09:04:21 EDT Fri 29 Mar 2024
Enter Symbol
or Name
USA
CA



CannaRoyalty Corp
Symbol CRZ
Shares Issued 52,885,695
Close 2018-06-20 C$ 5.20
Market Cap C$ 275,005,614
Recent Sedar Documents

CannaRoyalty provides terms of debenture financing

2018-06-20 10:03 ET - News Release

Mr. Marc Lustig reports

CANNAROYALTY ANNOUNCES TERMS OF FULLY MARKETED PRIVATE PLACEMENT

CannaRoyalty Corp. has provided the terms of its previously announced, fully marketed private placement. A syndicate of investment dealers led by Canaccord Genuity Corp. has been engaged by the company to sell up to 30,000 unsecured convertible debentures of the company at a price of $1,000 per convertible debenture for aggregate gross proceeds of up to $30-million.

The convertible debentures will have a maturity date of three years from the closing date of the offering and will bear interest from the date of closing at 8 per cent per year, payable semi-annually on June 30 and Dec. 31 of each year. The convertible debentures will be convertible, at the option of the holder, into common shares of the company at any time prior to the close of business on the last business day immediately preceding the maturity date at a conversion price of $6.25 per common share. At any time following the date that is four months and one day following the closing date, the company may force the conversion of the principal amount of the then outstanding convertible debentures at the conversion price on not less than 30 days of notice should the daily volume-weighted average trading price of the common shares be greater than $9 for any 10 consecutive trading days.

The company has granted the underwriters an option to arrange for purchasers of up to an additional 4,500 convertible debentures, exercisable in whole or in part, at any time and from time to time on or prior to the closing date of the offering.

The convertible debentures will be offered on a private placement basis in all provinces of Canada, in the United States on a private placement basis pursuant to an exemption from the requirements of the U.S. Securities Act of 1933, as amended, and in compliance with applicable U.S. federal securities laws and any blue-sky laws or regulations of any state of the United States, and outside of Canada and the United States on a private placement or equivalent basis. The proceeds from the offering will be primarily used by the company to expand its footprint across California and for working capital and other general corporate purposes.

The offering is expected to close on or about July 12, 2018, and is subject to certain conditions, including, but not limited to, the receipt of all necessary regulatory and stock exchange approvals, including any approval of the Canadian Securities Exchange.

The convertible debentures and the common shares issuable upon exercise thereof will be subject to resale restrictions under applicable Canadian securities laws for a period of four months following the closing date. The company intends to apply to list the convertible debentures on the Canadian Securities Exchange. Listing will be subject to satisfying all of the CSE's supplemental listing requirements and expiry of the statutory hold period.

About CannaRoyalty Corp.

CannaRoyalty is a North American cannabis consumer product company currently focused on building a leading distribution business in California, the world's largest regulated cannabis market. By building a world-class logistics platform and supporting contract manufacturing assets, the company intends to support the growth of new and established cannabis brands.

We seek Safe Harbor.

© 2024 Canjex Publishing Ltd. All rights reserved.