Province of Alberta
|
2833
|
Not Applicable
|
(State or other jurisdiction of
incorporation or organization)
|
(Primary Standard Industrial Classification Code Number)
|
(I.R.S. Employer
Identification No.)
|
#200, 919 – 11 Avenue SW
Calgary, AB T2R 1P3
(403) 948-5227
|
||
(Address, including zip code, and telephone number, including area code, of Registrant’s principal executive offices)
|
Large accelerated filer
|
|
☐
|
|
Accelerated filer
|
|
☐
|
Non-accelerated filer
|
|
☐
|
|
Smaller reporting company
|
|
☐
|
Emerging growth company
|
☒
|
|||||
Title Of Securities
To Be Registered
(1)
|
|
Amount
To Be
Registered
|
|
Proposed
Maximum
Offering Price Per Share |
|
Proposed
Maximum
Aggregate Offering Price |
|
Amount Of
Registration Fee |
||
Common shares, no par value (“
Common Shares
”)
(1)
|
||||||||||
Sundial Growers Inc. Restricted and Performance Share Unit Plan July 29, 2019 and Sundial
Growers Inc. Stock Option Plan July 29, 2019 (Future issuances)
|
|
8,939,255
|
|
$12.60
(2)
|
|
$112,634,613
|
|
$13,651.32
|
||
Sundial Growers Inc. Legacy Warrant Grants (Outstanding Simple Warrants)
|
10,393,866
|
$3.86
(3)
|
$40,120,322.76
|
$4,862.58
|
||||||
Sundial Growers Inc. Legacy Warrant Grants (Outstanding Performance Warrants)
|
6,005,222
|
$2.53
(4)
|
$15,193,211.66
|
$1,841.42
|
||||||
Total:
|
25,338,343
|
--
|
$167,948,147.42
|
$20,355.32
|
||||||
|
||||||||||
(1)
|
Represents Common Shares issuable under the Sundial Growers Inc. Restricted and Performance Share Unit Plan July 29, 2019, the
Sundial Growers Inc. Stock Option Plan July 29, 2019 and outstanding simple and performance warrants previously issued by Sundial Growers Inc. In addition, this Registration Statement also relates to such indeterminable number of additional
Common Shares as may be issuable pursuant to stock splits, stock dividends or similar transactions.
|
|||||||||
(2)
|
The price of the Common Shares underlying the restricted and performance share units and the options not yet issued and registered
under this Registration Statement is estimated pursuant to Rule 457(c) and 457(h) under the Securities Act of 1933, as amended (the “
Securities
Act
”), solely for the purpose of computing the registration fee, based on the average of the high and low sale prices of the Registrant’s Common Shares, as quoted on the Nasdaq Global Market, on August 6, 2019.
|
|||||||||
(3)
|
Estimated solely for the purposes of calculating the registration fee pursuant to Rule 457(h) under the Securities Act of 1933, as
amended. The price of Common Shares underlying outstanding simple warrants is calculated based on the weighted average exercise price of the simple warrants of $3.86.
|
|||||||||
(4)
|
Estimated solely for the purposes of calculating the registration fee pursuant to Rule 457(h) under the Securities Act of 1933, as
amended. The price of Common Shares underlying outstanding performance warrants is calculated based on the weighted average exercise price of the performance warrants of $2.53.
|
|
(a) |
The Registrant’s registration statement on Form F-1 filed with the Commission on July 5, 2019, as amended and supplemented by Amendments No. 1 and 2 on Form F-1/A
filed with the Commission on July 23, 2019 and July 30, 2019, respectively, containing the Registrant’s audited consolidated financial statements for the ten-month period ended December 31, 2018 and the years ended February 28, 2018 and
2017, and unaudited interim consolidated financial statements for the three-month periods ended March 31, 2019 and March 31, 2018.
|
|
(b) |
All other reports filed by the Registrant pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the “
Exchange Act
”), since the end of the fiscal year covered by the registration statement referred to in (a) above (other than portions of those documents furnished or
not otherwise deemed to be filed).
|
|
(c) |
The description of the Registrant’s Common Shares contained in the Registrant’s registration statement referred to in (a) above, and any amendments or reports filed
with the Commission for the purpose of updating such description.
|
Exhibit
Number |
|
Description of Document
|
|
||
|
||
|
||
Sundial Growers Inc.
(Registrant)
|
||||
By: | /s/ Torsten Kuenzlen | |||
Torsten Kuenzlen | ||||
Chief Executive Officer | ||||
Signatures
|
Title
|
Date
|
/s/ Torsten Kuenzlen | ||
Torsten
Kuenzlen
|
Chief Executive Officer (Principal Executive Officer)
|
August 8, 2019
|
/s/ James Keough | ||
James
Keough
|
Chief Financial Officer (Principal Financial Officer and Principal Accounting Officer)
|
August 8, 2019
|
/s/ Edward Hellard | ||
Edward
Hellard
|
Executive Chairman and Director
|
August 8, 2019
|
/s/ Greg Mills | ||
Greg Mills
|
Non-Executive Chairman and Director
|
August 8, 2019
|
/s/ Gregory Turnbull | ||
Gregory
Turnbull
|
Director
|
August 8, 2019
|
/s/ Lee Tamkee | ||
Lee Tamkee
|
Director
|
August 8, 2019
|
/s/ Elizabeth Cannon | ||
Elizabeth
Cannon
|
Director
|
August 8, 2019
|
By: | /s/ Donald J. Puglisi | |||
Name: | Donald J. Puglisi | |||
Title: | Managing Director, Puglisi & Associates | |||
Service Request Number:
|
31456075
|
Corporate Access Number:
|
2012627127
|
File Year
|
Date Filed
|
2018
|
2018/11/08
|
2017
|
2017/11/08
|
2016
|
2017/06/13
|
Attachment Type
|
Microfilm Bar Code
|
Date Recorded
|
Share Structure
|
ELECTRONIC
|
2006/08/19
|
Restrictions on Share Transfers
|
ELECTRONIC
|
2006/08/19
|
Other Rules or Provisions
|
ELECTRONIC
|
2014/04/07
|
Share Structure
|
ELECTRONIC
|
2014/04/07
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2014/05/09
|
Other Rules or Provisions
|
ELECTRONIC
|
2015/10/19
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2019/07/22
|
Articles/Plan of Arrangement/Court Order
|
10000007124660680
|
2019/07/31
|
Government
|
1. Name of Corporation
|
2. Corporate Access Number
|
SUNDIAL GROWERS INC.
