VANCOUVER, BC, Dec. 16, 2020 /CNW/ - Invictus MD Strategies Corp. (NEX: GENE.H) (the "Company") announced today that it has entered into an agreement (the "Subscription Agreement") for the issuance of 1,121,248,467 Invictus common shares (the "Subscribed Shares"). The Subscribed Shares will be equal to 90% of Invictus' issued share capital on completion of the transaction.  As a result, on completion of the transaction existing shareholders will retain an aggregate 10% interest in the Company.  It is anticipated that the subscription proceeds will be used to repay existing secured creditors of the Company, to pay costs associated with the CCAA proceedings involving the Company and its subsidiaries and to fund a plan of compromise and arrangement (the "Plan") with the unsecured creditors of the Company.  None of the subscription proceeds will be made available to existing shareholders of the Company.

The subscriber of the Subscribed Shares is Invictus Strategic Investment Inc. (the "Investor"), a privately-owned company that is unrelated to the Company and its directors and officers. 

Completion of the Subscription Agreement is subject to condition precedents including Court approval of the transaction and the Plan being approved by the creditors of the Company and the Court in the CCAA proceedings currently underway involving the Company and certain of its subsidiaries. 

The Company filed a motion for a court order to present the Plan to the creditors of the Company and subject to receiving certain approvals, plans to seek a sanction order from the Court approving the implementation of Plan. 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Caution Regarding Forward Looking Information

This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, timing, assumptions or expectations of future performance, including the potential completion of the Subscription Agreement and the Plan and the lack of any anticipated recovery for common shareholders, are forward-looking statements and contains forward-looking information. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or "occur". These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward looking statements or forward-looking information. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for their purposes.

SOURCE Invictus MD Strategies

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