This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Stockwatch Business Reporter

The TSX Venture Exchange added 1.36 points to 721.63 Wednesday. Alan Rootenberg's halted capital pool shell, Searchtech Ventures Corp. (MJN), has submitted a filing statement outlining its plan to acquire Hortican Inc., doing business as PharmaCan Capital, as a qualifying transaction. The deal should close next week. The target is an investment company focused solely on medical marijuana producers in Canada, and should appeal to investors who see upside to the medical marijuana subsector and prefer a basket of companies.

Searchtech will roll back its shares 1:7, leaving it with 1,686,228 postconsolidated shares, and then issue 33,207,003 postconsolidated shares to the shareholders of PharmaCan, after which the shell will change its name to PharmaCan Capital Corp. Paul Rosen, a Toronto lawyer who will receive 1,119,913 shares, and Lorne Gertner, a Toronto venture capitalist who will receive 735,811 shares, founded PharmaCan in January, 2013. They have since raised $12.9-million by selling shares at prices ranging from a fraction of a cent to $1.15. So far, the company has bought $9.27-million worth of equity and provided $1.29-million worth of loans to a total of eight companies, of which five have a licence to produce medical marijuana under Health Canada's MMPR policy. Those five are ABcann Medicinals Inc., The Hydropothecary Corp., In the Zone Produce Ltd., Peace Naturals Project Inc. and Whistler Medical Marijuana Co., while the remaining three hopefuls in PharmaCan's portfolio are Evergreen Medicinal Supply Inc., Vert Medical and CannMart Inc.

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS