Organigram Closes Third Tranche of BAT Private Placement Investment

Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), a leading licensed producer of cannabis, has announced the closure of the third and final tranche of its previously announced C$124.6 million private placement investment by BT DE Investments Inc., a wholly-owned subsidiary of British American Tobacco plc (BAT). This strategic investment, which totals C$41.5 million, will be used to fund Organigram's "Jupiter" strategic investment pool, focusing on international expansion, technological advancements, and product innovation.

The closure of the third tranche of BAT's investment in Organigram is a significant development for the latter's financial position and strategic growth plans. The investment, which totals C$124.6 million, will be used to fund a strategic investment pool named "Jupiter," which is designed to accelerate Organigram's international growth ambitions. The Jupiter Pool targets investments both overseas and in the United States, with rigorous legal compliance processes. Following the closing of the first tranche on January 23, 2024, Organigram has already made two significant investments from the Jupiter Pool: USD $2 million in Open Book Extracts (OBX) and €14 million in Sanity Group GmbH.



These investments demonstrate Organigram's commitment to expanding its global footprint and diversifying its revenue streams. With the closure of the third tranche, Organigram will have access to additional capital, which will enable it to continue pursuing strategic investments and international expansion opportunities. This, in turn, is expected to drive revenue growth and create long-term value for shareholders.

The investment in the "Jupiter" strategic investment pool aligns with Organigram's long-term growth strategy by focusing on international expansion, technological advancements, and product innovation. The strategic investments facilitated by the Jupiter pool support Organigram's long-term growth strategy by diversifying its revenue streams, expanding its market reach, and driving innovation in the cannabis industry.