VANCOUVER, Oct. 19, 2018 /CNW/ - INVICTUS MD STRATEGIES
CORP. ("Invictus" or the "Company") (TSXV: GENE; OTCQX: IVITF; FRA:
8IS1) is pleased to announce that it has entered into a
definitive agreement (the "Definitive Agreement") with GTEC
Holdings Ltd. ("GTEC") (TSXV: GTEC; OTCPK: GGTTF) for the
previously announced non-revolving unsecured convertible loan (the
"Loan Facility") in an amount up to $2,000,000, and an interest rate of 8% (see press
release dated August 30, 2018, for
more details). The proceeds from the Loan Facility will be used by
GTEC for the expansion and development of its cannabis retail
strategy in Canada.
See GTEC press release titled "GTEC Holdings Announces Initial
Retail Cannabis Stores Scheduled to Be Operational in 2018," dated
October 11, 2018, for a current
update on GTEC's retail operations.
The Definitive Agreement provides Invictus with a Right of First
Refusal ("ROFR") to fill up to thirty percent (30%) of any
third-party supply agreement that GTEC, or its subsidiaries, has
for the supply of cannabis flower or oil, whether domestic or
international, for a period of two years from the date that GTEC,
or one of its subsidiaries, receives its first Sales License from
Health Canada.
"The team at GTEC has successfully executed one of the most
robust retail strategies in Western
Canada," said Dan Kriznic, Chairman and CEO of Invictus.
"Over the next coming weeks, we look forward to finalizing the
supply and launches of our premium adult-use cannabis
products."
"This week, we as Canadians have made unprecedented worldwide
history as we embark into legalization for adult recreational use.
We are excited to enter this journey together with Invictus." said
Norton Singhavon, Chairman and CEO of GTEC. "The premium flower,
distinct brands and diverse genetics will complement our
anticipated 35+ retail locations between British Columbia, Alberta and Saskatchewan."
The Loan Facility is subject to final approval from the TSX
Venture Exchange ("TSXV), and shall be due and payable in full on
the date that is two years following the date of the first advance
on the Loan Facility (the "Maturity Date"). GTEC will be entitled
to prepay all or a part of the Loan Facility at any time, from time
to time, without bonus or penalty. Upon mutual agreement by both
parties and prior to the Maturity Date, Invictus may increase the
amount of the Loan Facility up to $6,000,000 in aggregate, and further extend the
term of the Loan Facility.
Upon regulatory approval, all or a portion of the principal and
accrued interest on the Loan Facility may be convertible into
common shares of GTEC, at the option of Invictus, at any time prior
to or on the last business day immediately preceding the Maturity
Date, at a conversion price equal to $1.50 per common share (the "Conversion
Price").
For more information, please visit www.invictus-md.com.
On Behalf of the Board,
Dan Kriznic
Chairman and CEO
Jessica Martin
Vice President, Public Relations and Regulatory Affairs
(833) 879-4363
About Invictus
Invictus is a global cannabis company offering a selection of
products under a wide range of lifestyle brands. Our integrated
sales approach is defined by five pillars of distribution including
medical, adult-use, international, Licensed Producer to Licensed
Producer and retail stores.
Invictus has partnered with business leaders to convey our
corporate vision, including KISS music legend and business mogul
Gene Simmons as our Chief Evangelist
Officer. To meet growing demand, Invictus is expanding its
cultivation footprint, with two cannabis production facilities
fully licensed under the ACMPR in Canada and a third awaiting approval,
featuring 100,000 square feet of available grow space today with
200,000 expected by January 2019 and
up to 1 million by end of 2020. To accommodate international sales,
Invictus' wholly-owned subsidiary, Acreage Pharms Ltd. ("Acreage
Pharms"), has designed and is currently building its Phase 3 and 4
purpose-built cultivation facilities to be European Union Good
Manufacturing Practices ("EU-GMP") compliant. The Company will
earmark up to 50 per cent of production to the medical market. To
ensure consistency in quality and supply, Invictus maintains all
aspects of the growing process through its subsidiary, Future
Harvest Development Ltd., a high-quality Fertilizer and Nutrients
manufacturer. Invictus drives sustainable long-term shareholder
value through a diversified product portfolio with over 69 Health
Canada approved strains and a multifaceted distribution strategy
including medical, adult-use, international, Licensed Producer to
Licensed Producer and retail stores. For more information visit
www.invictus-md.com.
About GTEC
GTEC was founded in 2017 to capitalize on opportunities in the
nascent and rapidly growing legal cannabis industry. GTEC is a
public corporation listed on the TSX Venture Exchange and based in
Kelowna, British Columbia. GTEC is
focused on growing premium quality craft cannabis in purpose-built
indoor facilities. GTEC currently holds a 100% interest in GreenTec
Bio-Pharmaceuticals, Alberta Craft Cannabis, Grey Bruce Farms,
Tumbleweed Farms, Zenalytic Laboratories, and Spectre Labs.
To view more about the company or to request our most recent
corporate presentation, please visit our website at
www.gtec.co.
Cautionary Note Regarding Forward-Looking Statements: This
release includes certain statements and information that may
constitute forward-looking information within the meaning of
applicable Canadian securities laws or forward-looking statements
within the meaning of the United States Private Securities
Litigation Reform Act of 1995. 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 timing,
approval and completion of the Loan Facility and related matters
and the potential production capacity of Invictus, are
forward-looking statements and contain 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". Forward-looking statements
are based on certain material assumptions and analysis made by the
Company and the opinions and estimates of management as of the date
of this press release, including that Invictus will be successful
in reaching its potential production capacity, its production
facilities will be completed as anticipated, regulatory approval
will be granted as anticipated, Invictus will reach full production
capacity on the timeline anticipated by the Company, and no
unforeseen construction delays will be experienced. 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.
Important factors that may cause actual results to vary, include,
without limitation, the Company will not obtain the requisite
approvals to complete the Loan Facility, Invictus will not be
successful in reaching its potential production capacity, its
production facilities will not be completed as anticipated, and
licenses or approvals being granted on terms or timelines that are
materially worse than expected by the Company. Although management
of the Company has attempted to identify important factors that
could cause actual results to differ materially from those
contained in forward-looking statements or forward-looking
information, there may be other factors that cause results not to
be as anticipated, estimated or intended. 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 other purposes. The Company
does not undertake to update any forward-looking statement,
forward-looking information or financial out-look that are
incorporated by reference herein, except in accordance with
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.
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SOURCE Invictus MD Strategies