The resulting payments have been set at US$2.15 million for the Canadian settlement and $2.75 million for the US one, of which Namaste will contribute less than $500,000. The payments themselves do not constitute any admission of liability.
"Settling these class action lawsuits removes a major business and capital markets distraction, while clearing our path ahead to increase resources and focus on what will grow the company," Interim CEO Meni Morim said.
"We're on track to becoming the world's most customer focused cannabis marketplace, and this settlement is a win-win for Namaste shareholders and business partners alike."
The lawsuits originated in October, alleging that Namaste had made false or misleading statements about and/or failed to disclose the sale of its US subsidiary to an executive of the company.
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