/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED STATES./
OTTAWA, May 14, 2014 /CNW/ - Tweed Marijuana Inc. ("Tweed") (TSXV: TWD), is pleased to announce that it has closed its previously
announced short form prospectus offering, on a bought deal basis, of
4,687,500 common shares for aggregate gross proceeds of $15,000,000
(the "Offering"). The Offering was completed at a price of $3.20 per common share
(the "Offering Price") by a syndicate of underwriters led by GMP Securities L.P. and
including Jacob Securities Inc. (collectively, the "Underwriters").
Tweed has also granted the Underwriters an over-allotment option to
purchase up to an additional 703,125 common shares at the Offering
Price, exercisable in whole or in part, at any time on or prior to the
date that is 30 days following the closing of the Offering. If this
option is exercised in full, an additional $2,250,000 will be raised
pursuant to the Offering and the aggregate gross proceeds of the
Offering will be $17,250,000.
Tweed intends to use the net proceeds from the Offering primarily for
facility expansion and general corporate purposes.
The securities being offered have not been, nor will they be, registered
under the United States Securities Act of 1933, as amended, or any U.S.
state securities laws, and may not be offered or sold in the United
States or to, or for the account or benefit of, United States persons
absent registration or any applicable exemption from the registration
requirements of the United States Securities Act of 1933, as amended,
and applicable U.S. state securities laws. This press release shall
not constitute an offer to sell or the solicitation of an offer to buy
securities in the United States, nor shall there be any sale of the
securities in any jurisdiction in which such offer, solicitation or
sale would be unlawful.
About Tweed Marijuana Inc.
Tweed Marijuana Inc. is a TSX Venture Exchange listed company. Its
wholly owned subsidiary, Tweed Inc., is a licensed producer of medical
marijuana in Canada. The principal activities of Tweed are the
production and sale of marijuana out of its facility in Smiths Falls,
Ontario as regulated by the Marihuana for Medical Purposes Regulations.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
Notice regarding Forward Looking Statements
Statements regarding the over-allotment option, the proceeds that would
be realized by Tweed if the over-allotment option is exercised and the
proposed use of proceeds of the Offering are all forward-looking
statements. The exercise of the over-allotment option is outside of
Tweed's control and there can be no assurances that the over-allotment
option will be exercised prior to its expiry. Tweed may re-allocate the
net proceeds of the Offering from time to time, having consideration to
its strategy relative to the market and other conditions in effect at
the applicable time. For further information about Tweed's proposed
use of proceeds and the risks associated with an investment in Tweed
please refer to Tweed's final short form prospectus dated May 8, 2014
and filed at www.SEDAR.com. Tweed does not undertake an obligation to publicly update such
forward-looking statements to reflect new information, subsequent
events or otherwise unless required by applicable securities
legislation.
SOURCE Tweed Marijuana Inc.