|
2012627127
|
Article 4 of the Articles of the Corporation is amended pursuant to subsection 173(1)(1) of the ABCA to increase the maximum number of directors of the Corporation from ten (10) to fifteen (15)
|
Service Request Number:
|
31453686
|
Corporate Access Number:
|
2012627127
|
File Year
|
Date Filed
|
2018
|
2018/11/08
|
2017
|
2017/11/08
|
2016
|
2017/06/13
|
Attachment Type
|
Microfilm Bar Code
|
Date Recorded
|
Share Structure
|
ELECTRONIC
|
2006/08/19
|
Restrictions on Share Transfers
|
ELECTRONIC
|
2006/08/19
|
Other Rules or Provisions
|
ELECTRONIC
|
2014/04/07
|
Share Structure
|
ELECTRONIC
|
2014/04/07
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2014/05/09
|
Other Rules or Provisions
|
ELECTRONIC
|
2015/10/19
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2019/07/22
|
Articles/Plan of Arrangement/Court Order
|
10000007124660680
|
2019/07/31
|
Registration Authorized By:
|
NATHAN ROBB
|
|
|
SOLICITOR
|
|
1. Name of Corporation
|
2. Corporate Access Number
|
SUNDIAL GROWERS INC.
|
2012627127
|
3. |
In accordance with the Order of the Court of Queen’s Bench of Alberta dated July 3, 2019 (the “Final Order”) approving the arrangement (the “Arrangement”) pursuant to subsection 193(1)(a) of the
Business Corporations Act
(Alberta) involving Sundial Growers Inc. and the holders of common shares of Sundial Growers Inc., a copy of which is attached hereto as Schedule “A” and the plan of arrangement attached to the Final Order (the “Plan of Arrangement”), the Arrangement is hereby effected. The Final Order is incorporated into and forms part of these Articles of Arrangement.
|
COURT FILE NUMBER
|
1901-07631
|
||
COURT
|
COURT OF QUEEN’S BENCH OF ALBERTA
|
||
JUDICIAL CENTRE
|
CALGARY
|
||
MATTER
|
IN THE MATTER
OF SECTION 193 OF THE BUSINESS
CORPORATIONS ACT,
RSA 2000, C B-9, AS AMENDED
AND IN THE MATTER
OF A PROPOSED ARRANGEMENT INVOLVING SUNDIAL GROWERS INC. AND THE SECURITYHOLDERS OF SUNION
|
||
APPLICANT
|
SUNDIAL GROWERS INC.
|
|
|
DOCUMENT
|
FINAL ORDER
|
||
ADDRESS FOR SERVICE
AND CONTACT
INFORMATION OF PARTY
FILING THIS DOCUMENT
|
McCarthy Tétrault LLP
4000, 421 — 7th Avenue SW
Calgary, AB T2P 4K9
|
||
Attention: | Tim St. J. Ellam, Q.C. | ||
Telephone: | (403) 260-3533 | ||
Fax: | (403) 260-3501 | ||
Our File No. | 220099.520512 |
DATE ON WHICH ORDER WAS PRONOUNCED:
|
July 3, 2019
|
NAME OF JUDGE WHO MADE THIS ORDER:
|
Madam Justice Barbara E.C. Romaine
|
LOCATION OF HEARING:
|
Calgary Courts Centre
|
|
(a) |
the capitalized terms not otherwise defined in this Order (the “
Final Order
”) shall have the meanings attributed to them in the Interim Order and the Information Circular (with schedules, annexes and exhibits thereto being defined collectively as the “
Information Circular
”) of the Applicant which are attached as Exhibit “A” to the Supplemental Sundial Affidavit; and,
|
|
(b) |
all references to “
Arrangement
” used herein mean the arrangement as set forth in the plan of arrangement, as amended, Appendix “A” to the Information Circular, as amended and attached as
Schedule “A”
hereto, which Arrangement will be implemented in accordance with the terms of the Plan of Arrangement.
|
3. |
It is declared that the Sundial Meeting was conducted and that the Arrangement Resolution was approved in accordance with the Interim Order.
|
4. |
It is declared that the statutory procedures applicable to the Arrangement have been met and satisfied.
|
5. |
It is declared that the Originating Application, the Arrangement, and Plan of Arrangement, have been put forward in good faith.
|
6. |
It is declared that the terms and conditions of the Plan of Arrangement and the Arrangement, and the procedures relating thereto, are fair and reasonable, both from a substantive and procedural point of view, to the Sundial Securityholders and all persons affected thereby.
|
7 |
The Arrangement proposed by the Applicant, on the terms set forth in
Schedule
“
A
” to this Final Order, is hereby approved by the Court under Section 193(9) of the
ABCA.
|
8. |
The articles of arrangement reflecting the Arrangement and in connection thereto (collectively, the “
Articles of Arrangement
”) shall be filed, subject to the Sundial Board’s decision to proceed with the Arrangement, pursuant to the provisions of Section 193 of the
ABCA
on such date as Sundial determines in accordance with the terms of the Arrangement.
|
9. |
Service and notice of the Originating Application, the notice in respect of the Sundial Meeting, the Final Meeting Materials, the Interim Order, is hereby deemed to be good and sufficient service for all purposes on all interested parties.
|
10. |
Service of this Final Order shall be made on all such persons who appeared on this application for Final Order, either by counsel or in person. Service on all other individuals is hereby dispensed with.
|
11. |
Sundial, on notice to such parties as the Court may order, may seek leave at any time prior to the filing of the Articles of Arrangement to vary this Final Order or to seek advice and directions as to the implementation of this Final Order.
|
|
|
|
Justice of the Court of Queen’s Bench of Alberta
|
|
2.2.1 |
At the Effective Time, Schedule “B” of the Articles shall be amended to remove transfer restrictions on the shares by replacing the restrictions set out in Schedule “B” of the Articles with
“None.”
|
|
2.3.1 |
to be subject to and bound by the Transfer Undertaking, as a binding enforceable agreement between the holder and the Corporation; and
|
|
2.3.2 |
to irrevocably appoint the Corporation as its agent and attorney to take all such further actions and execute all such further documents, and cause all such further actions to be taken and all such further documents to be executed, as the Corporation may consider necessary or desirable to fully give effect to the matters contemplated by the Arrangement, including the Transfer Undertaking.
|
3.1 |
Sundial reserves the right to amend, modify or supplement this Plan of Arrangement at any time and from time to time prior to the Effective Date, provided that except as provided in section 3.4, each amendment, modification or supplement must be (i) set out in writing, (ii) filed with the Court and, if made following the Meeting, approved by the Court, and (iii) communicated (whether prior or subsequent thereto) to Shareholders and Warrantholders if and as required by the Court.
