Mr. Dale McClanaghan reports
LOTUS VENTURES ENTERS "ACTIVE REVIEW" WITH HEALTH CANADA AND CLOSES $1 MILLION CANNABIS FINANCING
Lotus Ventures Inc.'s licensed producer
application for its Armstrong, B.C., purpose-built indoor facility under
the Access to Cannabis for Medical Purposes Regulations (ACMPR) is currently in
active review. Following the successful completion of Health Canada's paper review of
the application, the company will be required to submit an evidence package
demonstrating that the purpose-built indoor facility is a functioning facility that adheres to
In conjunction with this announcement, the company is pleased to confirm that its partner,
Cannabis Wheaton Income Corp. (CBW), has subscribed, by way of a private placement,
for 1,818,181 units in the capital of the company at a price per unit of
55 cents for aggregate proceeds of $1-million. Each unit consists of
one common share of the company and one-half of one common share purchase warrant. Each warrant is exercisable into one common share
in the capital of the company for a period of 36 months from the date of issue, at an exercise
price of $1 per warrant. Concurrently with the subscription, the company and CBW
have amended and restated their original interim agreement to decrease the initial financial
commitment of CBW by an aggregate amount of $1-million.
"Both these announcements are material milestones for the company and our shareholders.
We are very pleased to be working with CBW on our future expansion plans," said Dale
McClanaghan, chief executive officer of Lotus Ventures.
Hugo Alves, president of CBW, stated: "We want to congratulate our streaming partner
Lotus on their progress towards licensing. We're excited to invest in Lotus, and we believe
that they have a unique approach to indoor cultivation and a management team that can
successfully scale up their operations."
About Lotus Ventures Inc.
Lotus is a late-stage licensed producer (LP) applicant under the ACMPR rules and
regulations, in active review with Health Canada. The unique business model combines an
upstream royalty financing model with CBW and a downstream licensing model with
farmer/grower partners using Lotus technology and intellectual property. The first facility
is currently under construction in Armstrong, B.C. The company has previously announced its first
farmer/grower partner with its second facility slated in Ontario.
© 2023 Canjex Publishing Ltd. All rights reserved.