An explanation about the $11.5 Million Senior Secured Convertible Debenture from Aphria for $5,000,000
https://equity.guru/2020/07/30/world-class-extractions-pump-receives-letter-debtor-hydrx-demanding-know-plans-scientus-facility/ https://equity.guru/2020/07/30/world-class-extractions-pump-receives-letter-debtor-hydrx-demanding-know-plans-scientus-facility/
A few days ago, World Class Extractions (PUMP.C) announced they’d done a deal with a ‘leading licensed producer’ (that we figured out is Aphria – APHA.T) to take over HydRx Farms’ $11.5 million debenture for $5 million. That deal brought WCE the potential to (should the debt not be paid, and it won’t be) take over a facility that has all the licenses you could ever want, and that cost $50 million to build – for $5 million.
For Aphria, they’re happy to get a portion of the debt back without having to take over a small cannabis grow facility they can’t use.
For World Class Extractions, they’re happy to get their own supply for the foreseeable future that they can then use to, go figure, extract cannabis oil.