|
3.2 |
Any amendment, modification or supplement to this Plan of Arrangement may be proposed by Sundial at any time prior to the Meeting and if so proposed and approved by the Persons voting at the Meeting (other than as may be required under the Interim Order), shall become part of this Plan of Arrangement for all purposes.
|
3.3 |
Any amendment, modification or supplement to this Plan of Arrangement that is approved or directed by the Court following the Meeting shall be effective only, if required by the Court, if it is consented to by holders of Common Shares and Warrants voting in the manner directed by the Court.
|
3.4 |
Subject to applicable law, any amendment, modification or supplement to this Plan of Arrangement may be made following the Effective Date unilaterally by Sundial, provided that it concerns a matter which, in the reasonable opinion of Sundial, is of an administrative nature required to better give effect to the implementation of this Plan of Arrangement and is not adverse to the financial or economic interests of any holder of Common Shares or Warrants.
|
4.1 |
Notwithstanding that the transactions and events set out in this Plan of Arrangement are to occur and shall be deemed to occur in the order set out in this Plan of Arrangement without any further act or formality, each of the parties to the Plan of Arrangement shall make, do and execute, or cause to be made, done and executed, all further acts, deeds, agreements, transfers, assurances, instruments or documents as may reasonably be required by any of them in order to document or evidence any of the transactions or events set out in this Plan of Arrangement.
|
5.1 | The board of directors of Sundial, at their sole discretion, may determine not to proceed with all or any part of the Arrangement at any time prior to the Effective Time notwithstanding (i) that holders of Common Shares and Warrants have approved the Arrangement Resolution, (ii) that the Final Order has been received, and (iii) section 193(10) of the ABCA, if the board of directors of Sundial determines that it is not in the best interests of Sundial to complete the Arrangement. |
5.2 |
Notwithstanding that the Final Order has been received, the Articles of Arrangement shall only be filed when the board of directors of Sundial determines that it is in the best interests of Sundial to do so.
|
5.3 |
If the Articles of Arrangement are not filed on or before June 30, 2021, the board of directors of Sundial shall be deemed to have determined not to proceed with the Arrangement.
|
6.1 |
Sundial is not required to send non-registered holders of Common Shares or Warrants any Circulars or proxy forms or otherwise notify or contact any nonregistered holder of Common Shares or Warrants. Only registered holders of Common Shares and Warrants are permitted to vote to approve this Plan of Arrangement or the Arrangement and any votes made by non-registered holders shall be void.
|
Date of Release
|
Amount of Holder’s Shares Released from these Restrictions
|
On the first business day in the City of Calgary, in the Province of Alberta (“
Business Day
”) that is three months after the date of completion of the potential Offering (“
IPO Date
”)
|
25% of the Holder’s Shares issued and outstanding on that date
|
On the first Business Day that is six months after the IPO Date
|
25% of the Holder’s Shares issued and outstanding on that date
|
On the first Business Day that is nine months after the IPO Date
|
25% of the Holder’s Shares issued and outstanding on that date
|
On the first Business Day that is twelve months after the IPO Date
|
The remainder of the Holder’s Shares
|
(i) |
if the Holder is a natural person, transfers of Common Shares or securities convertible into or exercisable or exchangeable for Common Shares (A) by will, other testamentary document or intestate succession, (B) to any trust for the direct or indirect benefit of the Holder or, as a bona fide gift, an immediate family (as defined below) member of the Holder, or to any other entity that is wholly-owned by such persons, (C) transfers to any immediate family member as a bona fide gift or any investment fund or other entity controlled or managed by the Holder, or (D) transfers to a nominee or custodian of a person or entity to whom a disposition or transfer would be permissible under clauses (A) through (C);
|
(ii) |
if the Holder is a corporation, partnership or other business entity, transfers or distributions of Common Shares or any security convertible into or exercisable or exchangeable for Common Shares to members, partners, stockholders or affiliates (within the meaning set forth in Rule 405 under the
Securities Act of 1933,
as amended (the “
Securities Act
”)) of the Holder (other than the Corporation and its controlled affiliates), including investment funds or other entities under common control or management with the Holder;
|
(iii) |
transfers of Common Shares acquired by the Holder in open market transactions after the completion of the Offering (as such Common Shares will not constitute Holder’s Shares subject to these restrictions);
|
(iv) |
tenders, sales or other transfers in response to a bona fide third-party takeover bid or tender offer made to all holders of Common Shares or any other acquisition transaction whereby all or substantially all of the Common Shares are acquired by a third party (provided that if such transaction is not consummated, or if the tendered Common Shares are withdrawn, the subject Common Shares shall once again become subject to the restrictions set forth herein) that, in each case, has been approved by the board of directors of the Corporation and will occur after the Offering;
|
(v) |
transfers to the Corporation in connection with, and to the extent necessary to fund, the payment of taxes or exercise price due with respect to the vesting of restricted stock or vesting or exercise of similar rights to purchase Common Shares or any securities convertible into or exercisable or exchangeable for Common Shares pursuant to the Corporation’s equity incentive plans disclosed in the U.S. registration statement and/or the Canadian prospectus relating to the Offering; and
|
(vi) |
the establishment of a trading plan pursuant to Rule 10b5-1 under the
Securities Exchange Act of 1934,
as amended (the “
Exchange Act
”), or similar automatic plan in compliance with Canadian securities laws for the transfer of Common Shares, provided that such plan does not permit the transfer of Common Shares during the Lock-Up Period and no filing under Section 16(a) of the Exchange Act or the insider reporting requirements of Canadian securities laws or other public announcement shall be required or shall be voluntarily made during the Lock-Up Period by the Holder or the Corporation as a result of the establishment of any such plan;
|
Service Request Number:
|
31393985
|
Corporate Access Number:
|
2012627127
|
File Year
|
Date Filed
|
2018
|
2018/11/08
|
2017
|
2017/11/08
|
2016
|
2017/06/13
|
Attachment Type
|
Microfilm Bar Code
|
Date Recorded
|
Share Structure
|
ELECTRONIC
|
2006/08/19
|
Restrictions on Share Transfers
|
ELECTRONIC
|
2006/08/19
|
Other Rules or Provisions
|
ELECTRONIC
|
2014/04/07
|
Share Structure
|
ELECTRONIC
|
2014/04/07
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2014/05/09
|
Other Rules or Provisions
|
ELECTRONIC
|
2015/10/19
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2019/07/22
|
Registration Authorized By:
|
GREGORY TURNBULL
|
|
|
DIRECTOR
|
|
1. Name of Corporation
|
2. Corporate Access Number
|
SUNDIAL GROWERS INC.
