CannaRoyalty Corp. Announces Exercise of Over-Allotment Option
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
All financial figures in Canadian Dollars ($) unless otherwise noted
Ottawa, Canada – April 18, 2018 – CannaRoyalty Corp. (CSE:CRZ) (OTCQX:CNNRF) (“CannaRoyalty” or the “Company”) announced today that it has issued an additional 562,500 units (“Units”) at $4.00 per Unit for additional gross proceeds of $2,250,000, all pursuant to the exercise of the over-allotment option granted to the underwriters in connection with the Company’s previously announced $15 million bought deal offering which closed on April 13, 2018 (the “Offering”). Following closing of the over-allotment option, the Company has raised aggregate gross proceeds of $17,250,000. The Offering was led by Canaccord Genuity Corp. and included Beacon Securities Limited, Sprott Private Wealth LP, Mackie Research Capital, INFOR Financial Inc. and AltaCorp Capital Inc. (the “Underwriters”).
Each Unit consisted of one common share (a “Common Share”) and one-half of one common share purchase warrant (each full common share purchase warrant, a “Warrant”) of the Company. Each Warrant is exercisable to acquire one Common Share until April 13, 2021 at an exercise price of $5.50 per Common Share, subject to adjustment in certain events. The Warrants trade under the ticker CRZ.WT.
The Company intends to use the net proceeds from the over-allotment option for working capital and general corporate purposes.
The securities being offered have not been, nor will they be, registered under the U.S. Securities Act as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.
About CannaRoyalty Corp.
CannaRoyalty is an active investor and operator in the legal cannabis industry. Our focus is building and supporting a diversified portfolio of growth-ready assets in high-value segments of the cannabis sector, including research, consumer brands, devices and intellectual property. Our management team combines a hands-on understanding of the cannabis industry with seasoned financial know-how, assembling a platform of holdings via royalty agreements, equity interests, secured convertible debt, licensing agreements and its own branded portfolio. CannaRoyalty’s shares trade on the Canadian Securities Exchange (CSE) under the symbol CRZ and internationally on the OTCQX under the symbol CNNRF.
For further inquiries, please contact:
Marc Lustig, CEO
Jonathan Ross, CFA
LodeRock Advisors Inc.