Independent firms recommend Aphria shareholders approve merger

Medical marijuana plants. ( file photo by Ricardo Veneza)

Leamington cannabis producer, Aphria, will hold a special meeting next week about its merger with Tilray, but before that, two independent firms think shareholders should vote yes.

The transaction, announced last December, will create the world’s largest producer of cannabis.

Institutional Shareholders Services Inc. calls the deal “sound.” It said the merger with the B.C. pot producer would “deliver $100-million in pre-tax synergies.”

“Aphria will receive 0.8381 shares of Tilray for each Aphria common share,” it said.

Glass Lewis and Co. LLC also conducted an independent review of the transaction and believes it is fair and favourable to Aphria shareholders.

The board of directors at Aphria voted unanimously in favour of the merger and recommended approval.

A release from Aphria said the deadline for shareholders to vote by proxy is 4 p.m. Monday, April 12. They can vote online or over the phone.

The special meeting starts at 4 p.m. on April 14.