|
2012627127
|
3. |
The Articles of the Corporation are amended pursuant to Section 27.1(1) of the
Business Corporations Act
(Alberta) to split the current issued and outstanding Common Shares on the basis of 1.6 Common Shares for each issued and outstanding Common Share, as set out in the Schedule re Share Split attached hereto. Where the split would otherwise result in a holder of Common Shares being entitled to receive a fraction of a Common Share, the fractional share will be rounded down to the nearest whole Common Share and the holder will not receive any payment or other consideration in lieu of a fractional Common Share.
|
Name of Person Authorizing
(please print)
|
Signature
|
|
Title
(please print)
|
Date
|
Service Request Number:
|
24097064
|
Corporate Access Number:
|
2012627127
|
File Year
|
Date Filed
|
2015
|
2015/10/19
|
2014
|
2014/10/09
|
2013
|
2013/07/02
|
Attachment Type
|
Microfilm Bar Code
|
Date Recorded
|
Share Structure
|
ELECTRONIC
|
2006/08/19
|
Restrictions on Share Transfers
|
ELECTRONIC
|
2006/08/19
|
Other Rules or Provisions
|
ELECTRONIC
|
2014/04/07
|
Share Structure
|
ELECTRONIC
|
2014/04/07
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2014/05/09
|
Other Rules or Provisions
|
ELECTRONIC
|
2015/10/19
|
Registration Authorized By:
|
STANLEY SWIATEK
|
|
|
PRESIDENT
|
|
Service Request Number:
|
21433564
|
Corporate Access Number:
|
2012627127
|
File Year
|
Date Filed
|
2013
|
2013/07/02
|
2012
|
2012/07/03
|
2011
|
2011/07/08
|
Attachment Type
|
Microfilm Bar Code
|
Date Recorded
|
Share Structure
|
ELECTRONIC
|
2006/08/19
|
Restrictions on Share Transfers
|
ELECTRONIC
|
2006/08/19
|
Other Rules or Provisions
|
ELECTRONIC
|
2014/04/07
|
Share Structure
|
ELECTRONIC
|
2014/04/07
|
Consolidation, Split, Exchange
|
ELECTRONIC
|
2014/05/09
|
Service Request Number:
|
21268344
|
Corporate Access Number:
|
2012627127
|
File Year
|
Date Filed
|
2013
|
2013/07/02
|
2012
|
2012/07/03
|
2011
|
2011/07/08
|
Attachment Type
|
Microfilm Bar Code
|
Date Recorded
|
Restrictions on Share Transfers
|
ELECTRONIC
|
2006/08/19
|
Share Structure
|
ELECTRONIC
|
2006/08/19
|
Other Rules or Provisions
|
ELECTRONIC
|
2014/04/07
|
Share Structure
|
ELECTRONIC
|
2014/04/07
|
Registration Authorized By:
|
LOUISE K. LEE
|
|
|
SOLICITOR
|
|
(a) |
to receive notice of and to attend and vote at all meetings of shareholders, except meetings at which only holders of a specified class of shares are entitled to vote;
|
(b) |
to receive any dividend declared by the Corporation on this class of shares; provided that the Corporation shall be entitled to declare dividends on the Preferred shares, or on any other classes of shares without being obliged to declare any dividends on the Common shares of the Corporation;
|
(c) |
subject to the rights, privileges, restrictions and conditions attaching to any other class of shares of the Corporation, to receive the remaining property of the Corporation upon dissolution in equal rank with the holders of all other Common shares of the Corporation.
|
2. |
An unlimited number of Preferred shares, which as a class, have attached thereto the following rights, privileges, restrictions and conditions:
|
(a)
|
the Preferred shares may from time to time be issued in one or more series, and the Directors may fix from time to time before such issue the number of Preferred shares which is to comprise each series and the designation, rights, privileges, restrictions and conditions attaching to each series of Preferred shares including, without limiting the generality of the foregoing, any voting rights, the rate or amount of dividends or the method of calculating dividends, the dates of payment thereof, the terms and conditions of redemption, purchase and conversion if any, and any sinking fund or other provisions;
|
(b) |
the Preferred shares of each series shall, with respect to the payment of dividends and the distribution of assets or return of capital in the event of liquidation, dissolution or winding-up of the Corporation, whether voluntary or involuntary, or any other return of capital or distribution of the assets of the Corporation amongst its shareholders for the purpose of winding up its affairs, be entitled to preference over the Common shares and over any other shares of the Corporation ranking by their terms junior to the Preferred shares of that series. The Preferred shares of any series may also be given such other preferences, not inconsistent with these Articles, over the Common shares and any other such Preferred shares as may be fixed in accordance with clause (2)(a); and
|
(c) |
if any cumulative dividends or amounts payable on the return of capital in respect of a series of Preferred shares are not paid in full, all series of Preferred shares shall participate rateably in respect of accumulated dividends and return of capital.
|
1. |
The directors may, between annual meetings, appoint one or more additional directors of the Corporation to serve until the next annual meeting, but the number of additional directors shall not at any time exceed one-third (1/3) of the number of directors who held office at the expiration of the last annual meeting of the Corporation.
|
3. |
Any invitation to the public to subscribe for securities of the corporation is prohibited.
|
Share Structure:
|
SEE SCHEDULE “A” ATTACHED
|
Share Transfers Restrictions:
|
SEE SCHEDULE “B” ATTACHED
|
Number of Directors:
|
|
Min Number of Directors:
|
1
|
Max Number of Directors:
|
10
|
Business Restricted To:
|
NONE
|
Business Restricted From:
|
NONE
|
Other Provisions:
|
NONE
|
Service Request Number:
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9023947
|
Alberta Corporation Type:
|
Named Alberta Corporation
|
Legal Entity Name:
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SUNDIAL GROWERS INC.
|
French Equivalent Name:
|
|
Nuans Number:
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87283564
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Nuans Date:
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2006/07/28
|
French Nuans Number:
|
|
French Nuans Date:
|
|
REGISTERED ADDRESS
|
|
Street:
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15 SPRING GATE ESTATES
|
Legal Description:
|
|
City:
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CALGARY
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Province:
|
ALBERTA
|
Postal Code:
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T3Z 3L2
|
RECORDS ADDRESS
|
|
Street:
|
|
Legal Description:
|
|
City:
|
|
Province:
|
|
Postal Code:
|
|
ADDRESS FOR SERVICE BY MAIL
|
|
Post Office Box:
|
|
City:
|
|
Province:
|
|
Postal Code:
|
|
Share Structure:
|
SEE SCHEDULE “A” ATTACHED
|
Share Transfers Restrictions:
|
SEE SCHEDULE “B” ATTACHED
|
Number of Directors:
|
|
Min Number Of Directors:
|
1
|
Max Number Of Directors:
|
10
|
Business Restricted To:
|
NONE
|
Business Restricted From:
|
NONE
|
Other Provisions:
|
NONE
|
Professional Endorsement Provided:
|
|
Future Dating Required:
|
|
Registration Date:
|
2006 08 19
|
Director
|
|
Last Name:
|
SWIATEK
|
First Name:
|
STANLEY
|
Middle Name:
|
J.
