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Marijuana MSO TerrAscend could list on Toronto Stock Exchange by summer

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Marijuana multistate operator TerrAscend Corp. could become the first U.S. plant-touching company to list on the Toronto Stock Exchange by this summer if the restructuring plan it shared with shareholders and analysts wins TSX approval.

And if the company is successful, that potential could trickle down to other U.S. plant-touching cannabis operators, which have been barred from major exchanges because marijuana remains federally illegal in the United States.

Massachusetts-based Curaleaf Holdings, for example, has also had discussions with the TSX about the possibility of listing its shares.

Details have been scant since TerrAscend announced the plans last week, but the company’s executive team shared a few more specifics along with its financial results during a recent conference call with analysts.

The additional details included the timeline of the listing and how the TSX could boost the company’s financial health in the future by opening the door to institutional investors.

Shares of the company, which has offices in California, Pennsylvania and Ontario, Canada, currently trade on the Canadian Securities Exchange (TER) and on the over-the-counter markets (TRSSF).

“With the listing on the TSX, we believe that TerrAscend stock will be afforded greater accessibility to a broader pool of institutional investors seeking opportunities in leading cannabis operators in some of the best markets in the world,” Executive Chair Jason Wild said during the call.

But Wild said uplisting isn’t a “magic bullet” that will ease all the pressures on TerrAscend, particularly because the capital markets have been so challenging in recent months.

“We do believe, however, that a well-run, cash flow-positive company can unlock substantially more value and significantly lower its cost of capital if listed on a major exchange with more participants, higher standards and increased liquidity,” he said.

Restructuring and timeline

Based on the timeline given by Toronto-based legal adviser Cassels, Brock & Blackwell – which is also advising Canadian cannabis operator Canopy Growth on its U.S. entry and uplisting plans – Wild said TerrAscend “could be in a position to list soon after our annual shareholders meeting in June.”

The company plans to send out a proxy to shareholders in mid-April.

Until then, Wild said the company can’t share much except to say that the restructuring will be similar to Canopy Growth’s plans with Canopy USA, which could allow the company to complete its proposed acquisitions of U.S. plant-touching businesses while still listing on the TSX (WEED).

The Nasdaq, where Canopy (CGC) is also currently listed, indicated the company would not be allowed to remain on the exchange after restructuring.

“We believe this (TerrAscend’s) reorganization involves having a holding company – which is also the listing vehicle – that is a non-U.S. cannabis company, or a U.S. company that is non-cannabis (or non-THC),” Owen Bennett, an equity analyst for New York-based investment bank Jefferies Group, wrote in a recent research note.

“This is then ring-fenced from the U.S. assets that are held in a separate company, but for which – similar to the Canopy (Growth) proposed structure – the holding company has non-voting shares.”

Canadian connection an asset

TerrAscend has wound down its cannabis production facility in Mississauga, Ontario, but continues to have a minority ownership in a Cookies retail store in Toronto.

Its head office and registered office is in Mississauga.

The Canadian operations could be helpful to uplisting, and U.S. plant-touching operators might have a more difficult time restructuring without assets in Canada, TerrAscend’s chief financial officer, Keith Stauffer, said during the call.

“This might be obvious, but based upon the fact that TerrAscend was originally a Canadian-domiciled company, as opposed to practically all the other players in the U.S., this reorg is not the least complicated for us, probably versus practically everybody else,” he said.

“We’ve already had these structures in place to make sure that we segregated money in Canada and the U.S. So it’s not a major chore for us to restructure to be compliant with what the TSX is looking for.”

The majority of TerrAscend’s business is in the U.S., however, with cultivation, production and retail operations in California, Maryland, Michigan, New Jersey and Pennsylvania through subsidiaries such as Gage GrowthIlera Healthcare and The Apothecarium.

For 2022, TerrAscend reported a net revenue of $247 million, a 21% increase from its 2021 revenue of $194 million.

Its net loss from continuing operations was $299.4 million versus net income from continuing operations of $15.7 million in 2021.

TerrAscend attributed the loss to a $311.1 noncash impairment charge against goodwill and intangibles for its Michigan business.

The company reported positive cash flow from operations of $7.3 million for the fourth quarter in 2022, a $1.5 million increase from the third quarter.

