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Cannabis Wheaton announces closing of private placement of convertible debenture units

Nov. 2, 2017, Vancouver - Cannabis Wheaton has announced the closing of its previously disclosed private placement of convertible debenture units for total gross proceeds of $35,000,000. The Company raised $35,000,000 through the issuance of 35,000 Convertible Debenture Units at a price of $1,000 per Convertible Debenture Unit. The net proceeds of the Offering will be used to fund working capital and general corporate purposes, including but not limited to, financing of the Company's streaming partners pursuant to certain streaming agreements and general and administrative expenses. The terms of the Offering are further described in the Company's news release dated September 18, 2017.


November 2, 2017
By Cannabis Wheaton

MMCAP International Inc. SPC subscribed for $28 million of the aggregate principal amount of Convertible Debenture Units and is considered to be an “insider” of the Company for the purposes of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”) and Policy 5.9 – Protection of Minority Security Holders in Special Transactions of the TSX Venture Exchange (“Policy 5.9”). The Offering is a “related party transaction” for the purposes of MI 61-101 and Policy 5.9. The Company has filed a material change report dated September 19, 2017 on SEDAR at www.sedar.com, providing the required disclosure in respect of the “related party transaction.”

The Company announced in a press release dated September 18, 2017 that it intended to file a qualifying prospectus in respect of the Offering. The Company no longer intends to proceed with such a filing. All securities issued under the Offering are subject to a statutory four month hold period. The Offering remains subject to customary post-closing filings with the TSX Venture Exchange.


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