|
Street/Box Number:
|
15 SPRING GATE ESTATES
|
City:
|
CALGARY
|
Province:
|
ALBERTA
|
Postal Code:
|
T3Z 3L2
|
Country:
|
|
Resident Canadian:
|
Y
|
Last Name:
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ZELLER
|
First Name:
|
IRENE
|
Middle Name:
|
|
Street/Box Number:
|
15 SPRING GATE ESTATES
|
City:
|
CALGARY
|
Province:
|
ALBERTA
|
Postal Code:
|
T3Z 3L2
|
Country:
|
|
Resident Canadian:
|
Y
|
Last Name:
|
ABAD
|
First Name:
|
CARLITO
|
Middle Name:
|
A.
|
Street/Box Number:
|
35 CROOKED POND GREEN
|
City:
|
CALGARY
|
Province:
|
ALBERTA
|
Postal Code:
|
T3Z 3E7
|
Country:
|
|
Resident Canadian:
|
Y
|
Last Name: | LADNER |
First Name:
|
ARLENE
|
Middle Name:
|
|
Street/Box Number:
|
35 CROOKED POND GREEN
|
City:
|
CALGARY
|
Province:
|
ALBERTA
|
Postal Code:
|
T3Z 3E7
|
Country:
|
|
Resident Canadian:
|
Y
|
Attachment Type
|
Microfilm Bar Code
|
Date Recorded
|
Share Structure
|
ELECTRONIC
|
2006/08/19
|
Restrictions on Share Transfers
|
ELECTRONIC
|
2006/08/19
|
Registration Authorized By:
|
KRISTINE DOW
|
|
|
SOLICITOR
|
|
Section 1.
|
Interpretation and Administrative Provisions
|
1
|
|
1.1
|
Purpose
|
1
|
|
1.2
|
Definitions
|
1
|
|
1.3
|
Interpretation
|
6
|
|
1.4
|
Currency
|
6
|
|
1.5
|
Administration
|
6
|
|
1.6
|
Delegation to Committee
|
6
|
|
1.7
|
Governing Law
|
6
|
|
1.8
|
Shares Subject to the Plan
|
7
|
|
1.9
|
Participation Limits
|
7
|
|
Section 2.
|
Share Units
|
7
|
|
2.1
|
Granting of RSUs or PSUs
|
7
|
|
2.2
|
Election to Defer Annual Incentive Compensation
|
7
|
|
2.3
|
Number and Type of Share Units
|
8
|
|
2.4
|
Vesting of RSUs
|
8
|
|
2.5
|
Vesting of PSUs
|
8
|
|
2.6
|
Dividend Share Units
|
8
|
|
2.7
|
Share Unit Accounts
|
9
|
|
2.8
|
Settlement of Share Units
|
9
|
|
Section 3.
|
Termination
|
9
|
|
3.1
|
Termination for Cause and Resignation (Employees)
|
9
|
|
3.2
|
Death (Employees)
|
9
|
|
3.3
|
Disability, Retirement and Termination Without Cause (Employees)
|
10
|
|
3.4
|
Termination (Consultants)
|
10
|
|
Section 4.
|
General
|
11
|
|
4.1
|
Capital Adjustments
|
11
|
|
4.2
|
Effect of a Change of Control
|
11
|
|
4.3
|
Amendment and Termination
|
12
|
|
4.4
|
Clawback
|
13
|
|
4.5
|
Non-Exclusivity
|
13
|
|
4.6
|
Unfunded Plan
|
13
|
|
4.7
|
Successors and Assigns
|
13
|
|
4.8
|
Transferability of Share Units
|
14
|
|
4.9
|
No Special Rights
|
14
|
|
4.10
|
Other Employee Benefits
|
14
|
|
4.11
|
Withholding Taxes
|
14
|
|
4.12
|
No Liability
|
15
|
|
4.13
|
Government Regulation and Grant Restrictions
|
15
|
|
4.14
|
Priority of Agreements
|
15
|
|
4.15
|
Severability
|
15
|
|
4.16
|
Effective Date
|
15
|
|
(a) |
the willful failure by a Participant to perform the Participant’s duties with respect to a Participating Company (other than due to illness);
|
|
(b) |
theft, fraud, dishonesty or misconduct by the Participant involving the property, business or affairs of a Participating Company or the carrying out of the Participant’s duties with respect to a Participating Company;
|
|
(c) |
the material breach by a Participant of the Participant’s employment agreement or consulting agreement or arrangement, the Company’s Code of Conduct (if applicable) or any of the Participant’s confidentiality, non-solicitation or non-competition obligations;
|
|
(d) |
the Participant is convicted of, or pleads guilty to, a crime which constitutes an indictable offence; or
|
|
(e) |
any other conduct that would be treated by the courts of the jurisdiction in which the Participant is employed or provides services to constitute cause for termination of employment or services.
|
|
(a) |
the acquisition of:
|
|
(i) |
Common Shares; and/or
|
|
(ii) |
Convertible Securities,
|
|
(b) |
approval by the shareholders of the Company of:
|
|
(i) |
an amalgamation, arrangement, merger or other consolidation of the Company with another corporation pursuant to which:
|
|
(A) |
the holders of Common Shares immediately prior thereto do not immediately thereafter own shares of the successor or continuing corporation which entitle them to cast more than 50% of the votes attaching to all shares in the capital of the successor or continuing corporation which may be cast to elect directors of that corporation;
or
|
|
(B) |
the Common Shares, when converted, exchanged or otherwise affected pursuant to such amalgamation, arrangement, merger or other consolidation, do not comprise shares of the successor or continuing corporation which entitle the holders thereof to cast more than 50% of the votes attaching to all shares in the capital of the successor or continuing corporation which may be cast to elect directors of that corporation;
|
|
(ii) |
a liquidation, dissolution or winding-up of the Company; or
|
|
(iii) |
the sale of all or substantially all of the assets of the Company followed by a liquidating distribution of cash or securities to the shareholders of the Company entitled to assets upon a liquidating distribution.
