TORONTO, Jan. 24, 2018 /CNW/ – Cronos Group Inc. (TSX-V: MJN) (OTC Nasdaq Int’l Designation: PRMCF) (“Cronos Group” or the “Company“) is pleased to announce that it has closed its previously announced bought deal public offering, including the full exercise of the over-allotment option. As such, a total of 5,257,143 common shares of Cronos Group (the “Shares“) were sold at a price of $8.75 per Share for aggregate gross proceeds of approximately $46.0 million (the “Offering“).
The Offering was underwritten by a syndicate led by PI Financial Corp. and included GMP Securities L.P., Beacon Securities Limited, and Cormark Securities Inc.
Cronos Group intends to use the net proceeds of the Offering for expanding production capacity, research and development initiatives, and for general working capital purposes, as more fully described in the short form prospectus of the Company dated January 18, 2018.
The Shares were offered by way of a short form prospectus filed by Cronos Group in each of the provinces of Canada, excluding the province of Québec, pursuant to National Instrument 44-101 – Short Form Prospectus Distributions. The securities that were sold have not been, nor will they be, registered under the U.S. Securities Act, and were not offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements.
About Cronos Group
Cronos Group is a geographically diversified and vertically integrated cannabis company that operates two wholly-owned Licensed Producers (“LPs“) regulated within Health Canada’s Access to Cannabis for Medical Purposes Regulations (the “ACMPR“) and holds a portfolio of minority investments in other Licensed Producers. The Company’s flagship LPs, Peace Naturals Project Inc. (Ontario) and Original BC Ltd. (British Columbia), are collectively situated on over 125 acres of agricultural, licensed land. Cronos Group is focused on building an international iconic brand portfolio, providing patients with personalized care and creating value for our shareholders.
This news release may contain “forward-looking information” and “forward-looking statements” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements about the potential production capacity of Peace and the growth of Peace. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual financial results, performance or achievements to be materially different from the estimated future results, performance or achievements expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance. All forward-looking information contained in this news release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management as at the date hereof. Except as required by law, PharmaCan disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, events or otherwise. Readers are cautioned not to put undue reliance on these forward-looking statements. This news release contains information obtained by the Company from third parties, including but not limited to market data. The Company believes such information to be accurate but has not independently verified such information. To the extent such information was obtained from third party sources, there is a risk that the assumptions made and conclusions drawn by the Company based on such representations are not accurate.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The Cronos Group. Michael Krestell Investor & Media Relations (416) 603-7381 EXT #236 firstname.lastname@example.org