Toronto, Ontario--(Newsfile Corp. - July 10, 2018) - Leviathan Cannabis Group Inc. (CSE: EPIC) (the "Company" or
"Leviathan") is pleased to announce that it has closed the private placement, raising $7,500,000. All securities issued are
subject to a statutory four month hold period.
Private Placement Financing
Leviathan is pleased to announce that is has issued 15,000,000 units at a price of $0.50 per unit for total gross
proceeds of $7,500,000 (the "Units") in a private placement (the "Equity Financing"). Each Unit is comprised of one
(1) common share of Leviathan (the "Common Share") and one (1) non-transferable common share warrant (the "Warrant").
Each Warrant will entitle the holder thereof to purchase one Common Share at an exercise price of $1.00 per Common Share. The
Warrant may not be exercised before the date that is 120 days from July 9, 2018. Leviathan may require the holders of
Warrants, upon 15 days' notice, to exercise their right to purchase Common Shares at any time after 120 days from July 9, 2018, if
the Common Shares close at or above $1.50 per Common Share for 20 consecutive trading days. The Warrants shall expire on July 9,
2020. Leviathan has paid Haywood Securities Inc. a brokerage fee of $35,550 in the Equity Financing.
Leviathan's strategy is to use the net proceeds from the Equity financing for general corporate purposes and the
conversion of the late-stage ACMPR greenhouse production complex in Pelham, Ontario (the "Property"), which is owned by
Woodstock Biomed Inc., Leviathan's wholly-owned subsidiary. The Property features a 350,000 sq. ft. facility, which
Leviathan will transform into a state-of-the-art cannabis cultivation centre. Conversion construction on 164,000 sq. ft. is
underway with an expected completion later in 2018. In this first phase of operations, Health Canada has approved a total annual
production capacity of 20,000 kg.
About Leviathan Cannabis
Leviathan plans on executing a series of strategic acquisitions that extend across all vertical markets in Canada and
internationally, to support the Company's proprietary brand strategy. This global reach positions the Company to be a leading
multi-jurisdictional medical and recreational cannabis enterprise — one that brings together the best cannabis products, brands and
expertise from Canada and around the world. The Leviathan portfolio currently comprises Jekyll+Hyde Brand Builders
Inc., a marketing services agency specializing in the cannabis sector, and Woodstock Biomed Inc., a late-stage applicant
under the ACMPR, which is in the process of retrofitting a substantial greenhouse production facility in Pelham, Ontario.
Leviathan recently announced its intention to acquire Pulse Rx Inc., a boutique-style pharmacy currently providing
core pharmacy services to institutional clients including nursing and retirement homes. Pulse Rx will form an integral
component in Leviathan's future retail distribution model for cannabis products.
Please visit www.LeviathanCannabis.com
For more information, contact Rick Rogers, Chairman, Leviathan Cannabis Group Inc. at 416.303.9060
or Jayne Beckwith, Interim CFO at Leviathan Cannabis Group Inc. at 416.806.0591.
# # #
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:
Certain information in this press release constitutes forward-looking statements under applicable securities laws. Any
statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking
statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "potential",
"believe", "intend" or negatives of these terms and similar expressions.
Forward-looking statements are based on certain assumptions, including successful application to be a licensed cannabis producer
and seller, expected growth, results from operations, performance, industry trends and growth opportunities. While Leviathan
considers these assumptions to be reasonable, based on information currently available, they are inherently subject to significant
business, economic and competitive uncertainties and contingencies and they may prove to be incorrect. Readers are cautioned not to
place undue reliance on forward-looking statements.
Forward-looking statements also necessarily involve known and unknown risks, including without limitation, risks associated with
general economic conditions, adverse industry events, marketing costs, loss of markets, future legislative and regulatory
developments, the inability to access sufficient capital on favourable terms, the medical and recreational cannabis industry in
Canada in general, income tax and regulatory matters, the ability of Leviathan to execute its business strategies, competition,
crop failure, currency and interest rate fluctuations and other risks.
Readers are cautioned that the foregoing is not exhaustive. Readers are further cautioned not to place undue reliance on
forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will
occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and
actual results may differ from those anticipated. Forward-looking statements are not guarantees of future performance. Except as
required by law, Leviathan disclaims any obligation to update or revise any forward-looking statements, whether as a result of new
information, events or otherwise. Forward-looking statements contained in this news release are expressly qualified by this
cautionary statement.
Source: Leviathan Cannabis Group Inc.
Neither the Canadian Securities Exchange nor its Regulation
Services Provider (as that term is defined in the policies of
the Canadian Securities Exchange) accepts responsibility for the
adequacy or accuracy of this release.
