Announces Closing of Non-Brokered Private Placement for $11,300,000
Benchmark Botanics (BBT.C) announced that, further to its news release of May 1, 2019, the Company has closed its non-brokered private placement financing of 28,250,000 units at a price of $0.40 per Unit for a total gross proceeds of $11,300,000.
Each Unit is comprised of one common share of the Company and one common share purchase warrant.
Each Warrant shall be exercisable into one Share at a price of $1.00 for a period of 24 months from the closing date of the Private Placement.
The Company intends to use the proceeds from the sale of the Units for general working capital purposes and the costs of setting up the Company's extraction operations.
The Private Placement is subject to acceptance by the Canadian Securities Exchange.
All securities issued in connection with the Private Placement are subject to a statutory hold period expiring four months and one day after the closing of the Private Placement. Completion of the Private Placement is subject to regulatory approval.
About Benchmark Botanics Inc.
Benchmark Botanics is a diversified multi-licensed cannabis producer focused on a three-way vertical business model targeting the medical, pharmaceutical, and recreational markets in Canada and the EU. The Company's business plan also includes a strategy to become a Canadian licensed producer to pioneer selling medical cannabis and hemp in China and throughout Asia.
Benchmark Botanics is focused on producing the highest-quality, indoor-grown cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company's global footprint.
Benchmark Botanics' 100% owned subsidiary, Potanicals Green Growers Inc. is a Health Canada licensed producer under the Cannabis Act and its regulations (formerly ACMPR). The Company is producing at its indoor Peachland Cannabis Complex and is in the design stage for a Phase II expansion there. Along with cultivation and production, the company's Peachland BC facility also provides propagation, cultivation, cloning, storage, research and development, genetics and is progressing towards CBD oil extraction and an EU-GMP certification.
As part of its expansion strategy the company is building a second facility, a 4-acre Pitt Meadows Greenhouse Operations in BC through a joint venture (earn-in agreement) with 1139000 BC Ltd.
The Company has established several European Union partnerships including the rights to "The Bulldog" trademark in Canada. The Bulldog trademark has a long-established successful history as one of the most well-known cannabis cafe brands in Amsterdam and around the world.
Benchmark Botanics has also established German commercial partnership to potentially export the Company's products into the EU markets.