Cannabis Wheaton Income Corp. has entered into an agreement to acquire all the outstanding securities of Dosecann Inc., a late-state licensed dealer applicant for $38m payable in common shares of the group.
Upon the completion of the acquisition, Dosecann will become a wholly-owned subsidiary of Cannabis Wheaton.
Dosecann recently accomplished a private round of debenture financing led by MMJ PhytoTech Limited, which invested $2.5m in the firm.
As part of the agreement, all outstanding convertible securities of Dosecann will either be converted into Dosecann common shares and exchanged for consideration shares on the closing of the acquisition, or will otherwise be exchanged for convertible securities of Cannabis Wheaton based on the exchange ratio used in the acquisition.
The transaction is expected to close on or about April 30.
Stoney Creek, Ontario-based Dosecann is developing a suite of cannabis-based health and wellness products for the medical and future adult use cannabis market. The company is planning construction of a 45,000 square feet GMP pharmaceutical level production facility in PEI and aiming to secure Licensed Dealer status by May 2018.
This article has been edited. It first appeared on Private Capital Journal, a site managed by CPE Media Inc, the official data provider for PCMA. Read the rest of the article here.
Click here to subscribe to the Private Capital Journal. PCMA members receive a 10% discount on all their subscriptions. Part of your subscription fee goes to support the PCMA.
Check out these subscriber-only news items on Private Capital Journal:
- Ridgemont invests in Uniban and PH Vitres d’Autos to form Clairus Group
Ridgemont Equity Partners invested Uniban Canada and PH Vitres d’Autos to form Clairus Group
- Parallel49 Equity backed Avison Young acquires Alcor Commercial Realty
Parallel49 Equity backed Avison Young (Canada) acquired Vancouver based Alcor Commercial Realty for undisclosed amount.
- Elliott Management acquires 27% of VC-controlled Coveo for $100M
Elliott Management’s Evergreen Coast Capital invested $100M in Tandem Expansion, Fonds de solidarité and IQ backed Coveo for a 27% stake.
- CNA Diagnostics secures new financing
CNA Diagnostics secured new round of private financing.
- Fonds de solidarité and IQ invest in Mnubo’s $16.5M Series B
Fonds de solidarité and Investissement Québec disclosed participation in Mnubo’s Series B led by Munich Re/HSB Ventures