Vancouver-based Weekend Unlimited helps to launch and scale recreational cannabis brands in the US and Canada.
The non-brokered private placement consisted of nearly 41.4 million units of the cannabis company priced at C$0.05 for gross proceeds of C$2,068,415.
Each unit consists of one share and one warrant, which is exercisable at C$0.10 for 24 months following the transaction’s closing date. Warrants are subject to accelerated expiry if Weekend’s ten-day volume weighted average share price exceeds C$0.25.
The Company paid finders fees of around C$135,000 and issued 2.7 million warrants to eligible finders, also exercisable at C$0.10 for a 24-month period.
Weekend also granted CEO Chris Backus 1.9 million incentive stock options at C$0.10 for a five-year period.
Focus on near term revenue
In a note to shareholders, the company also said that it will transfer the rights of VBC, Verve Beverage Company and its Verve and Champ brands following a detailed analysis of its near-term revenue potential.
“Since assuming the position of President and CEO, there has been extensive analysis completed on the company’s assets and how they support our focus on revenue generation,” said Backus.
“In order to create value for shareholders that the company can build its future growth upon, that focus is squarely on the launch and expansion of the WKND! branded products and Northern Lights Organics in the near term.”
The company has transferred the assets back to the rights holder with all liabilities and received 18 million shares of Weekend Unlimited in return.
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