Sunniva Inc C.SNN

Use of Proceeds

[Basket11]

Proceeds The net proceeds to the Company from the Offering are estimated to be $23,517,390 after deducting the payment of the Underwriters Fee of $1,501,110, but before deducting the expenses of the Offering (estimated to be approximately $300,000). If the Over-Allotment Option is exercised in full, the net proceeds to the Company from the sale of the Units are estimated to be $27,044,998.50 after deducting the Underwriters Fee of $1,726,276.50, but before deducting the expenses of the Offering (estimated to be approximately $300,000). Principal Purposes The Company intends to use the majority of the net proceeds of the Offering to fund deposits for commencing development at the Sunniva Canada Campus, purchasing additional equipment for the APL Facility, the additional development of the Companys SPARK enterprise platform to support continued NHS patient expansion and for working capital and general corporate purposes. Upon completion of the Offering, the Company intends to allocate and use the net proceeds in the following manner: It is intended that approximately $15M of the net proceeds of the Offering will be used to fund deposits with vendors for the Sunniva Canada Campus. It is intended that approximately $1.2M of the net proceeds of the Offering will be used to purchase equipment for the initiation of oils and extracts manufacturing at the APL Facility. It is intended that approximately $1.0M of the net proceeds of the Offering will be used for the continued development of the SPARK enterprise platform to support continued NHS patient expansion. - 13 - It is intended that the remainder of the net proceeds of the Offering will be used by the Company for general corporate matters and working capital purposes of a nature typical for a company engaged in the cultivation and sale of marijuana and related products. https://www.sedar.com/GetFile.do?lang=EN&docClass=9&issuerNo=00040326&issuerType=03&projectNo=02738786&docId=4273839

[Basket11]

I forgot to mention that this was cut and pasted from the report and that the link is at the bottom. The use of proceeds is on page 19. Chris

[Bluechip2]

Good stuff, thanks for summarizing

[gjhgary]

This post has been removed in accordance with Community Policy

[NoMansGhost]

Great post, Basket. Thanks for passing along this information. I have shared it with other investors, as I'm sure they will find it of equal interest. Great news that $15M is being used for deposits on the Canadian Facility. Confirmation that we are moving ever so close to possibly receiving the license and breaking ground on the site. 

[Stocksondeck]

Where did you guys find what they are doing with the proceeds?

[Bluechip2]

https://webfiles.thecse.com/investorx/SNN/1803121307553309.pdf?9uwDqdPEnrUziOVg3TXHrbakt1l9SX92