TSXV:SMR.H - Post by User
Comment by
Czechlateon May 04, 2014 12:01am
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Post# 22522035
RE:PAU can NOT buy the dispensary
RE:PAU can NOT buy the dispensary
That is why the news release is worded the way it is. PAUs lawyers had no problem getting the halt lifted by the TSX while my CMT has been halted for over a month. Dont think for a minute that Randhawa does not know exactly what he is doing. Why do you think the news release was written like this.... DISPENSARY The Company will enter into a facilities rental and support agreement to lease back the premises and lease-hold improvements to be provided to the license holder to enable the expansion of the business. The Company will provide the Dispensary with financial and business consulting and support services to assist the Dispensary in achieving its growth goals. The Company will not be involved in the operations of the Dispensary and under Colorado law is prohibited from doing so. The Company is preparing formal documentation to acquire the assets of the business on a sale and lease-back basis that includes cash consideration of up to US$1,250,000. The sale is an arm's length transaction and will require approval at the state and local levels. The Colorado facility currently grows and sells medical marijuana to patients within the State of Colorado and looks to use the resources to be provided by the Company to expand its cultivation facilities to meet the current demand for its product, and to expand into the retail (recreational) market made possible due to recent Colorado legislation, which allows the sale of up to 1 ounce to Colorado residents over the age of 21, and 1/4 ounce to out-of-state residents over the age of 21.