|
|
(a) |
is engaged to provide services on a
bona fide
basis to a Participating Company, other than services provided in relation to a distribution of securities of a Participating Company;
|
|
(b) |
provides the services under a written contract with a Participating Company; and
|
|
(c) |
spends or will spend a significant amount of time and attention on the affairs and business of a Participating Company,
|
|
(a) |
no more than 10% of the outstanding Common Shares may be issuable at any time under the Plan alone or when combined with all other Security-Based Compensation Arrangements of the Company established on or following July 29, 2019; and
|
|
(b) |
no more than 5% of the outstanding Common Shares may be issued under the Plan alone or when combined with all other Security-Based Compensation Arrangements of the Company established on or following July 29, 2019 to any one Participant.
|
|
(i) |
If a Participant’s consulting agreement or arrangement terminates by reason of: (i) termination by a Participating Company for breach of the consulting agreement or arrangement (whether or not such termination is effected in compliance with any termination provisions contained in Participant’s consulting agreement or arrangement), which includes, without limitation, a termination by a Participating Company for Cause; or (ii) voluntary termination by the Participant (whether or not such termination is effected in compliance with any termination provisions contained in the Participant’s consulting agreement or arrangement), all Share Units held by the Participant on the Participant’s Termination Date, whether vested or unvested, shall automatically terminate on the Termination Date and be of no further force or effect, and no amount shall be payable to the Participant in respect thereof as compensation, damages or otherwise.
|
|
(ii) |
If: (i) an Individual Participant’s consulting agreement or arrangement terminates by reason of death of the Individual Participant; or (ii) a Participant’s consulting agreement or arrangement terminates by reason of termination by a Participating Company for any reason whatsoever other than for breach of the consulting agreement or arrangement (whether or not such termination is effected in compliance with any termination provisions contained in the Consultant’s consulting agreement or arrangement), all unvested Share Units held by the Participant on the Participant’s Termination Date shall automatically terminate on the Termination Date and be of no further force or effect, and no amount shall be payable to the Participant in respect thereof as compensation, damages or otherwise. Any vested Share Units in the Participant’s Share Unit Account on the Participant’s Termination Date shall be settled as soon as practicable following the Termination Date in accordance with Section 2.8.
|
|
(a) |
The Board may amend or suspend any provision of the Plan or any Share Unit, or terminate this Plan, at any time without security holder approval, subject to those provisions of applicable law and the rules, regulations and policies of any stock exchange on which the Common Shares are listed, if any, that require the approval of security holders or any governmental or regulatory body regardless of whether any such amendment or suspension is material, fundamental or otherwise, and notwithstanding any rule of common law or equity to the contrary. However, except as expressly set forth herein or as required pursuant to applicable law, no action of the Board or security holders may materially adversely alter or impair the rights of a Participant under any Share Unit previously granted to the Participant without the consent of the affected Participant. Without limiting the generality of the foregoing, the Board may make the following types of amendments to this Plan or any Share Units without seeking security holder approval:
|
|
(i) |
amendments of a “housekeeping” or administrative nature, including any amendment for the purpose of curing any ambiguity, error or omission in this Plan or any Award Agreement or to correct or supplement any provision of this Plan or any Award Agreement that is inconsistent with any other provision of this Plan or any Award Agreement;
|
|
(ii) |
amendments necessary to comply with the provisions of applicable law or the rules, regulations and policies of any stock exchange on which the Common Shares are listed;
|
|
(iii) |
amendments necessary for Share Units to qualify for favourable treatment under applicable tax laws;
|
|
(iv) |
amendments to the vesting provisions of this Plan or any Share Unit;
|
|
(v) |
amendments to the termination or early termination provisions of this Plan or any Share Unit, whether or not such Share Unit is held by an Insider; and
|
|
(vi) |
amendments necessary to suspend or terminate this Plan.
|
|
(b) |
Security holder approval will be required for the following types of amendments:
|
|
(i) |
any amendment to increase the maximum number of Common Shares issuable under this Plan, other than pursuant to Section 4.1;
|
|
(ii) |
any amendment that would permit the introduction or reintroduction of non-employee directors as Eligible Persons on a discretionary basis or any amendment that increases the limits previously imposed on non-employee director participation;
|
|
(iii) |
any amendment to the amendment provisions;
|
|
(iv) |
any amendment which would allow for the transfer or assignment of Share Units under this Plan, other than for normal estate settlement purposes; and
|
|
(v) |
amendments required to be approved by security holders under applicable law or the rules, regulations and policies of any stock exchange on which the Common Shares are listed.
|
|
(a) |
pay to the Company an amount as necessary so as to ensure that the Company is in compliance with the applicable provisions of any federal, provincial, local or other law relating to the Applicable Withholding Taxes in connection with such issuance;
|
|
(b) |
authorize a securities dealer designated by the Company, on behalf of the Participant, to sell in the capital markets a portion of the Common Shares issued or received hereunder to realize cash proceeds to be used to satisfy the Applicable Withholding Taxes; or
|
|
(c) |
make other arrangements acceptable to the Company to fund the Applicable Withholding Taxes.
|
1. |
Definitions
|
2. |
Section 409A
|
SUNDIAL GROWERS INC.
|
|||
By:
|
|||
Name:
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|||
Title:
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|
Signature |
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|
Name (please print) |
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|
|
[CONSULTANT ENTITY] |
By: | ||||
Name: | ||||
Title: | ||||
SUNDIAL GROWERS INC.
|
|||
By:
|
|||
Name:
|
|||
Title:
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|
Signature |
|
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|
|
Name (please print) |
|
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[CONSULTANT ENTITY] |
By: | ||||
Name: | ||||
Title: | ||||
|
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|
|
|
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|
Name: |
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|
|
Date |
|
Section 1.
|
Interpretation and Administrative Provisions
|
1
|
|
1.1
|
Purpose
|
1
|
|
1.2
|
Definitions
|
1
|
|
1.3
|
Interpretation
|
5
|
|
1.4
|
Currency
|
5
|
|
1.5
|
Administration
|
5
|
|
1.6
|
Delegation to Committee
|
6
|
|
1.7
|
Governing Law
|
6
|
|
1.8
|
Shares Subject to the Plan
|
6
|
|
1.9
|
Participation Limits
|
6
|
|
Section 2.
|
Options
|
7
|
|
2.1
|
Granting of Options
|
7
|
|
2.2
|
Vesting of Options
|
7
|
|
2.3
|
Exercise Price
|
7
|
|
2.4
|
Option Term; Blackout Period
|
7
|
|
2.5
|
Exercise of Options
|
7
|
|
Section 3.
|
Termination
|
8
|
|
3.1
|
Termination for Cause (Employees and Directors) and Resignation (Employees)
|
8
|
|
3.2
|
Death (Employees and Directors)
|
8
|
|
3.3
|
Disability, Retirement and Termination Without Cause (Employees) and Resignation (Directors)
|
9
|
|
3.4
|
Termination (Consultants)
|
9
|
|
Section 4.
