Greenway Greenhouse Cannabis Corporation announced that it has closed its private placement as previously announced on November 23, 2021 (the “Offering”). The net proceeds from the Offering are intended to be used for capital expenditures for additional greenhouse acreage, general working capital requirements and other corporate purposes.
The Offering was completed on a non-brokered basis and consisted of the issuance of 7,272,728 units (each, a “Unit”) at a price of $1.10 per Unit for aggregate proceeds of $8,000,000. Each Unit consists of one common share in the capital of the Company (each, a “Common Share”) and one common share purchase warrant (each a “Warrant”) with each Warrant being exercisable for one Common Share at an exercise price of $1.65 for a period of nine (9) months from the date of issuance, subject to adjustment upon certain customary events.
The Company paid finder’s fees totalling $552,300 and issued an aggregate of 502,090 warrants (each, a “Finder’s Warrant”) to arm’s length parties in connection with the Offering. Each Finder’s Warrant entitles the holder to purchase one Common Share at an exercise price of $1.65 per share for a period of twenty-four months from the date of issuance.
Darren Peddle, Director and CFO said, “This Offering gives the Company the capital to expand our greenhouse acreage and it also deepens and broadens the shareholder base. As a new public company, we are pleased at the reception and confidence from public investors as we seek to increase the profile of Greenway to investors heading into 2022. Now that Greenway has completed this successful Offering, we look forward to furthering our core business plan of becoming a leading supplier of high-quality cannabis.”
About Greenway
Greenway Greenhouse Cannabis Corporation (“Greenway”) is a federally licensed cultivator for the Canadian cannabis marketplace. Greenway is headquartered in Kingsville, Ontario, and leverages its agriculture and cannabis expertise in its aspiration to be a leading cannabis cultivator in Canada.
