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Canada House Wellness Group Inc. Announces Closing of First Tranche under Alumina Facility
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
OR DISSEMINATION IN THE UNITED STATES
TORONTO, Oct. 04, 2018 (GLOBE NEWSWIRE) -- Canada House Wellness Group Inc ("Canada House" or the "Company") (CSE: CHV) is pleased to announce that it has issued 4,672,897 units (the "Units") to Alumina Partners (Ontario) Ltd. ("Alumina") at a price of $0.214 per Unit for gross proceeds of $999,999.96, less fees of $6,000. The closing of this tranche is the initial tranche of a financing commitment of up to $25,000,000 with Alumina, as further detailed in the Company’s press release dated September 20, 2018. Each Unit consists of one common share and one-half of a common share purchase warrant ("Warrant"). Each whole Warrant entitles Alumina to purchase one common share of the Company for a period of 24 months from closing at a price of $0.428 per common share.
“The benefits of having access to capital as we require it is huge, as it strengthens our balance sheet and provides working capital to accelerate our growth”, says Chris Churchill-Smith, CEO of Canada House. “The funds are being used for marketing to increase our medical clinic patient base and seed sales, as well as for capital expenditures on our production facility in anticipation of our sales license”, comments Mr. Churchill-Smith.
Canada House Wellness Group Inc.
Canada House is an experienced, integrated medical cannabis company providing patient-specific cannabinoid therapy products and services through its clinics and licensed producer. Canada House is the parent company of Marijuana for Trauma Inc., Knalysis Technologies and Abba Medix Corp. For more information please visit http://www.canadahouse.ca. or www.sedar.com
For further information, please contact:
Boom Capital Markets
Canada House Wellness Group Inc.
Chris Churchill-Smith, CEO
Cautionary Statement Regarding Forward Looking Information. This press release contains forward-looking statements, including statements that relate to, among other things, the Company’s clinic, production and technology businesses, its future plans, the Company’s markets, objectives, goals, strategies, intentions, beliefs, expectations and estimates, and can generally be identified by the use of words such as “may”, “will”, “could”, “should”, “would”, “likely”, "possible", “expect”, “intend”, “estimate”, “anticipate”, “believe”, “plan”, “objective” and “continue” (or the negative thereof) and words and expressions of similar import. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties, and undue reliance should not be placed on such statements. Certain material factors or assumptions are applied in making forward-looking statements, and actual results may differ materially from those expressed or implied in such statements. Material assumptions used to develop forward-looking information in this news release include, among other things, the regulations related to cannabis use under the Access to Cannabis for Medical Purposes Regulations and the act respecting cannabis and to amend the Controlled Drugs and Substances Act, the Criminal Code and other Acts, passed by the Canadian Federal government, making cannabis legal for recreational use by October 17, 2018; Company liquidity and capital resources, including the availability of additional capital resources to fund its activities; level of competition; the ability to adapt products and services to the changing market; the ability to attract and retain key executives; and the ability to execute strategic plans. Additional information about material factors that could cause actual results to differ materially from expectations and about material factors or assumptions applied in making forward-looking statements may be found in the Company’s most recent annual and interim Management’s Discussion and Analysis under “Risk and Uncertainties” as well as in other public disclosure documents filed with Canadian securities regulatory authorities. The Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements contained in this document, whether as a result of new information, future events or otherwise, except as required by law.
Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.