|
General
|
10
|
|
4.1
|
Capital Adjustments
|
10
|
|
4.2
|
Effect of a Change of Control
|
10
|
|
4.3
|
Amendment and Termination
|
11
|
|
4.4
|
Clawback
|
12
|
|
4.5
|
Non-Exclusivity
|
13
|
|
4.6
|
Unfunded Plan
|
13
|
|
4.7
|
Successors and Assigns
|
13
|
|
4.8
|
Transferability of Options
|
13
|
|
4.9
|
No Special Rights
|
13
|
|
4.10
|
Other Employee Benefits
|
13
|
|
4.11
|
Withholding Taxes
|
14
|
|
4.12
|
No Liability
|
14
|
|
4.13
|
Government Regulation and Grant Restrictions
|
14
|
|
4.14
|
Priority of Agreements
|
15
|
|
4.15
|
Severability
|
15
|
|
4.16
|
Effective Date
|
15
|
|
(a) |
the willful failure by a Participant to perform the Participant’s duties with respect to a Participating Company (other than due to illness);
|
|
(b) |
theft, fraud, dishonesty or misconduct by the Participant involving the property, business or affairs of a Participating Company or the carrying out of the Participant’s duties with respect to a Participating Company;
|
|
(c) |
the material breach by a Participant of the Participant’s employment agreement or consulting agreement or arrangement, the Company’s Code of Conduct (if applicable) or any of the Participant’s confidentiality, non-solicitation or non-competition obligations;
|
|
(d) |
the Participant is convicted of, or pleads guilty to, a crime which constitutes an indictable offence; or
|
|
(e) |
any other conduct that would be treated by the courts of the jurisdiction in which the Participant is employed or provides services to constitute cause for termination of employment or services.
|
|
(a) |
the acquisition of:
|
|
(i) |
Common Shares; and/or
|
|
(ii) |
Convertible Securities,
|
|
(b) |
approval by the shareholders of the Company of:
|
|
(i) |
an amalgamation, arrangement, merger or other consolidation of the Company with another corporation pursuant to which:
|
|
(A) |
the holders of Common Shares immediately prior thereto do not immediately thereafter own shares of the successor or continuing corporation which entitle them to cast more than 50% of the votes attaching to all shares in the capital of the successor or continuing corporation which may be cast to elect directors of that corporation;
or
|
|
(B) |
the Common Shares, when converted, exchanged or otherwise affected pursuant to such amalgamation, arrangement, merger or other consolidation, do not comprise shares of the successor or continuing corporation which entitle the holders thereof to cast more than 50% of the votes attaching to all shares in the capital of the successor or continuing corporation which may be cast to elect directors of that corporation;
|
|
(ii) |
a liquidation, dissolution or winding-up of the Company; or
|
|
(iii) |
the sale of all or substantially all of the assets of the Company followed by a liquidating distribution of cash or securities to the shareholders of the Company entitled to assets upon a liquidating distribution.
|
|
(a) |
is engaged to provide services on a
bona fide
basis to a Participating Company, other than services provided in relation to a distribution of securities of a Participating Company;
|
|
(b) |
provides the services under a written contract with a Participating Company; and
|
|
(c) |
spends or will spend a significant amount of time and attention on the affairs and business of a Participating Company,
|
|
(a) |
no more than 10% of the outstanding Common Shares may be issuable at any time under the Plan alone or when combined with all other Security-Based Compensation Arrangements of the Company established on or following July 29, 2019; and
|
|
(b) |
no more than 5% of the outstanding Common Shares may be issued under the Plan alone or when combined with all other Security-Based Compensation Arrangements of the Company established on or following July 29, 2019 to any one Participant.
|
|
(a) |
in cash, or by certified cheque, bank draft or money order payable to the Company or by such other means as might be specified from time to time by the Board;
|
|
(b) |
pursuant to a broker-assisted cashless exercise, whereby the Participant shall elect on the Notice of Exercise to receive:
|
|
(i) |
an amount in cash equal to the cash proceeds realized upon the sale in the capital markets of the Common Shares underlying the Options by a securities dealer designated by the Company, less the aggregate Exercise Price, any Applicable Withholding Taxes, and any transfer costs charged by the securities dealer to sell the Common Shares;
|
|
(ii) |
an aggregate number of Common Shares that is equal to the number of Common Shares underlying the Options minus the number of Common Shares sold in the capital markets by a securities dealer designated by the Company as required to realize cash proceeds equal to the aggregate Exercise Price, any Applicable Withholding Taxes and any transfer costs charged by the securities dealer to sell the Common Shares; or
|
|
(iii) |
a combination of (i) and (ii).
|
|
(i) |
If a Participant’s consulting agreement or arrangement terminates by reason of: (i) termination by a Participating Company for breach of the consulting agreement or arrangement (whether or not such termination is effected in compliance with any termination provisions contained in Participant’s consulting agreement or arrangement), which includes, without limitation, a termination by a Participating Company for Cause; or (ii) voluntary termination by the Participant (whether or not such termination is effected in compliance with any termination provisions contained in the Participant’s consulting agreement or arrangement), all Options held by the Participant on the Participant’s Termination Date, whether vested or unvested, shall automatically terminate on the Termination Date and be of no further force or effect, and no amount shall be payable to the Participant in respect thereof as compensation, damages or otherwise.
|
|
(ii) |
If an Individual Participant’s consulting agreement or arrangement terminates by reason of death of the Individual Participant, all unvested Options held by the Participant on the Participant’s Termination Date shall automatically terminate on the Termination Date and be of no further force or effect, and no amount shall be payable to the Participant in respect thereof as compensation, damages or otherwise. The Individual Participant’s personal legal representatives may, within 12 months after the Participant’s Termination Date, or such shorter period as is remaining in the term of the Options, exercise the Participant’s vested Options in accordance with Section 2.5. At the end of such 12 month period or such shorter period as is remaining in the term of the Options, the outstanding Options shall automatically terminate and be of no further force or effect, and no amount shall be payable to the Participant in respect thereof as compensation, damages or otherwise.
|
|
(iii) |
If a Participant’s consulting agreement or arrangement terminates by reason of termination by a Participating Company for any reason whatsoever other than for breach of the consulting agreement or arrangement (whether or not such termination is effected in compliance with any termination provisions contained in the Consultant’s consulting agreement or arrangement), all unvested Options held by the Participant on the Participant’s Termination Date shall automatically terminate on the Termination Date and be of no further force or effect, and no amount shall be payable to the Participant in respect thereof as compensation, damages or otherwise. The Participant may, within 90 days after the Participant’s Termination Date, or such shorter period as is remaining in the term of the Options, exercise the Participant’s vested Options in accordance with Section 2.5. At the end of such 90 day period or such shorter period as is remaining in the term of the Options, the outstanding Options shall automatically terminate and be of no further force or effect, and no amount shall be payable to the Participant in respect thereof as compensation, damages or otherwise
.
