Aurora Secures Additional $1 Million Loan for Working Capital
Jul 15, 2016, 16:45 ET
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VANCOUVER, July 15, 2016 /CNW/ - Aurora Cannabis Inc. – (the "Company" or "Aurora") (CSE – "ACB") (OTCQB – "ACBFF") (Frankfurt: 21P; WKN: A1C4WM) announced today that it has extended its existing secured credit facility (the "Loan") by an additional $1 million, to $4 million, further to the Company's previous announcement on January 27, 2016. The Loan matures on January 25, 2018 or on demand. Half of the principal will be paid in quarterly installments, and the balance on the maturity date or on demand. Interest is paid monthly over the term of the Loan. Prepayments will be subject to a minimum interest and fees of $640,529. As consideration for the loan, the Company will issue 50,000 common shares at a deemed value of $23,500. Aurora's total debt including the Loan will have a maximum blended interest rate of approximately 9.3%. The net proceeds from the Loan will be used for working capital.
The common shares will be subject to a statutory four-month hold period in accordance with applicable Canadian securities laws.
In addition, the Company has completed the investment agreement with Alumina Partners LLC as previously announced on June 6, 2016, and the facility is now available for drawdown, at Aurora's discretion.
About Aurora Cannabis Inc.
Aurora's wholly-owned subsidiary, Aurora Cannabis Enterprises Inc., is a licensed producer of medical marijuana pursuant to the Marihuana for Medical Purposes Regulations and operates a 55,200 square foot expandable state-of-the-art production facility in ountain View County, Alberta, Canada. Aurora trades on the Canadian Securities Exchange under the symbol "ACB".
On behalf of the Board of Directors,
AURORA CANNABIS INC.
Chief Executive Officer
This news release contains statements that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them as actual results may differ materially from the forward-looking statements. Such forward-looking statements are estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. Such factors include but are not limited to the risks set out in the Company's management's discussion and analysis filed on SEDAR. The forward-looking statements contained in this news release are made as of the date hereof, and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, except as required by law.
The CSE or other regulatory authority has not reviewed, approved or disapproved the contents of this press release.
We seek Safe Harbour.
SOURCE Aurora Cannabis Inc.
For further information: Cam Battley, Senior VP, Communications and Medical Affairs, [email protected], +1.905.864.5525, www.auroramj.com; Marc Lakmaaker, NATIONAL Equicom, [email protected], +1.416.848.1397
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