Maricann announces conclusion of equity funding by underwriters and provides operations update
Maricann Group Inc. (CSE:MARI) (OTCQB:MRRCF) (FRANKFURT:75M) “Maricann” or the “Company”) announced today it has received a notice of judgment out of seventeen Capital, Canaccord Genuity Corp., GMP Securities L.P., Industrial Alliance Securities Inc. and Clarus Securities Inc. (the “Underwriters”), terminating their duties pursuant to an underwriting agreement dated February 2, 2018 (the “Underwriting Agreement”), where the Underwriters agreed to buy on a bought deal basis 17,500,000 units of the business, for gross proceeds of $70,000,000 (the “Financing”) in a cost of $4. ) 00 each unit.
The notice of termination obtained from the Underwriters failed to supply the reason behind the Underwriters terminating their duties under the Underwriting Agreement. Interim Chairman Paul Pathak commented, “We are disappointed to have received the notice of termination and are considering our options for further action. In the meantime, the Company has a focus on moving forward from a solid position to build increased shareholder value. We appreciate the constructive dialogue we are having with many of our shareholders.”
The business remains committed to continue efforts to finish the prospectus eligibility procedure for the supply of those components underlying the 20,125,000 special warrants issued on January 9, 2018.
As previously declared each special warrant will entitle the holder to receive, upon the exercise thereof, for no further consideration, 1. 05 components (rather than a single (1) device ) provided, however, that any fractional entitlement to these units will be rounded down to the nearest whole unit.
Maricann continues to concentrate on its strategy to deliver growth and worth as a prospective leader of the Canadian cannabis sector. The organization’s operations are fully-funded, together with roughly $48.2MM from the bank.
The structure of Maricann’s state-of-the-art 942,000 sq. ft. flagship centre in Langton, Ontario proceeds on schedule, with initial planting planned to happen on March 23, 2018, subject to Health Canada approval.
Photos of building progress can be found today on the organization’s official site https://maricann.com/investorrelations. “At this time it’s business as normal we persevere with focus on executing our business strategy, all material arrangements pertaining to operations remain undamaged and the provider is moving full speed ahead in most operational areas.
We are wholly funded for existing obligations with roughly $48.2MM of money available, after the final of the special warrants funding where the Company increased $40. 25 MM in gross profits,” explained Benjamin Ward, CEO of Maricann Group Inc.
About Maricann Group Inc.
Maricann is a vertically integrated manufacturer and distributor of marijuana for medical purposes. The business was established at 2013 and is currently based in Burlington, Ontario, Canada and Munich, Germany, with manufacturing facilities in Langton, Ontario, Canada in which it functions a medicinal cannabis cultivation, extraction, formulation and distribution firm under national licence in the Government of Canada, and Dresden, Saxony, Germany.
Maricann is presently undertaking a growth of its own cultivation and service centers in Canada at a 942,000 sq. ft. (87,515 sq. m) construct out, capable of generating 95,000 kg of dry cannabis flower annually to encourage present and prospective patient growth.