SMITHS FALLS, ON, Oct. 2, 2015 /CNW/ - Canopy Growth Corporation (TSXV: CGC) (the "Company"), parent company of licensed medical marijuana producers Tweed Inc. ("Tweed"), Tweed Farms Inc. ("Tweed Farms") and Bedrocan Canada Inc. ("Bedrocan Canada"), is pleased to announce it has officially closed the previously announced acquisition of MedCannAccess ("MCA") in an all-equity transaction. The acquisition was completed by way of an amalgamation with a wholly-owned subsidiary of the Company pursuant to the terms of an Amalgamation Agreement dated September 3, 2015 (the "Amalgamation Agreement").
Pursuant to the Amalgamation Agreement, 3,316,902 common shares in the capital of the Company (the "Common Shares") were issued to former shareholders of MCA, of which 2,449,887 are being held in escrow and will be either (i) released to the former shareholders of MCA upon the satisfaction of specific milestones, or (ii) released to the Company for cancellation. The Common Shares were deemed to have been issued at a price of $1.73 per share.
In addition to the Common Shares, 924,998 common share purchase warrants (the "Warrants") were issued to the former holders of common share purchase warrants of MCA. The Warrants have an exercise price between $3.68 and $5.70 and expire on May 6, 2016.
About Canopy Growth Corporation
Canopy Growth Corporation is Canada's first publicly traded medical marijuana company and the first geographically diversified producer with dual licenses under the Marihuana for Medical Purposes Regulations. Through its wholly owned subsidiaries, Tweed, Tweed Farms, and Bedrocan Canada, the Company operates three state-of-the-art production facilities in Ontario and distributes marijuana across the country to Canadian patients managing a host of medical conditions.
The Company is dedicated to educating healthcare practitioners, providing consistent access to high quality medication, and furthering the public's understanding of how marijuana is used for medical purposes. www.tweed.com
Notice Regarding Forward Looking Statements
This news release contains forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Canopy Growth Corporation, Tweed Inc., Tweed Farms Inc. or Bedrocan Cannabis Corp. to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. The forward-looking statements included in this news release are made as of the date of this news release and Canopy Growth Corporation does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Canopy Growth Corporation
For further information: Jordan Sinclair, Communications Manager, Canopy Growth Corporation, Jordan@tweed.com, 613-706-2185 ex 309; www.tweed.com