EDMONTON, Nov. 2, 2018 /CNW/ - Fire & Flower Inc. ("Fire & Flower"), an independent corporate cannabis retailer, and Cinaport Acquisition Corp. II ("Cinaport"), a capital pool company listed on the TSX Venture Exchange (CPQ: TSX-V), are pleased to announce that Fire & Flower has completed a previously announced private placement resulting in aggregate gross proceeds of C$36,500,001 on November 1, 2018.
GMP Securities L.P. and AltaCorp Capital Inc., on behalf of a syndicate of agents, acted as co-lead agents for the Private Placement, through which Fire & Flower issued 24,333,334 subscription receipts at a price of C$1.50 each.
Fire & Flower will use the net proceeds from the Private Placement for capital expenditures related to the expansion and build-out of its stores in provinces that permit private cannabis retail, for working capital and for general corporate purposes.
"This capital raise is another important step in executing our growth strategy to become the leading private cannabis retailer in Canada," said Trevor Fencott, Fire & Flower's Chief Executive Officer. "With these funds and our key strategic relationships, we look forward to opening more shops in all Canadian provinces that allow for private cannabis retail to join the ones we already operate in Alberta and Saskatchewan."
The Private Placement was completed in connection with the previously announced proposed Qualifying Transaction between Cinaport and Fire & Flower. Further details are available at https://www.newsfilecorp.com/release/38651/Cinaport-Acquisition-Corp.-II-Announces-Proposed-Qualifying-Transaction-with-Fire-Flower-Inc.
Further details and information about this funding announcement are available at https://www.newsfilecorp.com/release/40817/Cinaport-and-Fire-Flower-Announce-Closing-of-36.5-Million-Financing.
About Fire & Flower
Fire & Flower is a leading independent adult-use cannabis retailer poised to capture significant market share in Canadian provinces that allow private retail. The company provides customers with expertly curated product selection and a best-in-class, education-driven customer experience.
Fire & Flower's leadership team combines extensive experience in the legal cannabis industry with deep retail expertise. The company is at the forefront of the new adult-use cannabis industry in Canada.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
This news release contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "achieve", "could", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "outlook", "expect", "may", "will", "project", "should" or similar words, including negatives thereof, suggesting future outcomes. Management of the Company believes the expectations reflected in such forward-looking statements are reasonable as of the date hereof but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. Various material factors and assumptions are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking statements. Those material factors and assumptions are based on information currently available to the Company, including data from publicly available governmental sources as well as from market research and industry analysis and on assumptions based on data and knowledge of the retail cannabis industry which the Company believes to be reasonable. However, although generally indicative of relative market positions, market shares and performance characteristics, such data is inherently imprecise. While the Company is not aware of any misstatement regarding any industry or government data presented herein, the retail cannabis industry involves risks and uncertainties and is subject to change based on various factors.
Forward-looking statements are not a guarantee of future performance and are subject to and involve a number of known and unknown risks and uncertainties, many of which are beyond the control of the Company, which may cause the Company's actual performance and results to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements.
Any forward-looking statements are made as of the date hereof and, except as required by law, the Company assumes no obligation to publicly update or revise such statements to reflect new information, subsequent or otherwise.
SOURCE Fire & Flower Inc.
For further information: Media Relations Contact: Nathan Mison, Vice President, Government and Stakeholder Relations, [email protected], Ph: 780-951-1106