Cannabis Wheaton Income (TSXV:CBW) announced it completed the acquisition of Dosecann a late-stage licensed dealer applicant of the Narcotic Control Regulations.
As quoted in the press release:
Located in the biotech hub of Charlottetown, Prince Edward Island, Dosecann is currently completing the buildout of a 42,000 square foot facility, purpose-built for the research, development, extraction, formulation, filling and packaging of cannabis-based products. Upon receipt of regulatory approval, Dosecann will leverage its state-of-the-art facility to begin developing a range of value added cannabis-based products for the Company and its streaming partners to ultimately be sold to medical cannabis patients and, upon approval, into the natural health product and adult-use cannabis markets.
Pursuant to the acquisition agreement dated April 3, 2018, the Company has acquired all of the outstanding securities of Dosecann (the “Dosecann Securities”) by way of a “three-cornered amalgamation” (the “Acquisition”) for an aggregate purchase price of up to $38,000,000, payable in common shares of the Company to the holders of the Dosecann Securities (the “Consideration Shares”), subject to the satisfaction of certain post-closing time and performance-based milestones. As part of the Acquisition, all outstanding convertible securities of Dosecann have either been converted into Dosecann common shares and exchanged for Consideration Shares or have otherwise been exchanged for convertible securities of Cannabis Wheaton based on the exchange ratio used in the Acquisition.