Mr. Daniel Cohen reports
AURA ANNOUNCES UPSIZING OF NON-BROKERED PRIVATE PLACEMENT
Due to increased demand, Aura Health Inc. has upsized its previously announced non-brokered private placement (see
press release dated Jan. 7, 2019) from $1.5-million to up to $1.65-million. The offering is expected to close on or about Jan. 10, 2019. The net proceeds from the offering shall be used for general working capital and to advance the company's involvement in two Israeli cannabis companies, HolyCanna and CannabiSendak.
Aura Health intends to issue up to 11 million units of the company at a price of 15 cents per unit for gross proceeds of $1.65-million. Each unit comprises one common share in the capital of the company and one-half of one common share purchase warrant. Each warrant is exercisable at 25 cents for a period of 24 months from the date of issuance.
In connection with the offering, Aura Health expects to compensate finders who introduced subscribers to the company by way of: (i) an aggregate cash commission of 8 per cent of the proceeds placed by the placees; and (ii) issuing that number of non-transferrable finders' warrants equal to 8 per cent of the number of units subscribed to by the placees. Each finder's warrant will be exercisable to purchase one common share at an exercise price of 25 cents for a period of 24 months from the date of issuance.
All securities issued pursuant to the offering will be subject to a hold period of four months plus one day from the closing date. The offering remains subject to approval of the Canadian Securities Exchange. Aura Health expects that insiders of the company will participate in the offering.
About Aura Health Inc.
Aura Health is building an international network of vertically integrated cannabis assets. The company holds convertible debt that converts to a 54-per-cent equity interest in HolyCanna, a cultivation and nursery licence holder in Israel, and has a letter of intent in place to acquire the majority of CannabiSendak, the builder of a network of high-profile dispensaries in Israel. Aura Health also owns a 30-per-cent interest in four medical marijuana clinics in the U.S. Sunbelt, with an option to increase its interest in three of the clinics to 51 per cent.
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