TORONTO, May 7, 2019 /CNW/ - National Access Cannabis
Corp. ("NAC" or the "Company") (TSXV: META),
Canada's largest private cannabis
retailer, had previously announced on January 7, 2019 that it had received approval
from the TSX to distribute $21,150,000 aggregate principal amount of 8.0%
convertible secured senior debentures (the "Debentures") as
governed by a convertible debenture indenture made as of
November 23, 2018, between the
Company and TSX Trust Company (the "Debenture Indenture").
In accordance with the Debentures, interest in the amount of
$41.78 for each $1,000 of Debentures is due and payable to
Debentureholders on May 31, 2019 (the
"Current Interest Obligation").
The Company has provided notice to the registered holders of the
Debentures that, pursuant to the terms of the Debenture Indenture,
the Company has elected to satisfy the entirety of the Current
Interest Obligation by the delivery of common shares in the capital
of the Company (the "Common Shares"). The Common Shares
issued in satisfaction of the Current Interest Obligation shall be
issued at a price per Common Share equal to the volume weighted
average price for the ten (10) consecutive trading days ending on
May 28, 2019.
"This election maximizes the capital available to invest in high
return priorities including building on our current network of 25
recreational cannabis stores and making targeted investments to
continue driving solid operating performance," said Mark Goliger, CEO of NAC. "Today, we have the
largest footprint of retail cannabis stores in Canada and are awaiting the approval of an
additional 24 licenses that have already been submitted. This has
been a monumental year both for Canadian cannabis and for NAC. We
greatly appreciate the ongoing support of our loyal shareholders as
we continue to solidify our already-leading position in the
market."
In accordance with terms of the Debenture Indenture, the Common
Shares shall be payable to the registered holders of Debentures
appearing on the registers marked by the Trustee at the close of
business on May 24, 2019, being the
fifth Business Day prior to the applicable interest payment date.
No fractional Common Shares will be issued in satisfaction of the
Current Interest Obligation.
The Common Shares have not and will not be registered under the
U.S. Securities Act of 1933, as amended (the "Act"), and may
not be offered or sold in the United
States absent registration or an applicable exemption from
the registration requirements under the Act.
About National Access Cannabis Corp.
NAC is
Canada's largest recreational
cannabis retailer. With 25 retail locations nationwide, NAC is the
leader in secure, safe and responsible access to legal recreational
cannabis in Canada. Through its
Canada-wide network of Meta
Cannabis Supply Co.™ and NewLeaf Cannabis™ recreational cannabis
retail stores and National Access Cannabis Medical™ cannabis
clinics and pharmacy partnerships, NAC enables the public and
registered patients to gain knowledgeable access to Canada's network of authorized Licensed
Producers of cannabis. NAC is listed on the TSX Venture Exchange
under the symbol (TSXV: META).
For more information, visit:
www.nationalaccesscannabis.com
www.metacannabis.com
www.newleafcannabis.ca
www.nacmedical.com
www.nacbio.com
Cautionary Statements
This news release contains forward looking statements and
forward-looking information within the meaning of applicable
securities laws. The use of any of the words "expect",
"anticipate", "continue", "estimate", "objective", "ongoing",
"may", "will", "project", "should", "believe", "plans", "intends"
and similar expressions are intended to identify forward looking
statements or information. Forward-looking statements and
information in this news release includes, but is not limited to,
the opening dates for NAC cannabis retail stores and the number of
NAC cannabis retail stores expected to open and/or become licensed.
Although the Company believes that the expectations and
assumptions on which the forward-looking statements and information
are based are reasonable, undue reliance should not be placed on
the forward-looking statements and information because the Company
cannot give any assurance that they will prove to be
correct. Since forward looking statements and information
address future events and conditions, by their very nature they
involve inherent risks and uncertainties. Actual results and
developments may differ materially from those that are currently
contemplated by these statements depending on, among other things,
risks relating to the ability to obtain or maintain licenses to
retail cannabis products; future legislative and regulatory
developments involving cannabis; inability to access sufficient
capital from internal and external sources, and/or inability to
access sufficient capital on favourable terms; the labour market
generally and the ability to access, hire and retain employees; and
the medical and potential cannabis industry in Canada generally. The Company cautions that
the foregoing list of risks and uncertainties is not
exhaustive.
The forward-looking statements and information contained in
this news release are made as of the date hereof and the Company
undertakes no obligation to update publicly or revise any
forward-looking statement or information, whether as a result of
new information, future events or otherwise, unless so required by
applicable securities laws.
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.
SOURCE National Access Cannabis Corp.