtedness, provide details of the debt agreement(s) or and the agreement to exchange the debt for securities. N/A. |
5. | Description of securities to be issued: |
(a) Class: Subordinate Voting Shares.
(b) Number: 18,975,000 (reflecting the exercise of the over-allotment option in full).
(c) Price per security: C$16.70 per Subordinate Voting Share .
(d) Voting rights 1 vote per Subordinate Voting Share .
6. | Provide the following information if warrants, (options) or other convertible securities are to be issued: N/A. |
(a) Number ..
(b) Number of securities eligible to be purchased on exercise of warrants (or options) .
(c) Exercise price ..
(d) Expiry date ..
7. | Provide the following information if debt securities are to be issued: N/A. |
(a) Aggregate principal amount .
(b) Maturity date .
(c) Interest rate .
(d) Conversion terms .
(e) Default provisions .
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 4 |
8. | Provide the following information for any agent’s fee, commission, bonus or finder’s fee, or other compensation paid or to be paid in connection with the placement (including warrants, options, etc.): |
(a) | Details of any dealer, agent, broker or other person receiving compensation in connection with the placement (name, and if a corporation, identify persons owning or exercising voting control over 20% or more of the voting shares if known to the Issuer): | |
Canaccord Genuity Corp., 161 Bay Street, Suite 3000, Toronto, Ontario, M5J 2S1
Beacon Securities Limited, 66 Wellington Street West, Suite 4050, Toronto, Ontario M5K 1H1
Cantor Fitzgerald Canada Corporation, 181 University Avenue, Suite 1500, Toronto, ON M5H 3M7
Cormark Securities Inc., North Tower, Royal Bank Tower, 200 Bay Street, Suite 1800, Toronto, ON M5J 2J2
Eight Capital, 100 Adelaide St W, Suite 2900, Toronto, ON M5H 1S3
Haywood Securities Inc., 200-700 Burrard St., Vancouver, BC, V6C 3L8
(collectively, the "Underwriters")
A.G.P./Alliance Global Partners acted as Financial Advisor in connection with the Offering.
(b) | Cash: 4.0% of the gross proceeds raised in respect of the offering (including any gross proceeds of the over-allotment option). | |
(c) | Securities N/A. | |
(d) | Other Reimbursement of the Underwriter's reasonable expenses up to a predetermined amount. | |
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 5 |
(e) | Expiry date of any options, warrants etc. N/A. | |
(f) | Exercise price of any options, warrants etc. N/A. | |
9. | State whether the sales agent, broker, dealer or other person receiving compensation in connection with the placement is Related Person or has any other relationship with the Issuer and provide details of the relationship No. |
. |
10. | Describe any unusual particulars of the transaction (i.e. tax “flow through” shares, etc.). |
N/A.
11. | State whether the private placement will result in a change of control. |
No.
12. | Where there is a change in the control of the Issuer resulting from the issuance of the private placement shares, indicate the names of the new controlling shareholders. N/A. |
13. | Each purchaser has been advised of the applicable securities legislation restricted or seasoning period. All certificates for securities issued which are subject to a hold period bear the appropriate legend restricting their transfer until the expiry of the applicable hold period required by National Instrument 45-102 Resale of Securities. |
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 6 |
Part 2. Acquisition
1. | Provide details of the assets to be acquired by the Issuer (including the location of the assets, if applicable). The disclosure should be sufficiently complete to enable a reader to appreciate the significance of the transaction without reference to any other material: . | |
2. | Provide details of the acquisition including the date, parties to and type of agreement (eg: sale, option, license etc.) and relationship to the Issuer.The disclosure should be sufficiently complete to enable a reader to appreciate the significance of the acquisition without reference to any other material: . | |
3. | Provide the following information in relation to the total consideration for the acquisition (including details of all cash, securities or other consideration) and any required work commitments: | |
(a) | Total aggregate consideration in Canadian dollars: | . | ||
(b) | Cash: | . | ||
(c) | Securities (including options, warrants etc.) and dollar value: | |
. |
(d) | Other: . | |
(e) | Expiry date of options, warrants, etc. if any: . | |
(f) | Exercise price of options, warrants, etc. if any: . | |
(g) | Work commitments: . | |
4. | State how the purchase or sale price was determined (e.g. arm’s-length negotiation, independent committee of the Board, third party valuation etc). | |
5. | Provide details of any appraisal or valuation of the subject of the acquisition known to management of the Issuer: | |
. |
6. | The names of parties receiving securities of the Issuer pursuant to the acquisition and the number of securities to be issued are described as follows: |
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 7 |
Name of Party (If not an individual, name all insiders of the Party) |
Number and Type of Securities to be Issued |
Dollar value per Security (CDN$) |