Significantly, TerrAscend also reduced its debt by $80 million in the fourth quarter, paying down $30 million in debt to Chicago Atlantic and converting $90 million of debt with Canopy Growth to exchangeable shares at CA$5.10 per share.

‘Zero anxiety’ around raising capital

While uplisting to the TSX could give TerrAscend more access to liquidity, the company’s executive team isn’t planning to use cash for M&A this year.

“This is clearly a buyer’s market, as many operators are facing an existential crisis,” Wild said.

“We have been speaking for about a year about how we’re being patient and believe that we will be able to buy assets for pennies on the dollar.

“In fact, we are now reviewing opportunities to acquire assets, essentially for free, as long as we’re willing to assume certain debt and lease obligations. And even that is up for negotiation.”

But uplisting to the TSX could give TerrAscend an added edge in M&A negotiations, Wild said.

“We believe that sellers will be more willing to accept TerrAscend stock as consideration and assign a greater value to our shares once listed on a major exchange.”

Stauffer said that TerrAscend doesn’t have the same challenges raising capital as the rest of the cannabis industry.

“I want to confirm and I want to assure everyone, we promise that we have zero anxiety around raising any capital that we need for the business,” he said.

“Our only focus and our only worries is how to sequence in the most efficient way to avoid any unnecessary or any high interest that we don’t have to get.

“So we continue to be disciplined, and we continue to sequence things in a very thoughtful manner in order to increase and improve our cash-flow situation.”

Source: https://mjbizdaily.com/marijuana-mso-terrascend-could-list-on-toronto-stock-exchange-by-summer/

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Jio’s 1,600-Satellite LEO Constellation Gets Technical Green Light

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Reliance Jio has crossed a significant milestone in its space connectivity ambitions after its proposal to deploy a Low Earth Orbit (LEO) satellite constellation of around 1,600 satellites received a positive technical assessment from the Indian National Space Promotion and Authorisation Centre (IN-SPACe).

The evaluation, conducted jointly by IN-SPACe, the Indian Space Research Organisation (ISRO), and the Wireless Planning and Coordination (WPC) wing of the Department of Telecommunications, reportedly concluded that Jio’s proposed system meets the required technical standards and is comparable to leading global satellite broadband networks.

India’s Indigenous LEO Satellite Vision

Under the proposal, Reliance Jio plans to deploy between 1,600 and 1,650 satellites in Low Earth Orbit at an altitude of around 650 kilometres.

The planned constellation is expected to provide high-speed satellite connectivity across India, with approximately 32 satellites visible from any location at a given time. The company aims to roll out the network within the next two to three years, subject to regulatory approvals.

According to industry estimates, the satellite system could deliver 4.5 to 5 terabits per second (Tbps) of total data capacity, making it one of the largest satellite broadband projects proposed in India.

The project is expected to require an investment of $10–15 billion (approximately ₹95,000 crore to ₹1.42 lakh crore), reflecting the scale of infrastructure needed for satellite manufacturing, launches, ground stations, and user terminals.

Regulatory Process Moves Forward

Following the successful technical review, the proposal is expected to move into the next phase of regulatory approvals.

The government may now assist Jio in securing orbital slots, coordinating spectrum usage, and filing applications with the International Telecommunication Union (ITU), the global body responsible for managing satellite orbit and frequency allocations.

Obtaining orbital rights remains a critical step, as Low Earth Orbit has become increasingly competitive due to the growing number of satellite broadband projects being planned worldwide.

Officials also indicated that the proposed satellite architecture has been designed to coexist with future Indian LEO constellations, allowing multiple domestic operators to share orbital resources efficiently.

Broadband, Mobile Connectivity, and Strategic Applications

Jio plans to use the satellite network to provide a range of communication services, including satellite broadband, mobile backhaul, enterprise connectivity, and direct-to-device (D2D) satellite communication, particularly in remote and underserved regions where conventional telecom infrastructure is limited.

The company also intends to establish 20 to 22 ground stations across India to support network operations.

Apart from commercial telecommunications, officials have highlighted the project’s potential strategic importance. A domestically developed satellite constellation could strengthen India’s communication infrastructure, reduce dependence on foreign satellite operators, and support national security requirements.

