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Acreage Holdings, Inc. (ACRGF)

Other OTC - Other OTC Delayed Price. Currency in USD
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2.7700-0.0250 (-0.89%)
At close: 3:59PM EDT
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  • P
    Pedro
    why are investors not pumping money into this one ??
  • C
    ClintonT
    Looks like someone might actually have an interest in CGC, could it be STZ finally buying more of the company? If so, then look for ACRDF and ACRHF to follow soon.
  • b
    bellbell63
    H shares selling at 53% discount to "trigger" price. Seems much too big of a discount unless something untoward is afoot. Is CGC going to try and re-do the deal again - offering a cash bribe in exchange for lowering the ratio again? Did it once, they can do it again.
  • N
    NY Poster
    Question for you gentlemen: If I have 1000 shares of ACRHF then upon conversion will I get .30 x price of CGC = shares of CGC ? Or equivalent cash? Also, I get confused about .7 and .3 fixed vs floating. Is that a moot point if I only have fixed class? Thanks in advance
  • R
    Robbie
    Good day to buy the floaters as the gap narrows
  • B
    Blue
    It's weird that Yahoo deleted my post for my reason to invest in ACRHF (fixed shares) and not ACRDF (floating shares). Let's try again.

    First, the facts:

    1. Within the next 10 years, whenever the "Trigger Event" happens, CGC is "obligated" to take over 70% of Acreage in the form of the ACRHF shares which convert at the rate of 0.3048 CGC per ACRHF.

    2. Within the next 10 years, CGC can wave the Trigger Event to do the same above.

    3. If (1) or (2) happen, CGC has the option to buy the rest of Acreage in the form of ACRDF shares at least 6.41USD or the average of ACRDF over the 30 days before the occasion if that is higher than 6.41USD.

    Now, the Trigger Event is essentially the change of US laws so that marijuana commerce is legal at the federal level. Given how states are moving toward legalization and the need for a new source of revenue for both federal and state governments, I think this will have to happen. The new administration also has the option to remove marijuana from the Controlled Substance List by the power of the Attorney General with consultation with the FDA and the HHS Secretary. This means that the Trigger Event can happen in 2021 or shortly after.

    Going back to how CGC may acquire Acreage in the terms of ACRHF or ACRDF, the number "6.41 / 0.3048" or 21.03USD is important to think about. If CGC price is above this, ACRHF is worth more than ACRDF as long as ACRDF is less than 6.41USD. Even if it is greater than 6.41USD, it must be greater than 0.3048 CGC to make it better than ACRHF. Lastly, given that CGC can always use option (2) above to take over Acreage if Acreage business takes off, it is unlikely that ACRDF could ever be worth more than ACRHF.

    CGC will continue to grow and become a major player in the marijuana space so it is worth to own its stock directly. But since I believe that the trigger event will happen and happen soon, I think ACRHF is a better way to own CGC. ACRDF directly measures the value of Acreage business and legalization will be great for it but for reasons above about short term happening of the trigger event, I think ACRHF is the way to go.
  • N
    NY Poster
    Q: What is the Triggering Event Date?

    A: The Triggering Event Date is defined in the Arrangement Agreement to mean the date that United States federal Laws are amended to: (i) permit the general cultivation, distribution and possession of marijuana; or (ii) remove the regulation of such activities from United States federal Laws.

    Q: What would constitute the “removal of such activities from the federal Laws of the Unites States”?

    A: The removal of marijuana as a Schedule I controlled substance under the Controlled Substances Act, such that it would no longer be a violation of United States federal Law to grow, process, distribute or possess marijuana.

    Q: In particular, would rescheduling marijuana as a Schedule II controlled substance under the Controlled Substances Act satisfy the “removal of such activities from the federal Laws of the United States”?

    A: Generally speaking, no. A rescheduling of marijuana as a Schedule II controlled substance under the Controlled Substances Act, absent additional federal Law or regulation clarifying such a move, would not permit the general cultivation, distribution and possession of marijuana as federal regulations would need to be further promulgated in connection with the rescheduling and, as a controlled substance (albeit a Schedule II controlled substance), one would still need a prescription for it from a doctor in order to legally obtain the drug under federal Law.

    Q: What would constitute a Triggering Event?

    A: The Triggering Event would require a change to federal laws in the United States, beyond the mere passing of the STATES Act and the SAFE Banking Act; however, Canopy Growth may waive the requirements necessary to constitute a Triggering Event. Accordingly, if changes in federal law occur but do not satisfy the express definition of the Triggering Event, Canopy Growth has indicated that it intends to waive the Triggering Event, provided that it is federally permissible to do so, it would not violate the policies of the TSX or NYSE or put Canopy Growth offside any obligations or covenants to any third-party, including with respect to its banking relationships in both Canada and the United States.
  • R
    Robbie
    Nice volume for a change. Makes you think someone knows something is about to happen.
  • R
    Robbie
    Canopy in breakout mode
  • P
    Paulino
    MSOs up 5%
    and yet acreage floaters are still stuck at 3
    wow
  • D
    Dean
    can anyone come up with news which sparked this run?
  • R
    Robbie
    Crazy how this goes from 600k shares traded yesterday on no news down to nothing today on no news.
  • B
    Billy
    look at CGC! HOPE we do something!
  • D
    Dean
    over a 100% gain if the transaction happened today.
  • C
    ClintonT
    CGC is taking off again
  • P
    Paulino
    Cdn Lps are up 10-20% after hours boom
    trump will allow transition to biden
    acreage shares should be up 20% tomorrow
  • R
    Robbie
    Maybe new highs coming in the next few days.
  • J
    John # 2
    how does everyone feel about Acreage & the current SP? Hold, Sell, Buy more? opinions please
  • N
    NØRSE
    Does the gap between ACRDF (Float) and ACRHF (Fixed) continue to widen, or eventually close? Unfortunately, I anticipate further widening, which stings as I still hold a small lot of shares that wouldn't fill at 4.10.

    Thoughts?
  • H
    Harry
    Big news MJ .House majority to introduce floor vote next week to legalize cannabis .CGC .WILL TAKE OVER ACRHF .STOCK UNDERVALUE. CGC. $30.ACRHF $10.00 PLUS. SO YOU CAN SELL.