Perth, Feb 23, 2017 - (ABN Newswire) - MMJ PhytoTech Limited (ASX:MMJ) ("MMJ" or "the Company") is pleased to advise that Canadian-based Harvest One Capital Corp. (CVE:WON.H) ("Harvest One") has closed the previously reported (January 27, 2017) private placement ("the Placement"), raising C$25,000,500 before costs. Pursuant to the Placement, Harvest One issued 33,334,000 Subscription Receipts at a price of C$0.75.
The Subscription Receipts were sold on a private placement basis through a syndicate of agents led by Mackie Research Capital Corporation (the "Lead Agent") and including Canaccord Genuity Corp., Eight Capital and GMP Securities L.P. (the "Agents"). The Agents exercised in full their option to purchase an additional 4,000,000 Subscription Receipts for additional gross proceeds of $3,000,000.
Funds received from the Placement will be used to finalise the acquisition of the MMJ's core cannabis subsidiaries United Greeneries Holdings Ltd ("UG") and Satipharm AG ("Satipharm") respectively. Post transaction, MMJ shareholders will have a 60% ownership in Harvest One - a fully-financed company with two strategic cannabis brands operating in one of the fastest growing cannabis markets globally.
A full copy of the announcement released by Harvest One on the Toronto Venture Exchange, outlining full details of the Placement has been provided (see link below).
MMJ PhytoTech's Managing Director, Andreas Gedeon, commented:
"We are very pleased with the robust level of support received to date from the Canadian investment community, as it further validates the Company's strategy to list its core cannabis brands on the TSX-V.
Following completion of the Harvest One transaction, MMJ's shareholders will have direct exposure to one of the fastest growing cannabis markets globally, providing leverage to the significant investor demand for cannabis related equities in the Canadian capital market.
We look forward to providing our shareholders with further corporate and operational updates in the near-term."
To view the full MMJ release including Harvest One announcement, please visit: http://abnnewswire.net/lnk/Z91JY0Y4
WEB: Harvest One Closes C$25M Placement
About: MMJ PhytoTech Ltd
MMJ PhytoTech Limited (ASX:MMJ) is focused on becoming a large-scale cannabis producer, targeting direct supply to the growing Canadian medical and recreational markets which will have an estimated combined value of C$8-9 billion by 2024. The Company controls operations across the entire medicinal cannabis value chain through three business units, strategically located in favourable jurisdictions with supportive regulatory frameworks in place.
MMJ has signed a definitive agreement with Canadian-based Harvest One Capital Corp. (CVE:WON.H) for the sale to Harvest One of 100% of the issued shares of United Greeneries Holdings Ltd and Satipharm AG.
United Greeneries Holding Ltd. has established world-class growing facilities in Canada, including the fully licensed Duncan Facility. MMJ is the first Australian-based company to receive a Canadian medicinal cannabis cultivation licence, and one of only a few companies globally with the capacity to commercially cultivate medicinal grade cannabis in a federally regulated environment.
The Company’s Swiss-based, medicinal products division operates under its 100% owned subsidiary, Satipharm AG, and is currently focused on developing regulatory compliant, unique oral delivery technologies that have the potential to deliver safe, effective and measured doses of medicinal cannabis to patients. MMJ began production of its first capsule product in May 2015, and is committed to providing novel treatment options throughout regulated markets globally.
PhytoTech Therapeutics Ltd is MMJ's Israel-based subsidiary responsible for the clinical research and development activities. In March 2016, PhytoTech Therapeutics completed a phase 1 clinical study which highlighted the safety and performance of Satipharm's capsule formulations in delivering CBD compounds to trial subjects.
The Subscription Receipts were sold on a private placement basis through a syndicate of agents led by Mackie Research Capital Corporation (the "Lead Agent") and including Canaccord Genuity Corp., Eight Capital and GMP Securities L.P. (the "Agents"). The Agents exercised in full their option to purchase an additional 4,000,000 Subscription Receipts for additional gross proceeds of $3,000,000.
Funds received from the Placement will be used to finalise the acquisition of the MMJ's core cannabis subsidiaries United Greeneries Holdings Ltd ("UG") and Satipharm AG ("Satipharm") respectively. Post transaction, MMJ shareholders will have a 60% ownership in Harvest One - a fully-financed company with two strategic cannabis brands operating in one of the fastest growing cannabis markets globally.
A full copy of the announcement released by Harvest One on the Toronto Venture Exchange, outlining full details of the Placement has been provided (see link below).
MMJ PhytoTech's Managing Director, Andreas Gedeon, commented:
"We are very pleased with the robust level of support received to date from the Canadian investment community, as it further validates the Company's strategy to list its core cannabis brands on the TSX-V.
Following completion of the Harvest One transaction, MMJ's shareholders will have direct exposure to one of the fastest growing cannabis markets globally, providing leverage to the significant investor demand for cannabis related equities in the Canadian capital market.
We look forward to providing our shareholders with further corporate and operational updates in the near-term."
To view the full MMJ release including Harvest One announcement, please visit: http://abnnewswire.net/lnk/Z91JY0Y4
WEB: Harvest One Closes C$25M Placement
About: MMJ PhytoTech Ltd
MMJ PhytoTech Limited (ASX:MMJ) is focused on becoming a large-scale cannabis producer, targeting direct supply to the growing Canadian medical and recreational markets which will have an estimated combined value of C$8-9 billion by 2024. The Company controls operations across the entire medicinal cannabis value chain through three business units, strategically located in favourable jurisdictions with supportive regulatory frameworks in place.
MMJ has signed a definitive agreement with Canadian-based Harvest One Capital Corp. (CVE:WON.H) for the sale to Harvest One of 100% of the issued shares of United Greeneries Holdings Ltd and Satipharm AG.
United Greeneries Holding Ltd. has established world-class growing facilities in Canada, including the fully licensed Duncan Facility. MMJ is the first Australian-based company to receive a Canadian medicinal cannabis cultivation licence, and one of only a few companies globally with the capacity to commercially cultivate medicinal grade cannabis in a federally regulated environment.
The Company’s Swiss-based, medicinal products division operates under its 100% owned subsidiary, Satipharm AG, and is currently focused on developing regulatory compliant, unique oral delivery technologies that have the potential to deliver safe, effective and measured doses of medicinal cannabis to patients. MMJ began production of its first capsule product in May 2015, and is committed to providing novel treatment options throughout regulated markets globally.
PhytoTech Therapeutics Ltd is MMJ's Israel-based subsidiary responsible for the clinical research and development activities. In March 2016, PhytoTech Therapeutics completed a phase 1 clinical study which highlighted the safety and performance of Satipharm's capsule formulations in delivering CBD compounds to trial subjects.
