January 12, 2018 12:43 pm
Updated: January 12, 2018 1:51 pm

The Tragically Hip backs Newstrike’s deal to be bought by CanniMed

The Tragically Hip have released a statement backing Newstrike Resources’ deal to be acquired by CanniMed Therapeutics.

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Newstrike Resources Ltd. says the Tragically Hip is backing the company’s deal to be acquired by CanniMed Therapeutics Inc.

The band is a creative partner and shareholder in Newstrike, the company (TSXV:HIP) says.

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READ MORE: Leading advisory firm backs CanniMed Therapeutics acquisition of Newstrike

In a statement on behalf of the band, guitarist Rob Baker said the combination “will create shareholder value and a formidable force in the Canadian cannabis market for many decades to come.”

Saskatoon-based CanniMed (TSX:CMED) struck a friendly deal in November to acquire Newstrike in an all-stock transaction.

CanniMed shareholders would own approximately 65 per cent of the combined company, while Newstrike shareholders would hold the remaining 35 per cent.

However, Aurora Cannabis Inc. (TSX:ACB) is looking to stop the deal as part of its own hostile offer to buy CanniMed.

© 2018 The Canadian Press

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