Supreme Cannabis Completes $100 Million Bought Deal Convertible Debenture Offering

The Supreme Cannabis Company, Inc. (TSXV: FIRE) (OTCQX: SPRWF) (FRA: 53S1), is very happy to announce that, further to its news release dated September 27, 2018, the business has completed its bought deal offering for gross proceeds of $100 million, including the exercise in full of the underwriters’ over-allotment alternative, comprised of 6.0% senior unsecured convertible debentures of Supreme Cannabis at the issue price of $1,000 per Debenture, with a syndicate of underwriters, co-led by GMP Securities L.P. and BMO Capital Markets, and such as Cormark Securities Inc., Eight Capital, Beacon Securities Limited and P.I. Financial Corp..

The Debentures will have a maturity date that is 36 months from the closing date of the Offering (the”Maturity Date”) and will bear interest from the date of closure at 6.0% per annum, payable semi-annually on June 30 and December 31of every year. The business may induce the conversion of the principal amount of the then outstanding Debentures at the Conversion Price on not less than 30 days’ notice if the daily volume weighted average trading price of the Common Shares be greater than $3.43 for any 10 consecutive trading days. Further details about the debentures are found at the Company’s filings on www.sedar.com.

The business intends to use the net proceeds of the Offering for the construction and development of its existing and planned facilities in Canada. This includes the Company’s facility in Kincardine, Ontario under construction and the development and construction of a facility on land purchased by the business that’s situated adjacent to such facility. The remainder of the net proceeds will be used for general working capital purposes. The Company views the completion of the Offering as an important landmark in qualifying along with other mature producers in the cannabis market to the Toronto Stock Exchange.

The Debentures sold and were offered by means of a short form prospectus filed in each of Canada’s provinces, excluding Quebec.

The TSX Venture Exchange (the”Exchange”) has accepted the record of the Debentures and they commence trading on the Exchange under the stock symbol FIRE.DB on October 23, 2018.

The securities being offered haven’t been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements.

Around Supreme Cannabis

The Supreme Cannabis Company (TSXV: FIRE) (OTCQX: SPRWF) (FRA: 53S1) is a Canadian publicly traded company dedicated to providing premium brands and products which proudly represent its customers, people and uniquely innovative culture. The portfolio of the Company includes flagship brand 7ACRES and its subsidiary.  

7ACRES is a licensed producer of cannabis operating inside a 342,000-square-foot facility in Kincardine, Ontario. 7ACRES is dedicated to providing consumers with a product which recognizes its customers are informed, discerning and value a brand and culture that contrasts with their fundamentals. 7ACRES brand success was reflected in supply agreements, where 7ACRES’ product is always listed in the brand class available to recreational consumers.

The Company portfolio also has distribution partnership and an equity investment with Lesotho-based Medigrow for the exporting of cannabis oil. 

The Supreme Cannabis Company has set the standard for innovation in the industry, including the plan of growing facilities and development of excellence metrics. We are confident that together with industry-leading team , proprietary technology and products, truly distinctive culture, and our flagship brand, our shareholders consistent long-term value generation will be delivered by us.

Released at Fri, 19 October 2018 14:26:54 +0000

Posted in: News

Comments are closed.