|
|
(a) |
The Board may amend or suspend any provision of the Plan or any Option, or terminate this Plan, at any time without security holder approval, subject to those provisions of applicable law and the rules, regulations and policies of any stock exchange on which the Common Shares are listed, if any, that require the approval of security holders or any governmental or regulatory body regardless of whether any such amendment or suspension is material, fundamental or otherwise, and notwithstanding any rule of common law or equity to the contrary. However, except as expressly set forth herein or as required pursuant to applicable law, no action of the Board or security holders may materially adversely alter or impair the rights of a Participant under any Option previously granted to the Participant without the consent of the affected Participant. Without limiting the generality of the foregoing, the Board may make the following types of amendments to this Plan or any Options without seeking security holder approval:
|
|
(i) |
amendments of a “housekeeping” or administrative nature, including any amendment for the purpose of curing any ambiguity, error or omission in this Plan or any Option Agreement or to correct or supplement any provision of this Plan or any Option Agreement that is inconsistent with any other provision of this Plan or any Option Agreement;
|
|
(ii) |
amendments necessary to comply with the provisions of applicable law or the rules, regulations and policies of any stock exchange on which the Common Shares are listed;
|
|
(iii) |
amendments necessary for Options to qualify for favourable treatment under applicable tax laws;
|
|
(iv) |
amendments to the vesting provisions of this Plan or any Option;
|
|
(v) |
amendments to include or modify a cashless exercise feature, payable in cash or Common Shares, which provides for a full deduction of the number of underlying Common Shares from the Plan maximum;
|
|
(vi) |
amendments to the termination or early termination provisions of this Plan or any Option, whether or not such Option is held by an Insider, provided such amendment does not entail an extension beyond the original expiry date of the Option; and
|
|
(vii) |
amendments necessary to suspend or terminate this Plan.
|
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(b) |
Security holder approval will be required for the following types of amendments:
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(i) |
any amendment to increase the maximum number of Common Shares issuable under this Plan, other than pursuant to Section 4.1;
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(ii) |
any amendment to this Plan that increases the length of the period after a Blackout Period during which Options may be exercised;
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(iii) |
any amendment which would result in the Exercise Price for any Option granted under this Plan being lower than the Fair Market Value at the Grant Date of the Option;
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(iv) |
any amendment that would permit the introduction or reintroduction of non-employee directors as Eligible Persons on a discretionary basis or any amendment that increases the limits previously imposed on non-employee director participation;
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(v) |
any amendment which reduces the Exercise Price of an Option or allows for the cancellation and reissuance of an Option, which would be considered a repricing under the rules of any stock exchange on which the Common Shares are listed, in each case, other than pursuant to Section 4.1 or Section 4.2;
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(vi) |
any amendment extending the term of an Option beyond the original expiry date, except as provided in Section 2.4;
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(vii) |
any amendment to the amendment provisions;
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(viii) |
any amendment which would allow for the transfer or assignment of Options under this Plan, other than for normal estate settlement purposes; and
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(ix) |
amendments required to be approved by security holders under applicable law or the rules, regulations and policies of any stock exchange on which the Common Shares are listed.
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(a) |
pay to the Company an amount as necessary so as to ensure that the Company is in compliance with the applicable provisions of any federal, provincial, local or other law relating to the Applicable Withholding Taxes in connection with such issuance;
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(b) |
authorize a securities dealer designated by the Company, on behalf of the Participant, to sell in the capital markets a portion of the Common Shares issued hereunder to realize cash proceeds to be used to satisfy the Applicable Withholding Taxes; or
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(c) |
make other arrangements acceptable to the Company to fund the Applicable Withholding Taxes.
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1. |
Definitions
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2. |
Section 409A
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SUNDIAL GROWERS INC.
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By:
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Name:
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Title:
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Signature | ||||
Name (please print) | ||||
[CONSULTANT ENTITY] | ||||
By: | ||||
Name: | ||||
Title: | ||||
☐
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The Participant encloses cash, a certified cheque, bank draft or money order payable to the Company in the amount of $
____________
(which reflects the aggregate Exercise Price of the Options) plus the amount of $____________ (which reflects the amount the Company believes is necessary to remit as part of any Applicable Withholding Taxes), and the foregoing shall be the full payment for the Common Shares to be received upon exercise of the Options and the Participant acknowledges that the Common Shares will be issued to the Participant
only upon satisfaction of the requirements of Section 2.5 of the Plan;
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☐
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The Participant hereby elects to receive
an amount in cash equal to the cash proceeds realized upon the sale in the capital markets of the Common Shares underlying the Options by a securities dealer designated by the Company, less the aggregate Exercise Price, any Applicable Withholding Taxes and any transfer costs incurred to sell the Common Shares; or
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☐
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The Participant hereby elects to receive an aggregate number of Common Shares that is equal to the number of Common Shares underlying the Options being exercised minus the number of Common Shares sold in the capital markets by a securities dealer designated by the Company as required to realize cash proceeds equal to the aggregate Exercise Price, any Applicable Withholding Taxes and any transfer costs incurred to sell the Common Shares.
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Date
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Participant’s Signature
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[CONSULTANT ENTITY] | |
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By: |
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Name: |
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Title: |
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McCarthy Tétrault
LLP
Suite 4000, 421 7th Avenue SW
Calgary AB T2P 4K9
Canada
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Sundial Growers Inc.
#200, 919 – 11 Avenue SW Calgary, Alberta T2R 1P3 Canada |
Re: |
Sundial Growers Inc. – Registration Statement on Form S-8
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(a) |
the genuineness of the signatures of and the authority of the persons signing documents examined by us;
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(b) |
the authenticity of all documents examined by us which were submitted to us as originals;
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(c) |
the conformity to authentic original documents of all documents examined by us which were submitted to us as certified, conformed, facsimile or photostatic copies of original documents and of all documents electronically retrieved; and
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(d) |
that the minute books, including the securities registers, of the Corporation reviewed by us are complete and accurate in all respects.
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(a) |
a certificate dated August 6, 2019 of an officer of the Corporation as to certain factual matters relating to the Corporation (the “
Officer’s Certificate
”);
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(b) |
the Registration Statement; and
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(c) |
the Warrants and the Plans.
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/s/ KPMG LLP
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Chartered Professional Accountants
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Calgary, Canada
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August 8, 2019
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