Conversion price (if applicable) |
Prospectus Exemption |
Total Securities, Previously Owned, Controlled or Directed by Party |
Describe relationship to Issuer(1) |
(1) | Indicate if Related Person | |
7. | Details of the steps taken by the Issuer to ensure that the vendor has good title to the assets being acquired: | |
. |
8. | Provide the following information for any agent’s fee, commission, bonus or finder’s fee, or other compensation paid or to be paid in connection with the acquisition (including warrants, options, etc.): | |
(a) | Details of any dealer, agent, broker or other person receiving compensation in connection with the acquisition (name, andif a corporation, identify persons owning or exercising voting control over 20% or more of the voting shares if known to the Issuer): | |||
. | ||||
(b) | Cash | . | ||
(c) | Securities | . | ||
(d) | Other | . | ||
(e) | Expiry date of any options, warrants etc. | ||
(f) | Exercise price of any options, warrants etc. | . | ||
9. | State whether the sales agent, broker or other person receiving compensation in connection with the acquisition is a Related Person or has any other relationship with the Issuer and provide details of the relationship. | |
10. | If applicable, indicate whether the acquisition is the acquisition of an interest in property contiguous to or otherwise related to any other asset acquired in the last 12 months. | |
. |
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 8 |
Certificate Of Compliance
The undersigned hereby certifies that:
1. | The undersigned is a director and/or senior officer of the Issuer and has been duly authorized by a resolution of the board of directors of the Issuer to sign this Certificate of Compliance on behalf of the Issuer. | |
2. | As of the date hereof there is not material information concerning the Issuer which has not been publicly disclosed. |
3. | the Issuer has obtained the express written consent of each applicable individual to: |
(a) | the disclosure of their information to the Exchange pursuant to this Form or otherwise pursuant to this filing; and | |
(b) | the collection, use and disclosure of their information by the Exchange in the manner and for the purposes described in Appendix A or as otherwise identified by the Exchange, from time to time | |
4. | The undersigned hereby certifies to the Exchange that the Issuer is in compliance with the requirements of applicable securities legislation (as such term is defined in National Instrument 14-101) and all Exchange Requirements (as defined in CSE Policy 1). | |
5. | All of the information in this Form 9 Notice of Issuance of Securities is true. | |
Dated January 13, 2021. | |
Michael Carlotti | |
Name of Director or Senior Officer | |
(signed) “Michael Carlotti” | |
Signature | |
Chief Financial Officer | |
Official Capacity |
FORM 9 – NOTICE OF ISSUANCE OR PROPOSED ISSUANCE OF LISTED SECURITIES September 2018 Page 9 |
Appendix A
PERSONAL INFORMATION COLLECTION POLICY REGARDING FORM 9
The Canadian Securities Exchange and its subsidiaries, affiliates, regulators and agents (collectively, “CSE or the “Exchange”) collect and use the information (which may include personal or other information) which has been provided in Form 9 for the following purposes:
• | • To determine whether an individual is suitable to be associated with a Listed Issuer; | |
• | To determine whether an issuer is suitable for listing; | |
• | To determine whether allowing an issuer to be listed or allowing an individual to be associated with a Listed Issuer could give rise to investor protection concerns or could bring the Exchange into disrepute; | |
• | To conduct enforcement proceedings; | |
• | To ensure compliance with Exchange Requirements and applicable securities legislation; and | |
• | To fulfil the Exchange’s obligation to regulate its marketplace. | |
The CSE also collects information, including personal information, from other sources, including but not limited to securities regulatory authorities, law enforcement and self-regulatory authorities, regulation service providers and their subsidiaries, affiliates, regulators and agents. The Exchange may disclose personal information to these entities or otherwise as provided by law and they may use it for their own investigations.
The Exchange may use third parties to process information or provide other administrative services. Any third party will be obliged to adhere to the security and confidentiality provisions set out in this policy.
All personal information provided to or collected by or on behalf of The Exchange and that is retained by The Exchange is kept in a secure environment. Only those employees who need to know the information for the purposes listed above are permitted access to the information or any summary thereof. Employees are instructed to keep the information confidential at all times.
Information about you that is retained by the Exchange and that you have identified as inaccurate or obsolete will be corrected or removed.
If you wish to consult your file or have any questions about this policy or our practices, please write the Chief Privacy Officer, Canadian Securities Exchange, 220 Bay Street – 9th Floor, Toronto, ON, M5J 2W4.
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