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Initial tranche of $20
million in common shares from four leading licensed
producers closed,
with signed commitments for up to an additional $35 million
OTTAWA, Oct. 29, 2018 /CNW/ - National Access Cannabis
Corp. ("NAC" or the "Company") (TSXV: META), a best
practices leader in delivering safe and responsible access to legal
cannabis in Canada, today announced it has closed the
announced initial tranche of its previously announced offering of
NAC common shares ("Common Shares") to certain of
Canada's top licensed producers
(the "LP Financing") at a price of $0.91 per Common Share.
Under the initial tranche of the LP Financing, four of
Canada's top licensed producers,
Aphria Inc., CannTrust Inc., VIVO Cannabis Inc. and Zenabis Ltd.,
either directly or indirectly, have purchased an aggregate of
21,978,020 Common Shares for gross proceeds to the Company of
$20 million.
"With this strategic investment in place, NAC is set to become
one of Canada's largest national
cannabis retailers," said Mark
Goliger, CEO of NAC. "We continue to meet the aggressive but
in our view achievable goals we've set, expecting to open up to 200
retail cannabis stores over the next 18 months. I'd like to thank
these leading LPs for their support and strategic investment as we
enter this exciting time of growth."
About the LP Strategic Investments
Aphria Inc., CannTrust Inc. and Zenabis Ltd. have each agreed,
either directly or indirectly, to participate in the LP Financing
to purchase an aggregate amount of up to $45
million of Common Shares (including the purchase of Common
Shares subscribed for under the initial tranche of the LP
Financing), which, subject to satisfaction of certain conditions
precedent, will be completed in three tranches, pursuant to the
terms and conditions of the applicable subscription documents. VIVO
Cannabis Inc. has agreed, either directly or indirectly, to
participate in the LP Financing to purchase an aggregate amount of
up to $10 million of Common Shares
(including the purchase of Common Shares subscribed for under the
initial tranche of the LP Financing), which, subject to
satisfaction of certain conditions precedent, will be completed in
two tranches, pursuant to the terms and conditions of the
subscription documents.
The previous announcement regarding the LP Financing can be
found at the following link:
October 23, 2018 – National
Access Cannabis Corp. Announces Financing Transactions
About National Access Cannabis Corp.
NAC is a best practices leader in delivering secure,
safe, and responsible access to legal cannabis in Canada. Through its Canada-wide network
of medical cannabis clinics, partner pharmacies, NAC Bio's clinical
research division, Meta Cannabis Supply Co.™ and NewLeaf
Cannabis™ recreational cannabis retail stores, NAC enables patients
and the public to gain knowledge and 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.nacbio.com
www.nacmedical.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 size of the LP Financing, the closing of the subsequent
tranches of the LP Financing and the ability to complete the
related milestones and the number of retail cannabis stores the
Company expects to open in the next 18 months. 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 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.