WeedMD Inc (CVE:WMD) (OTCMKTS:WDDMF), which revealed Wednesday the sale of $10 million worth of convertible debentures, announced Thursday that an additional $2 million is now part of the deal.
The company is selling 12,000 convertible debenture units to Mackie Research Capital worth $1,000 each for a grand total of $12 million in proceeds.
Mackie has also been granted an over-allotment option, which would allow it to purchase an additional $1.8 million worth of units.
Shares of WeedMD, which were halted Wednesday afternoon before the news was announced, resumed trading Thursday at 11:30 am.
Each unit contains a debenture with an 8.5% interest rate and 625 share purchase warrants, exercisable at a price of $1.80 per share.
The principal of each debenture can be converted into common shares after 36 months. Should WeedMD shares trade above $3.60 for 20 days in a row, that timeline could be accelerated.
WeedMD stock slowed 4.5% Thursday to C$1.49 on the TSXV and 1.7% to US$1.15 on OTC Markets.
—Updated to include stock movement—
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