It’s time for your Daily Hit of cannabis financial news for April 21, 2020.
On the Site
The Flowr Corporation (OTC: FLWPF) raised C$20 million in a non-brokered private placement with the option to upsize the amount to C$25 million. The company said it expects to use the proceeds for general working capital purposes.
Chairman & Chief Strategist Steve Klein and Chief Executive Officer Vinay Tolia are leading the offering with commitments in excess of $10 million. Management and insiders will continue to own approximately 58% of the shares of the company post financing on a fully diluted basis (including equity incentives).
Medicine Man Technologies Inc. (OTCQX: MDCL) has switched its name to Schwazze (pronounced SHHwahZZ). The company said the new branding reflects its goal to create a dynamic, innovative culture and brand identity while supporting the current and future house of brands as Schwazze continues to grow. Effective, Tuesday, April 21 the Company will begin trading under the Schwazze name and OTC ticker symbol SHWZ.
The company said that Schwazze originates from its proprietary cultivation technique from the Three A Light methodology, which stimulates plant growth and health. The new corporate brand Schwazze inspires a call to action to innovate, grow and nurture plants, products, experiences, and environment to benefit the human experience.
What if there were a Bumble for job hunting? A matching service to bring together the job seekers with the job fillers. That’s what the cannabis employment website Vangst has created. The company launched a new talent matching feature that puts the “first move” in the hands of the cannabis job seeker. Vangst timed it with the 420 celebrations and at a time of many cannabis company layoffs.
“The revamped Vangst website reflects our dedication to building community, advancing cannabis careers and companies and being the preeminent resource for talent matching in a time when it is needed more than ever,” says Vangst CEO Karson Humiston. “Our rapid and thoughtful response to the industry’s demands personifies Vangst’s core ethos of ‘let’s get cannabis to work.’”
In Other News
Stillcanna Inc. (OTC:SCNNF) has signed a comprehensive Letter of Intent to acquire Sativa Group PLC, one of the United Kingdom’s (UK) first medical Cannabis Companies. The Proposed Transaction, which is arm’s-length, will constitute a “Fundamental Change” of Stillcanna under the policies of the Canadian Securities Exchange. The Sativa Group is comprised of 5 corporations, including:
GoodBody Botanicals (GBB) “CBD you can Trust” offers a wide range of CBD products including gels, balms, capsules, tinctures and more for the wellness market. The Goodbody Botanicals brand is distributed throughout UK, this includes major high street retailers and both national and local pharmacies.
GoodBody Wellness is focused on the health & beauty markets, the brand is sold to high-end retail health and beauty stores. The brand is also available through Company owned GBB retail outlets, which provide a premium consumer experience, backed via online sales.
PhytoVista Laboratories (PVL) is Sativa Group’s independent analytical hemp and CBD testing facility. PVL provides support to retailers, distributors and manufacturers by expertly testing the cannabinoid levels of the hemp and CBD products.
Sativa Cultivation and Extraction Ltd. that holds a Controlled Drug License for the cultivation, production and possession of high THC content cannabis in the UK with an emphasis on medical research
Tessellate Collective Ltd. is Sativa’s direct sales channel, model popularized globally in the cosmetics and wellness sectors. Tessellate has over 500 well established direct sellers acting as advocates for the brand and who have access to an easy-to-use and financially rewarding commission plan.
Neptune Wellness Solutions Inc. (NASDAQ: NEPT) has entered into an exclusive partnership with legendary wildlife conservationist, Dr. Jane Goodall to co-develop natural health and wellness products under the Forest Remedies™ brand, the plant-based wellness brand with naturally sourced hemp extract and essential oils sourced from the highest-quality botanicals from around the world. As part of this partnership, a percentage of all products will be donated to support Dr. Goodall’s environmental conservation and reforestation initiatives.
Fire & Flower
Fire & Flower Holdings Corp. (OTCQX: FFLWF) announced that it has entered into a commitment letter to obtain up to an aggregate amount of $10 million (with an option for an additional $5 Million) in secured, non-dilutive credit facilities with ATB Financial.
The new financing will be comprised of two separate loan facilities on a two-year term: a revolving credit facility in the amount of $5 million, and a term loan in the amount of $5 million. Both loan facilities bear interest at ATB Financial’s reference rates plus a spread. The Commitment Letter also includes an “accordion” option to increase the revolving facility by an additional $5 million, subject to ATB Financial’s consent and certain other customary conditions. Funding will become available under the Commitment Letter upon the Company satisfying all applicable conditions precedent, which it anticipates it will accomplish prior to the end of April, 2020.