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iCAN Secures Financing Through a Convertible Loan of CAD $4 Million (US$3 Million)
TEL AVIV, Israel, April 2, 2019 /PRNewswire/ -- iCAN Israel-Cannabis is pleased to announce that it has issued a secured convertible loan in the amount of CAD $4,000,000 to a group of investors led by Plaza Capital.
The principal amount of each Convertible Security, plus accrued interest shall be convertible, for no additional consideration, into common shares of the Company at the option of the holders at any time following the completion of a subsequent Qualified Financing and prior to the close of business on the Maturity Date, at a conversion price equal to the price per share based on a valuation of US$20M. The Convertible Securities shall bear interest at a rate of 8.0% per annum from the date of issue and shall be accrued into the note.
Saul Kaye, CEO of iCAN: Israel-Cannabis, stated: "We are excited at the opportunities this financing round will create for iCAN and proud to have Plaza Capital join our solid investor base. With the success of CannaTech Davos and Panama so far in 2019, we are now well positioned to take our premier events to even more countries and continue to push the medicalization of cannabis around the world, with Cape Town already planned for late 2019. Our flagship event in Tel Aviv this week, once again sold out, and brought together the best Cannabis minds from around the world, showcasing Israel's leadership in research and technology. iCAN's unique position at the forefront of this exploding industry creates a wave of opportunities and this strategic financing will grow our iCAN:Serve and iCAN:Incubate portfolios.
Jesse Kaplan and Sruli Weinreb, Managing Partners at Plaza Capital added: "We were hugely impressed with iCAN's performance and leadership at the recent CannaTech Panama event and see immense opportunity in their global positioning and pipeline of new technologies. Saul Kaye is front and center of the global cannabis economy and we are thrilled to support him and iCAN."
The investment funds will be used to acquire and incubate cannabis-related businesses and anchor iCAN Incubate with a broad portfolio of new cannabis technologies. The funds will also provide an injection into iCAN's conference platform CannaTech to continue to expand the pipeline of opportunities and extend the global cannabis footprint.
Shwergold Aharonson & Co. acted as sole legal advisory to iCAN while Plaza Capital was advised by Garfinkle Biderman in Canada and Yigal Arnon & Co. in Israel.
About iCAN: Israel-Cannabis
iCAN: Israel-Cannabis is building the Global Cannabis Ecosystem. iCAN is committed to accelerate Israel's Canna-Technology industry, capitalizing on Israeli innovation and a leading cannabis regulatory environment to bring premier products to market. iCAN is powered by CannaTech, the premier international cannabis summit held annually in Tel Aviv, and around the world, including London, Sydney, Hong Kong and now Panama in 2019.
CannaTech is the only Medical Cannabis event of its kind with a global focus that offers senior industry leaders, medical and scientific experts, and new ventures the platform to come together, drive innovation, form partnerships and promote knowledge exchange.
About Plaza Capital
Plaza Capital is a boutique merchant bank focused on investing in pre-IPO finance rounds and Private Placements in small cap public companies. We look for strong management teams, healthy balance sheets and companies that are poised for growth.
SOURCE iCAN: Israel Cannabis