(via TheNewswire)
July 6, 2020 - TheNewswire - Regina, Saskatchewan - HTC Extraction Systems (also the "Corporation" and/or "HTC") (TSXV:HTC) (OTC:HTPRF) is pleased to announce that it has closed the previously announced share purchase agreement dated May 15, 2020 ("SPA") with KF Hemp Corp. ("KF Hemp"), a non- arm's length party to HTC. HTC has acquired all the issued and outstanding shares ("Purchased Shares") of KF Hemp, and KF Hemp is now a wholly owned subsidiary of HTC ("Transaction"). The Transaction was approved by the Corporation's special committee, comprised solely of independent directors; the majority of the minority shareholders of HTC, with 99.98% of the shares voted in favour of the Transaction; and the TSX Venture Exchange Inc.
HTC acquiredKFHempforavalueofapproximately$20,000,000.The consideration for the Purchased Shares consists of the following: (i) the issuance of 95,000,000 HTC common voting shares ("HTC Shares") at a value of $0.082 per share for the aggregate of $7,790,000;and(ii)thetransferofalltheissuedandoutstandingshares ("Maxx Shares") of Maxx Group of Companies Corp.("Maxx").
TheHTCShareswillbesubject toa12-monthCorporationimposed,poolingagreement,withtheHTCSharestobereleasedin3 equal tranches, each 4 months apart. In addition, the HTC Shares are subject to a hold period under applicable securities law until November 4, 2020. The Corporation now has 206,983,741 shares issued and outstanding.
ABOUT HTC
HTCExtractionSystemshasdevelopedproprietaryextractionandpurificationsystemsdesigned for extraction from industrial hemp biomass and extraction from clean energy liquids and gases, as well as for the purification and distillation of ethanol and ethanol-based solvents used for extraction.
ABOUT KF HEMP
KF Hemp has positioned itself in North America, to be growers of hemp for CBD biomass and has secured: genetics; farm land; farm operations; biomass shredding, handling, drying, sorting and storage facilities; the required licensing under the Industrial Hemp Regulations of the Cannabis Act (Canada); and is a late stage applicant for an industrial hemp processing license under the Cannabis Act (Canada).
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE.
For more information contact:
Lionel Kambeitz
HTC Extraction Systems
Tel: 306-359-3448
E-mail: lpk@htcextraction.com
HTC corporate developments can be followed on www.htcextraction.comand is traded under the symbol HTC
This press release contains "forward-looking statements" or "forward-looking information" (collectively referredtohereinas"forward-lookingstatements")withinthemeaningofapplicablesecuritieslegislation. Such forward- looking statements include, without limitation, forecasts, estimates, expectations and objectivesforfutureoperationsthataresubjecttoanumberofassumptions,risksanduncertainties,many ofwhicharebeyondthecontrolofHTC.Forward-lookingstatementsarestatementsthatarenothistorical factsandaregenerally,butnotalways,identifiedbythewords"expects","plans","anticipates","believes", "intends","estimates","projects","potential"andsimilarexpressions,orthateventsorconditions"will", "would", "may", "could" or "should" occur or be achieved. This press release contains forward-looking statementspertainingto,amongotherthings,KF Hemp's ability to obtain the hemp processing license and the hemp crop, harvest, drying, extraction, refinement andsales.
Forward-looking information is based on current expectations, estimates and projections that involve a numberofrisks,whichcouldcauseactualresultstovaryand,insomeinstances,todiffermateriallyfrom thoseanticipatedbyHTCanddescribedintheforward-lookinginformationcontainedinthispressrelease.
AlthoughHTCbelievesthatthematerialfactors,expectationsandassumptionsexpressedinsuchforward- looking statements are reasonable based on information available to it on the date such statements were made, no assurances can be given as to future results, levels of activity and achievements and such statements are not guarantees of future performance.
HTC Purenergy Inc. (OTCQB:HTPRF) trades on the OTCQB Venture Market for early stage and developing U.S. and international companies. Companies are current in their reporting and undergo an annualverificationandmanagementcertificationprocess.InvestorscanfindReal-Timequotesandmarket information for the company on www.otcmarkets.com. (links to: http://www.otcmarkets.com/stock/htprf/quote.
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