What you need to know: • Last month, MTL Cannabis (MTLC:CSE) was acquired by Canopy for 11.6x LTM EBITDA, which would value ROMJ at $1.50/share. • There has been steady insider buying of ROMJ with Director Doris Bitz purchasing $31K and Director John Pigott purchasing $48K. • ROMJ closed on a $4M credit facility and received numerous awards at the KIND Awards, including Flower of the Year. • We also provide a preview of Q4 financials, which should be released around late March. There have been several strong developments with Rubicon Organics Inc. (ROMJ:TSXV, ROMJF:OTCQX) and the Canadian cannabis industry as a whole over the last month that we would like to highlight. We continue to view the current price as an excellent entry point for investors as the Company enters a new phase of growth. We remind readers that we recently conducted an interview with CEO Margaret Brodie; watch it here. We are maintaining our BUY rating and $1.00/share target price on Rubicon Organics. MTLC Acquired by Canopy On December 15th, Canopy Growth (WEED:TSX) announced the acquisition of MTL Cannabis (MTLC:CSE). The acquisition aims to elevate Canopy’s position in Canada’s medical cannabis market, leverage MTL’s production assets, and strengthen Canopy’s presence in Quebec, amongst other points. This valued the equity of MTLC at $125M and the enterprise value at $179M, a 45% premium to the 20-day VWAP. This represents 11.6x LTM EBITDA, a significant valuation benchmark over all small Canadian LPs. This number may be slightly overstated as WEED stock rallied ~50% in the days prior. If we apply this same multiple to ROMJ’s 2026E EBITDA, we arrive at a takeout price of $1.50/share (203% upside). Closing of New Credit Facility On December 2nd, the Company announced the closing of its credit agreement for up to $4.0M, consisting of a $3.0M capital loan and a $1.0M line of credit. This financing will support accretive projects at the Pacifica and Cascadia sites and also provide the Company with enhanced flexibility while maintaining a strong balance sheet.