APH buys 16,6% stake in CMM for $1,40 for 8,4 Mio. APH pays $1,40/share. CMM trading 1,03 yesterday.
BUY CMM NOW!!!! Canabo is also pleased to announce it has entered into an agreement with Aphria Inc. (TSX VENTURE:APH)(OTCQB:APHQF) ("Aphria") for the private placement of 6,000,000 common shares (the "Shares") at a price of $1.40 per Share, to raise gross proceeds of $8,400,000 (the "Offering"). After giving effect to the Offering, Aphria will own approximately 16.6% of the total issued and outstanding common shares of the Company (on an undiluted basis). The placement will be subject to an aggregate finders' fee equal to 5% of the gross proceeds payable to Haywood Securities Inc., PowerOne Capital Markets Limited and Clarus Securities Inc. In addition, Haywood Securities Inc. shall be granted an over-allotment option to sell additional common shares equal to 15% of the size of the offering. This option may be exercised at any time, in whole or in part, until 30 days following the closing date.
The Offering is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange. All of the securities issued pursuant to this Offering will have a hold period expiring four months after the closing date.
Dr. Neil Smith, Executive Chairman of Canabo Medical stated, "The study announcement speaks to the core principles and values of Canabo, contributing to the evidence based medical body of work to support cannabinoid therapies." Smith went on to say, "Adding an investment partner like Aphria is an obvious strategic partner aligned to advance the standard of cannabinoid treatments."
"Canabo is one of the largest and most respected referral clinics in the country. Its commitment to educating both patients and physicians when it comes to prescribing cannabinoid treatment to effectively manage patients suffering from chronic pain and disabling illnesses, has resulted in Canabo becoming a market leader in cannabinoid medicine and assuring it is playing a meaningful role in improving the quality of life of their patients, consistent with the values we hold at Aphria," said Vic Neufeld, Chief Executive Officer of Aphria Inc. "We very much look forward to working closely with them as part of this strategic investment."
About Canabo
Canabo wholly owns and operates Cannabinoid Medical Clinics, or CMClinics, Canada's largest referral-only clinics for medical cannabis. After opening in 2014, Canabo now has ten clinic locations, including Toronto, Barrie, Ottawa, Hamilton, Halifax, St. John's, and Edmonton, with a number of additional clinics planned for opening in 2016 and 2017.
The principal business carried on and intended to be carried on by Canabo is the operation of strictly referral-only medical clinics for evaluating the suitability of, prescribing, and monitoring cannabinoid treatments for patients suffering from chronic pain and disabling illnesses. Clinics operated by Canabo are staffed by physicians and qualified health care practitioners specifically trained to assess patient suitability for cannabinoid treatment, recommend treatment regimes, and monitor treatment progress. Canabo sees patients only on a physician-referral basis. The Access to Cannabis for Medical Purposes Regulations ("ACMPR") requires that medical marijuana must be prescribed by a health care practitioner; however, no cannabinoid products or medical marijuana are sold at Canabo's medical clinics.
About Aphria
Aphria Inc., one of Canada's lowest cost producers, produces, supplies and sells medical cannabis. Located in Leamington, Ontario, the greenhouse capital of Canada. Aphria is truly powered by sunlight, allowing for the most natural growing conditions available. We are committed to providing pharma-grade medical cannabis, superior patient care while balancing patient economics and returns to shareholders. We are the first public licenced producer to report positive cash flow from operations and the first to report positive earnings in consecutive quarters.
We seek Safe Harbor.