Pot Grower Zenabis Looks To Fend Off Purported Takeover – Law360

Law360 (January 6, 2021, 5:24 PM EST) — Cannabis grower Zenabis Global Inc. said Wednesday it is in talks with a potential buyer as it looks to fend off what it describes as a hostile takeover by competitor Sundial Growers Inc., which owns Zenabis debt and claims the Canadian company is in default.

Zenabis said in a statement it has entered exclusive discussions for a potential merger deal with a “significant licensed cannabis producer,” which it declined to name. The company denied Sundial’s Wednesday claims that it defaulted on its debt, saying the Calgary company is looking to “coerce” a sale.

Sundial’s claims of a default are “spurious and…