leadf
logo-loader
viewCanntab Therapeutics Ltd

Canntab Therapeutics closes C$1.575 million non-brokered private placement of convertible debentures

"We are pleased to have closed this offering so quickly and with only a few investors,” Canntab CEO Larry Lotowsky said in a statement

Canntab Therapeutics Ltd -
The debentures are convertible at $0.80 per share and bear a two-year maturity date

Canntab Therapeutics Limited (CSE:PILL) (OTCQB:CTABF) announced Thursday it had closed a non-brokered private placement of convertible debentures to raise up to C$1,575,000.

The biopharmaceutical company, which specializes in manufacturing hard pill cannabinoid formulations, said that the debentures are convertible at $0.80 per share and bear a two-year maturity date.

Canntab has the right to prepay or redeem a portion or the entire principal amount plus any accrued interest with a minimum of 20 days notice prior to the redemption date, as well as the right to force conversion at the conversion price if the volume weighted average trading price exceeds C$1.20 for 15 straight days.

READ: Canntab to launch in Australia and take part in the nation’s largest cannabis research study

The debentures bear an interest rate of 10% per year. Funds raised will go towards working capital, accordignt to a statement.

"We are pleased to have closed this offering so quickly and with only a few investors,” Canntab CEO Larry Lotowsky said in a statement Thursday afternoon.

“We are also pleased to include our first institutional participation in this offering. We are on the cusp of the most important developments in our short history and the capital raised from this offering will provide us with the financial flexibility to achieve our short and long-term goals.”

On closing, the company issued to the purchasers of the convertible debentures one share purchase warrant for each Share underlying the convertible debenture purchased. The warrants are exercisable for a period of three years from issuance into shares of Canntab with each Warrant entitling the holder to purchase one share at an exercise price of $1 per share.

The firm also issued 50,000 warrants to an arm's-length consultant at an exercise price of $0.80 for a period of two years from the date of grant.

Contact Angela at angela@proactiveinvestors.com

Follow her on Twitter @AHarmantas

Quick facts: Canntab Therapeutics Ltd

Price: 0.96 CAD

CSE:PILL
Market: CSE
Market Cap: $34.03 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Canntab Therapeutics Ltd named herein, including the promotion by the Company of Canntab Therapeutics Ltd in any Content on the Site, the...

FOR OUR FULL DISCLAIMER CLICK HERE

Canntab Therapeutics granted patent for their hard pill proprietary...

Canntab Therapeutics (CSE: PILL- OTCQB: CTABF) CFO Richard Goldstein joined Steve Darling from Proactive with news the company, which has filed over a dozen patents, has been granted their second in relation to its proprietary cannabidiol formulations around the hard pill format. Goldstein...

on 02/01/2021

2 min read