Symbol: TSX-V: LG
MONTREAL, March 6, 2018
/CNW Telbec/ - LGC Capital Ltd. (TSXV: LG) ("LGC") is pleased
to announce that it and Global Canna Labs Limited ("Global Canna
Labs") have agreed to extend the closing date of their transaction,
first announced on January 26, 2018, to the end of
March 2018 in order to allow for
completion of the corporate structuring of the transaction in
compliance with Jamaican law.
LGC's due diligence having been successfully completed, the
extension is required in order to establish the appropriate
ownership structure for LGC in the context of foreign ownership
requirements of Jamaican law. The parties are working towards
finalization of the debenture and security documentation, which
must be in compliance with Jamaican law.
Global Canna Labs has advised LGC that it has received approval
from the Jamaican Ministry of Health for the registering of a "List
4" class of drug for a full spectrum of CBD oils for medical
consumption. Global Canna Labs has also advised LGC that all the
irrigation for its greenhouses in Montego
Bay, Jamaica is in place and that greenhouse coverings for
phase one construction are being installed this week.
John McMullen, Chief
Executive Officer of LGC commented, "We continue to see good
progress with the Global Canna Labs transaction, from building out
its growing operations to licensing. We congratulate the entire
team as they continue to work diligently toward finalizing this
important transaction for both of our companies."
Closing of the transaction with Global Canna Labs is subject to
the parties entering into definitive agreements, to standard
closing conditions, and to regulatory approval, including that of
the TSX Venture Exchange.
About Global Canna Labs
(http://globalcannalabs.com)
Global Canna Labs is a Jamaican entity with its head office
located in Kingston, Jamaica, with
operations based in Montego Bay,
with plans to become one of the leading cultivators and processors
in Jamaica of cannabis for medical
and recreational purposes. Target production is expected to total
1,876 kg in 2018 and rising quickly to 7,741 kg annually by 2021.
These production targets can be rapidly expanded from current
targets should demand exceed supply.
The Montego Bay site comprises
a 22-acre plot with an additional 80-acre expansion opportunity on
the same plot. The location is only 10 minutes from the
Montego Bay airport and sea port
providing logistics access for facilitating global exports.
Global Canna Labs is in the final stages of acquiring a full
commercial cannabis license in Jamaica enabling clinical trials,
dispensaries, recreational sale, and medical export. On
December 20, 2017, the Cannabis
Licensing Authority of Jamaica
granted conditional approval for a Cultivator's License (Tier 3)
(over 5 acres).
Construction of its first 58,000 sq. feet of greenhouses is in
progress and is nearing completion, with 4 additional acres of
outdoor growth and state-of-the-art processing facility meeting GMP
and ISO standards in the current site plan. Security fencing around
the initial cultivation site covering 6 acres in total has already
been installed.
About LGC (http://www.lgc-capital.com)
LGC Capital Ltd. is a Canadian incorporated public company
listed on the TSX Venture Exchange (TSXV: LG). LGC's objective is
to become a diversified business group with core business divisions
that provide shareholders with exposure to a diverse range of
businesses, products and services.
Information Relating to Global Canna Labs Limited
All information contained in this press release relating to
Global Canna Labs Limited has been provided to LGC by Global Canna
Labs Limited. LGC has relied upon this information without having
made independent inquiries as to its accuracy or completeness and
assumes no responsibility for any inaccuracy or incompleteness of
such information.
FORWARD-LOOKING STATEMENTS
This press release may contain forward-looking statements with
respect to LGC Capital Ltd. ("LGC") and Global Canna Labs Limited
("Global Canna Labs"), and their respective operations, strategy,
investments, financial performance and condition. These statements
generally can be identified by use of forward- looking words such
as "may", "will", "expect", "estimate", "anticipate", "intends",
"believe" or "continue" or the negative thereof or similar
variations. The actual results and performance of LGC and Global
Canna Labs could differ materially from those expressed or implied
by such statements. Such statements are qualified in their entirety
by the inherent risks and uncertainties surrounding future
expectations. Some important factors that could cause actual
results to differ materially from expectations include, among other
things, general economic and market factors, competition,
government regulation and the factors described under "Risk Factors
and Risk Management" in LGC's Management's Discussion and Analysis
for the fiscal year ended September 30,
2017, as filed on SEDAR (www.sedar.com). The cautionary
statements qualify all forward-looking statements attributable to
LGC and persons acting on its behalf. Unless otherwise stated, all
forward-looking statements speak only as of the date of this press
release and neither LGC nor Global Canna Labs has any obligation to
update such statements, except to the extent required by applicable
securities laws.
Caution Regarding Press Releases
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE LGC Capital Ltd