TSX: ACB TSX-V: HEMP
EDMONTON, June 1, 2018 /CNW/ - Aurora Cannabis Inc. ("Aurora") (TSX:ACB) (OTCQB: ACBFF) (Frankfurt: 21P; WKN: A1C4WM) announces that pursuant to an Amended and Restated Private Placement Subscription Agreement dated September 15, 2017, with Hempco Food and Fiber Inc. (TSX-V:HEMP) (the "Reporting Issuer"), Aurora Cannabis Inc. (the "Acquiror") subscribed for 10,558,676 units in the share capital of the Reporting Issuer, each Unit consisted of one common share at a purchase price of $0.3075 per common share and one share purchase warrant at an exercise price of $0.41 per warrant share, exercisable up to and including November 14, 2019 (the "Offering"). The Units were purchased for gross proceeds of $3,246,797.87.
Concurrent with the acquisition under the Offering, the Acquiror also entered into a Call Option Agreement with Charles Holmes and Angela Holmes (the "Founders"), that allows the Acquiror to purchase up to 10,754,942 Shares in the share capital of the Reporting Issuer (50% from Charles Holmes and 50% from Angela Holmes) (the "Additional Shares") from the Founders in equal amounts.
(collectively "the Transaction")
Prior to the Transaction, the Acquiror held Nil common shares in the share capital of the Reporting Issuer.
On March 26, 2018, the Acquiror exercised a total of 10,558,676 warrants forming part of the Offering at an exercise price of $0.41 per warrant share for aggregate proceeds of $4,329,057.16.
On May 15, 2018, the Acquiror exercised its right under the Call Option Agreement and purchased an aggregate of 10,754,942 Additional Shares in the share capital of the Reporting Issuer (50% from Charles Holmes and 50% from Angela Holmes) at a deemed price of $0.30 per common share for aggregate proceeds of $3,226,482.60.
The Acquiror holds a total of 31,872,294 common shares in the share capital of the Reporting issuer, representing 52.69% of the 60,495,244 issued and outstanding common shares in the share capital of the Reporting Issuer.
The Acquiror will evaluate its investment in the Reporting Issuer from time to time and may, based on such evaluation, market conditions and other circumstances, increase or decrease its shareholdings as circumstances require.
An early warning report regarding this acquisition has been filed on the System for Electronic Document Analysis and Review ("SEDAR") under the Reporting Issuer's profile and can be viewed at www.sedar.com.
Aurora's wholly-owned subsidiary, Aurora Enterprises Inc., is a licensed producer of medical cannabis pursuant to Health Canada's Access to Cannabis for Medical Purposes Regulations ("ACMPR"). The Company operates a 55,200 square foot, state-of-the-art production facility in Mountain View County, Alberta, known as "Aurora Mountain", and a second 40,000 square foot high-technology production facility known as "Aurora Vie" in Pointe-Claire, Quebec on Montreal's West Island. In January 2018, Aurora's 800,000 square foot flagship cultivation facility, Aurora Sky, located at the Edmonton International Airport, was licensed. Once at full capacity, Aurora Sky is expected to produce over 100,000 kg per annum of cannabis. Aurora is completing a facility in Lachute, Quebec utilizing its wholly owned subsidiary Aurora Larssen Projects Inc.
The Company's wholly-owned subsidiary CanniMed Therapeutics Inc. ("CanniMed") is Canada's most experienced licensed producer of medical cannabis, with over 20,000 kg per annum in funded capacity. CanniMed forms the heart of Aurora's Medical Cannabis Centre of Excellence, aimed at product and market development.
Aurora also owns Berlin-based Pedanios GmbH, the leading wholesale importer, exporter, and distributor of medical cannabis in the European Union. The Company owns 51% of Aurora Nordic, which will be constructing a 1,000,000 square foot hybrid greenhouse in Odense, Denmark. The Company offers further differentiation through its acquisition of BC Northern Lights Ltd. and Urban Cultivator Inc., industry leaders, respectively, in the production and sale of proprietary systems for the safe, efficient and high-yield indoor cultivation of cannabis, and in state-of-the-art indoor gardening appliances for the cultivation of organic microgreens, vegetables and herbs in home and professional kitchens.
Aurora holds a 25% ownership interest in Alcanna Inc. ("CLIQ"), one of Western Canada's largest retail chains of liquor stores, who are developing a cannabis retail network in Western Canada. In addition, the Company holds approximately 17.23% of the issued shares in leading extraction technology company Radient Technologies Inc, and holds 52.7% of Hempco Food and Fiber Inc. Aurora is also the cornerstone investor in two other licensed producers, with a 22.9% stake in Cann Group Limited, the first Australian company licensed to conduct research on and cultivate medical cannabis, and a 17.62% stake in Canadian producer The Green Organic Dutchman Ltd., with options to increase to majority ownership. Finally, the Company owns a 9.14% stake in CTT Pharmaceutical, an innovative product development company within the cannabis space.
Aurora's Common Shares trade on the TSX under the symbol "ACB", and are a constituent of the S&P/TSX Composite Index.
For more than 12 years Hempco has been a trusted and respected pioneer, innovator and provider of premier hemp-based foods. Hempco is committed to developing hemp foods, hemp fiber and hemp nutraceuticals. Hempco is expanding its processing ability to meet global demands in a 56,000 sq. ft. facility located at Nisku, Alberta.
Hempco's common shares trade on the TSX Venture Exchange under the symbol "HEMP."
On behalf of the Boards of Directors
AURORA CANNABIS INC.
HEMPCO FOOD AND FIBER INC
SOURCE Aurora Cannabis Inc.
For further information: For Aurora: Marc Lakmaaker, Director, Investor Relations and Corporate Development, +1.647.269.5523, [email protected], www.auroramj.com; Craig MacPhail, NATIONAL Equicom, +1 416-586-1938, [email protected]; For Hempco: John Ross, Chief Financial Officer, +1.647.291.4234, [email protected]