Reports suggest preliminary discussions are underway regarding the possibility of integrating defence-related payloads into some satellites, enabling both civilian and strategic use.

Major Step for India’s Space and Telecom Sectors

Industry analysts view the technical clearance as an important milestone in India’s expanding private space ecosystem. If Jio secures the remaining regulatory approvals and international orbital clearances, the project could become the country’s first large-scale indigenous LEO satellite broadband network.

The initiative also aligns with India’s broader efforts to expand digital connectivity while strengthening its presence in the global satellite communications market.

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Alleged Crores Pharma Scam Mastermind Arrested from Surat

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After evading law enforcement for nearly 13 years, an accused linked to a large-scale pharmaceutical fraud case has been arrested by Delhi Police from Surat, Gujarat. The suspect is alleged to have orchestrated a series of financial scams involving fake identities, forged documents, and dishonoured cheques used to procure high-value pharmaceutical raw materials.

Authorities say the accused, identified as Himmat Singh Lodha, is believed to have defrauded multiple pharmaceutical companies in Delhi of goods worth approximately ₹98 lakh before disappearing and remaining underground for years.

Fake Business Deals and Dishonoured Cheques Used in Fraud

Investigators claim the accused posed as a legitimate pharmaceutical trader and placed bulk orders for expensive drug ingredients, offering post-dated cheques as payment security.

In one documented case from 2013, he allegedly obtained around 550 kilograms of Gliclazide, a diabetes-related pharmaceutical ingredient, valued at over ₹26 lakh. When suppliers attempted to encash the cheques, they were reportedly returned with the remark “account closed.”

Following the transaction, the accused allegedly vacated his office and rented residence and disappeared without settling payments. He was later declared a proclaimed offender in 2016 after repeatedly failing to appear before court proceedings. Authorities had also issued a reward for information leading to his arrest.

Multiple Identities and Repeated Fraud Pattern

Police investigations further link the accused to another cheating case dating back to 2012, where he allegedly used a fake identity, “Kailash Jain,” to obtain a large consignment of Ambroxol HCL, a pharmaceutical compound used in cough medications. The value of that consignment was estimated at around ₹72 lakh.

Officials believe the accused followed a consistent modus operandi—posing as a credible businessman, securing high-value goods on deferred payment terms, and then disappearing after delivery while shutting down business operations.

Investigators suspect that forged business records, fake company credentials, and fabricated financial histories were used to build trust with suppliers and gain access to expensive raw materials.

Multi-State Surveillance Leads to Arrest in Surat

A special Crime Branch team tracked the accused through coordinated surveillance efforts across multiple cities, including Mumbai, Ahmedabad, and Surat. After nearly a month of technical monitoring and intelligence gathering, officials located and arrested him from a residential area in Surat.

Authorities also revealed that the accused had been involved in property-related activities while staying under the radar to avoid detection.

Growing Threat of Corporate Identity Fraud

The case highlights a rising trend of organised financial fraud targeting industries that rely heavily on trust-based transactions and deferred payments. Experts note that criminals increasingly exploit gaps in corporate verification systems by using fake GST registrations, temporary offices, and forged documentation to appear legitimate.

Cybercrime and financial fraud specialists warn that such schemes are becoming more complex with the widespread availability of digital business tools, making it easier to create convincing but fraudulent corporate identities.

Experts Urge Stronger Due Diligence in High-Value Transactions

Experts, including former IPS officer and cybercrime specialist Prof. Triveni Singh, emphasize the need for stricter verification procedures in commercial dealings. He noted that relying solely on paperwork or digital business profiles can expose companies to significant financial risk.

Authorities and industry experts recommend physical verification of business operations, bank account validation, and detailed background checks before engaging in high-value or deferred-payment transactions—particularly in sectors like pharmaceuticals, where single consignments can involve transactions worth crores.

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EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices

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A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.

Investigation Under Digital Markets Act Gains Momentum

The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.

Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.

Industry Groups Demand Swift Action

Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.

Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.

In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.

Google Denies Allegations

Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.

However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.

Potential Billion-Euro Penalties

If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.

Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.

Wider Implications for Big Tech

The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.

A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.

As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.

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