RE: Off we go to 10 cents!!!Check out the latest release if you're still not sure ...
Silo Wellness arranges $495,000 (U.S.) financing
2022-02-03 13:15 ET - News Release
Mr. Douglas Gordon reports
PSYCHEDELICS COMPANY SILO WELLNESS ANNOUNCES USD$495,000 STRATEGIC EQUITY INVESTMENT BY SOCIALLY CONSCIOUS METAVERSE AND PSYCHEDELICS HOLDING COMPANY ORTHOGONAL THINKER
Silo Wellness Inc. has entered into a subscription agreement with respect to a strategic investment with Orthogonal Thinker Inc., an arm's-length third party investor, pursuant to which the company will issue 12,555,180 units of the company for aggregate gross proceeds to the company of $495,000 (U.S.). Each unit will consist of one common share of the company and one common share purchase warrant exercisable for one common share at a price per common share of five cents for a period of two years after the date of issue. Within 180 days of closing of the transaction, Orthogonal Thinker will purchase additional units (or convertible debt) for aggregate gross proceeds $505,000 (U.S.) based on the prevailing market price of the common shares.
At closing, it is anticipated that David Nikzad and Jason Hobson of Orthogonal Thinker will join the board of directors of the company. Additionally, Mr. Nikzad will be appointed co-chief executive officer and Mr. Hobson will be appointed chief operating officer of the company.
Douglas K. Gordon, chief executive officer of Silo Wellness, said: "We are very excited to ally Silo Wellness with Orthogonal Thinker. David Nikzad and his team at Orthogonal Thinker have done amazing things and we welcome their strategic advice and industry-leading vision."
Mr. Nikzad, cofounder and chief executive officer of Orthogonal Thinker, said: "We chose to invest in Silo Wellness because of its firm commitment to helping people in need with psychedelics through retreats in Jamaica and the Bob Marley brand partnership. We look forward to advising Silo Wellness on how to best grow Marley One and psychedelic retreats."
Summary of investor rights agreement
Concurrent with the closing of the transaction, the company and Orthogonal Thinker will enter into an investor rights agreement, pursuant to which Orthogonal Thinker shall be entitled to designate two nominees for election to the board and shall be entitled to appoint the chief executive officer of the company and the chief operating officer of the company. The investor rights agreement will also provide that Orthogonal Thinker will receive an additional two investor nominees for election at the next shareholder meeting of the company.
For so long as Orthogonal Thinker owns at least 10 per cent of the issued and outstanding common shares (on a fully-diluted basis), Orthogonal Thinker will be entitled to certain participation and top-up rights further set out in the investor rights agreement. In addition, the investor rights agreement provides Orthogonal Thinker with certain registration rights with respect to its common shares.
Closing conditions
The transaction is subject to customary closing conditions and applicable regulatory approvals, including receipt of certain voting support agreements from certain shareholders of the company with respect to the annual general meeting (AGM).
About Silo Wellness Inc.
Silo Wellness is a growth-oriented holding company focused on functional mushroom and psychedelic opportunities that benefit from a unified ecosystem and exceptional leadership. Founded in 2018 and headquartered in Toronto, Silo Wellness has operations in Jamaica and Oregon. Silo Wellness is a publicly traded company on the Canadian and Frankfurt exchanges and trades on the OTCQB Venture Market.
Silo Wellness offers a diverse and growing portfolio of functional mushroom products, psychedelic wellness retreats in Jamaica and Oregon, psychedelic mushroom and truffle cultivation in Jamaica, brick-and-mortar smart shop development in Jamaica, and intellectual property, focused initially on the commercialization of its metered-dosing psilocybin nasal spray.
In March, 2021, Silo Wellness announced a multiyear licencing agreement with the family of legendary musician Bob Marley for the exclusive worldwide rights to brand, market and sell a distinct product line of functional and psychedelic mushrooms.
We seek Safe Harbor.
© 2022 Canjex Publishing Ltd. All rights reserved.