Weekend Unlimited Industries Inc (CSE:POT) (OTCQB:WKULF) has closed a non-brokered private placement worth C$517,400 in order to acquire the intellectual property of Oklahoma cannabis edibles company Ruby Mae’s LLC, the company announced late Tuesday.
The lifestyle-branded cannabis company offered more than 6.4 million subscription receipts at a price of C$0.08 per receipt. The receipts will automatically convert into units, each containing one common share and one share purchase warrant, assuming the deal is completed before September 30, 2020, and certain escrow release conditions are met.
A warrant entitles its holder to purchase an additional share at a price of C$0.11 for a period of two years. The company can push that date up if its shares deliver a ten-day volume-weighted trading average at or above C$0.35.
Weekend will also pay a fee of C$16,480 and issue 206,000 additional warrants once the escrow release conditions are met.
Additionally, the company announced that it will issue 600,000 shares as part of an existing contract with a member of its board of directors and another 625,500 shares to settle a debt with a former director. Those shares are being issued at a value of C$0.08, the company said.
In a previous statement, Weekend said the acquisition of the Ruby Mae’s brand and intellectual property will further accelerate the company’s brand recognition within Oklahoma and substantially expand its lineup of brands, products and sales.
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