Wildflower Marijuana Announces $2-million Private Placement
Wildflower Marijuana Inc. (CSE:SUN) announced a private placement of 13,333,333 units priced at C$0.15 each for aggregate gross proceeds of $2 million. Among other things, the money will be used to move forward the company’s application for a license under Health Canada’s Marihuana for Medical Purposes Regulations.
As quoted in the press release:
Each Unit shall consist of one common share of the Issuer and one share purchase warrant (“Warrant”). Each whole Warrant will entitle the holder to acquire one common share of the Company at a price of $0.25 for a period of 12 months following the closing date of the Offering. Once resale restrictions on the Shares having expired and upon Company’s shares trading at or above a weighted average trading price of $0.35 for 15 consecutive trading days, Wildflower may give notice that the Warrants will expire 30 days from the date of providing such notice (in writing to Warrant holders and via a news release). The proceeds will be primarily used for working capital. The financing is subject to regulatory approval. All securities issued pursuant to the placement will be subject to a hold period of four months and one day from the date of closing.