SMITHS FALLS, ON, March 17, 2015 /CNW/ - Tweed Marijuana
Inc. ("Tweed" or the "Company") (TSXV: TWD), is
pleased to announce that it has closed its previously announced
short form prospectus offering, on a bought deal basis, of
9,302,400 common shares of the Company for aggregate gross proceeds
of $20,000,160 (the "Offering"). The Offering was
completed at a price of $2.15 per common share (the
"Offering Price") by a syndicate of underwriters led by GMP
Securities L.P. and including Dundee Securities Ltd. and M Partners
Inc. (collectively, the "Underwriters").
Tweed has also granted the Underwriters an over-allotment option
to purchase up to an additional 1,395,360 common shares of the
Company 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 $ 3,000,024 will be raised pursuant to the
Offering and the aggregate gross proceeds of the Offering will
be $23,000,184.
Tweed intends to use the net proceeds from the Offering
primarily for facility expansion, operational expenses and general
working capital purposes including salaries, general maintenance,
utilities, costs associated with regulatory
compliance, and costs associated with client acquisition.
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.
To read a message from CEO and Chairman Bruce Linton to Tweed customers on the exciting
things happening at Tweed, please click here.
About Tweed Marijuana
Tweed is Canada's first
publicly traded medical marijuana company and the first
geographically diversified producer with dual licenses under the
Marihuana for Medical Purposes Regulations.
Through its wholly owned subsidiaries, Tweed Inc. and Tweed
Farms Inc., the Company operates two state-of-the-art production
facilities in Ontario and
distributes marijuana across the country to Canadian patients
managing a host of medical conditions.
The Company is dedicated to educating healthcare practitioners,
providing consistent access to high quality medication, and
furthering the public's understanding of how marijuana is used for
medical purposes.
Notice regarding Forward Looking Statements
This news release contains forward-looking statements. Often,
but not always, forward-looking statements can be identified by the
use of words such as "plans", "expects" or "does not expect", "is
expected", "estimates", "intends", "anticipates" or "does not
anticipate", or "believes", or variations of such words and phrases
or state that certain actions, events or results "may", "could",
"would", "might" or "will" be taken, occur or be achieved.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Tweed or its subsidiaries to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. Examples of such statements include statements
regarding the use of proceeds from the Offering. Such
forward-looking statements are based on a number of assumptions
which may prove to be incorrect, including, but not limited to: the
ability to obtain any necessary financing; the economy generally;
the yield from Tweed's marijuana growing operations; consumer
interest in products; competition; regulation and anticipated and
unanticipated costs and delays. Although Tweed has attempted
to identify important factors that could cause actual actions,
events or results to differ materially from those described in
forward-looking statements, there may be other factors that cause
actions, events or results not to be as anticipated, estimated or
intended. Readers should not place undue reliance on
forward-looking statements. The factors identified above are not
intended to represent a complete list of the factors that could
affect Tweed or its subsidiaries. Additional factors are noted
under the heading "Risk Factors" in the Company's Management's
Discussion and Analysis of the Financial Condition and Results of
Operations for the three and twelve months ended December 31, 2014 and the Company's short form
prospectus dated March 10, 2015, both
of which are available at www.SEDAR.com. The forward-looking
statements included in this news release are made as of the date of
this news release and 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.
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.
SOURCE Tweed Marijuana Inc.