Cannabis One Holdings Inc (CSE:CBIS), the cannabis branding house, has undertaken a management-led strategic financing that netted the company over $1.6 million.
Led by insiders, the company’s non-brokered private placement consisted of just over 7.6 million subordinate voting units priced at C$0.068 and around 1.7 million super-voting units priced at C$0.68 for gross proceeds of $1.61 million.
Nearly half of the proceeds came from managers and board members of Cannabis One, who participated for an aggregate of 2.6 million subordinate voting units and 904,000 super-voting units to raise around $794,000.
Proceeds from the financing will be used to fund general working capital, assist in the closing of certain acquisitions, and fund the expansion of its Colorado and Washington operations, Cannabis One told shareholders in a statement Wednesday.
Each subordinate unit consists of one subordinate voting share of Cannabis One and one warrant exercisable at C$0.12 for a two-year period. Each super-voting unit consists of share and one warrant exercisable at C$1.20 per share for a two-year period. One super-voting share is convertible into ten subordinate voting share.
The Vancouver-based company holds a client portfolio of award-winning products that boast a wide market footprint, including its retail brand The Joint.
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