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OR DISSEMINATION IN THE UNITED STATES
TORONTO, Dec. 22, 2017 (GLOBE NEWSWIRE) -- Canada House Wellness Group Inc. (CSE:CHV) (“Canada House” or the “Company”) is pleased to announce its intended uses for the $6,341,608 net new funds generated by its recent convertible debenture unit financing.
The schedule below notes that 4% of our private placement offering funds was paid in cash commissions; 22% was used to retire debt; 48% is intended to be used to complete the Pickering, ON Abba Medix grow facility to obtain its License to Sell and commence commercial sales; 15% will be used to expand the MFT operations; $450,000 for Knalysis Technologies R&D and the promotion of its CPM software subscriptions; and the balance will be added to the Company’s working capital.
| $ | 8,609,000 | 100% | Total Funds Raised | |||
| $ | 1,700,000 | 20% | Debt Retirements | |||
| $ | 205,000 | 2% | Payables Settlements | |||
| $ | 362,392 | 4% | Cash Commissions | |||
| $ | 6,341,608 | 74% | Net Funds to the Company | |||
| Intended uses of Net Funds to the Company | ||||||
| $ | 4,100,000 | 48% | Completion of Abba Medix Grow Facility | |||
| $ | 1,300,000 | 15% | Expansion of MFT Operations | |||
| $ | 450,000 | 5% | Knalysis R&D & Promotion | |||
| $ | 491,608 | 6% | Addition to Working Capital | |||
| $ | 6,341,608 | 74% | Total Planned Capital Uses | |||
The Company’s working capital balances are also being augmented by early warrant redemptions, which has totalled more than $700,000 during this month of December.
Canada House Wellness Group Inc.
Canada House is the parent company of Marijuana for Trauma Inc., Knalysis Technologies and Abba Medix Corp. The Company's goal is to become a marketplace leader through strategic partnerships, mergers, and acquisitions to create a fully integrated cannabis therapy company. For more information please visit http://www.canadahouse.ca. or www.sedar.com
Cautionary Statement Regarding Forward-Looking Information. Certain statements within this news release pertaining to the Company constitute “forward‐looking statements”, within the meaning of applicable securities laws, including without limitation, statements regarding future estimates, business plans and/or objectives, sales programs, forecasts and projections, assumptions, expectations, and/or beliefs of future performance, are “forward‐looking statements”. Such “forward‐looking statements” involve known and unknown risks and uncertainties that could cause actual and future events to differ materially from those anticipated in such statements. Forward‐looking statements include, but are not limited to, statements with respect to the anticipated effects of the financing, regulatory changes, timeliness of government approvals for the granting of permits and licenses, changes in medical marijuana prices, actual operating performance of facilities, competition and other risks affecting the Company in particular and the medical marijuana industry generally, including those set out in the Company’s public disclosure record. The Company assumes no responsibility to update or revise forward‐looking information to reflect new events or circumstances unless required by law.
Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.