International Cannabrands Inc.
International Cannabrands Announces Fourth and Largest Closing of Brokered Financing Co-Led by Gravitas Securities and Canaccord Genuity
Friday, January 25, 2019 9:00 AM
Not for dissemination to United States newswire services or for dissemination in the United States
CALGARY, AB / ACCESSWIRE / January 25, 2019 / International Cannabrands Inc. (CSE:JUJU) (the "Company") is pleased to announce that it has closed the fourth tranche of its previously announced brokered private placement (the "Offering") pursuant to an engagement letter with Gravitas Securities Inc. and Canaccord Genuity Corp. (collectively, the "Agents").
The Company sold an additional 31,280,000 units (each, a "Unit") at a price of $0.10 per share. Each Unit consisted of one (1) common share (a "Common Share") and one (1) common share purchase warrant (a "Warrant") for gross proceeds of $3,128,000. Each Warrant entitles the holder to purchase one additional Common Share at a price of $0.15 per share for a period of 36 months. Together with the first three tranches which closed December 7, 14 and 21, 2018, the Company has achieved total aggregate gross proceeds of $4,830,000 under the Offering.
CEO Steve Gormley commented: "We are elated to have successfully completed this financing given the current market conditions. We have completed the acquisition of 51% of La Vida Verde, a highly respected branded cannabis product manufacturer and distributer based in Santa Cruz, California. The proceeds of the financing will enable International Cannabrands to continue to execute its mission in acquiring middle market cannabis brands with profitable operations."
The Agents were paid a cash commission equal to 7% of the gross proceeds of the Offering and will also receive warrants to purchase such number of common shares as is equal to 7% of the Units sold under the Offering (the "Broker Warrants"). The Broker Warrants will be exercisable for a period of 36 months following closing of the Offering at an exercise price of $0.10 per share.
All of the securities issued under the private placement are subject to a hold period expiring four months and one day from the date hereof.
About International Cannabrands (ICI)
The Company's business model is to generate revenue from cannabis cultivation, brands ranging from flower to edibles and from THC to CBD, oil extraction, ancillary products and apparel in the United States. ICI markets products with THC content where that practice has been legalized at the state level through either medicinal or full recreational use. ICI also markets products containing CBD in the US and internationally. ICI's strategy centers on acquiring micro brands, distribution and specific manufacturing/cultivation companies in the cannabis space. ICI has acquired the exclusive rights to Julian Marley's JuJu Royal™ brand. The Company believes as the legal cannabis market evolves, high-quality, unique products will increasingly capture market share and provide a valuable platform for growth.
About JuJu Royal
Julian Marley conveys his message of legalization, freedom, and love through the JuJu Royal brand, a line of naturally produced medicinal herbs. Our vision is to realize the opportunity to become one of the largest brands in the Marijuana industry. The synergy between the Rastafarian culture, music, natural products and an "Irie" experience is a powerful foundation for our business. JuJu's strategy is to develop and grow a complete cannabis line based on an international appeal to a millennial lifestyle seeking a luxurious and premium experience. JuJu will capitalize on the unparalleled opportunity to position itself with unique, innovative, high quality brands that meet and exceed our customer's expectations. More information about the brand and various products can be obtained at www.jujuroyal.net.
International Cannabrands Contact:
Chief Executive Officer
1045 Lincoln Street, #106
Denver, Colorado 80203
Ph: (323) 828-4321 or [email protected]
Media Inquiries: [email protected]
THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER TO SELL SECURITIES OR A SOLICITATION FOR PURCHASERS TO BUY SECURITIES. THIS PRESS RELEASE IS NOT TO BE CONSTRUED AS A PUBLIC OFFERING IN ANY PROVINCE IN CANADA UNLESS A PROSPECTUS RELATING THERETO HAS BEEN ACCEPTED FOR FILING BY A SECURITIES COMMISSION OR SIMILAR AUTHORITY IN SUCH PROVINCE.
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER HAS REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities of International Cannabrands Inc. in the United States, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been and will not be registered under the United States Securities Act of 1933, as amended, or any U.S. state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. Persons unless registered under the United States Securities Act of 1933, as amended, and applicable state securities laws or unless an exemption from such registration is available.
Disclaimer concerning Forward-looking Statements
Certain statements included herein constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Additional risks and uncertainties regarding the Company are described in its publicly-available disclosure documents filed by the Company on SEDAR (www.sedar.com). The forward-looking statements contained in this news release represent the Company's expectations as of the date of this news release, or as of the date they are otherwise stated to be made, and subsequent events may cause these expectations to change. Except as required by law, the Company does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.
SOURCE: International Cannabrands Inc.