/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT FOR DISTRIBUTION TO
UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED
STATES./
OTTAWA,
May 14, 2014 /CNW/ - Tweed Marijuana
Inc. ("Tweed") (TSXV: TWD), is pleased to announce that it
has closed its previously announced short form prospectus offering,
on a bought deal basis, of 4,687,500 common shares for aggregate
gross proceeds of $15,000,000 (the
"Offering"). The Offering was completed at a price of
$3.20 per common share (the
"Offering Price") by a syndicate of underwriters led by GMP
Securities L.P. and including Jacob Securities Inc. (collectively,
the "Underwriters").
Tweed has also granted the Underwriters an
over-allotment option to purchase up to an additional 703,125
common shares at the Offering Price, exercisable in whole or in
part, at any time on or prior to the date that is 30 days following
the closing of the Offering. If this option is exercised in
full, an additional $2,250,000 will
be raised pursuant to the Offering and the aggregate gross proceeds
of the Offering will be $17,250,000.
Tweed intends to use the net proceeds from the
Offering primarily for facility expansion and general corporate
purposes.
The securities being offered have not been, nor
will they 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 in the United
States or to, or for the account or benefit of, United States persons absent registration or
any applicable exemption from the registration requirements of the
United States Securities Act of 1933, as amended, and applicable
U.S. state securities laws. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy
securities 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.
About Tweed Marijuana Inc.
Tweed Marijuana Inc. is a TSX Venture Exchange
listed company. Its wholly owned subsidiary, Tweed Inc., is a
licensed producer of medical marijuana in Canada. The principal activities of
Tweed are the production and sale of marijuana out of its facility
in Smiths Falls, Ontario as
regulated by the Marihuana for Medical Purposes
Regulations.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Notice regarding Forward Looking Statements
Statements regarding the over-allotment option,
the proceeds that would be realized by Tweed if the over-allotment
option is exercised and the proposed use of proceeds of the
Offering are all forward-looking statements. The exercise of the
over-allotment option is outside of Tweed's control and there can
be no assurances that the over-allotment option will be exercised
prior to its expiry. Tweed may re-allocate the net proceeds of the
Offering from time to time, having consideration to its strategy
relative to the market and other conditions in effect at the
applicable time. For further information about Tweed's
proposed use of proceeds and the risks associated with an
investment in Tweed please refer to Tweed's final short form
prospectus dated May 8, 2014 and
filed at www.SEDAR.com. Tweed does not undertake an obligation to
publicly update such forward-looking statements to reflect new
information, subsequent events or otherwise unless required by
applicable securities legislation.
SOURCE Tweed Marijuana Inc.