Why OrganiGram Holdings Stock Dropped Today
Canadian marijuana grower OrganiGram Holdings (NASDAQ: OGI) has had an eventful month, as the stock rose about 15% in March. But some investors are taking profits today after the company announced a new acquisition has been funded with the sale of about 5 million shares of common stock. As of 10:45 a.m. EDT on Tuesday, shares were down about 5%.
OrganiGram said today that it has acquired The Edibles & Infusions Corporation (EIC), a maker of "highly customizable, precise, and scalable cannabis-infused products, including edibles." The acquisition gives OrganiGram a second operating facility, and a footprint in Western Canada. EIC's manufacturing site is in Winnipeg, Manitoba, while OrganiGram's lone manufacturing facility is in New Brunswick.
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Source Fool.com
