Business
Golden Leaf Announces Closing of Acquisition of Medical Marijuana Group Consulting Ltd.
Golden Leaf Announces Closing of Acquisition of Medical Marijuana Group Consulting Ltd..
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[{"type":"text","content":"\n\n TORONTO, Jan. 02, 2018 (GLOBE NEWSWIRE) -- Golden Leaf Holdings Ltd. (“GLH” or the “Company”) (CSE:GLH) (OTCQB:GLDFF), a leading cannabis oil solutions company built around recognized brands, is pleased to announce that it has closed its previously announced acquisition (the “Acquisition”) of all of the issued and outstanding shares of Medical Marijuana Group Consulting Ltd. (“MMC”).  Pursuant to the Acquisition, the Company paid consideration of C$5,000,000, which was satisfied through the issuance of 17,857,143 common shares of the Company at a price of C$0.28 per share. Under the terms of the definitive agreement between GLH and MMC, the consideration was payable in the event that certain gross sales targets were met within a specified time frame (the “Earn-in Period”). The Company waived the Earn-in Period requirements, as MMC was close to achieving the sales targets and demonstrated strong growth. The Company believed it was commercially beneficial to integrate GLH and MMC prior to calendar year end. \n MMC is a medical marijuana consulting company that secures high-value medical marijuana patients and educates and refers them to Licensed Producers for their product. MMC receives an education fee from the Licensed Producers in exchange for this service. MMC is a pioneer in finding and securing insurance coverage for medical cannabis and is a leader in cannabis treatment for veterans, a segment of the market that generates strong demand, and for which funding from the Canadian Department of Veteran Affairs makes cannabis 100 percent covered.   “MMC has a proven track record acquiring new patients who privately purchase cannabis for their medical conditions and MMC continues to be a leader in securing individual funding through different insurance benefit packages,” stated Philip Millar, President of MMC. “Since the initial acquisition talks initiated in early 2017 between Golden Leaf Holdings and MMC, the two parties have been successfully collaborating on the Golden Medical branding initiative to drive patients to MMC, which has yielded approximately 2,500 “white label” patients to date, and we expect this growth to continue moving forward.” “We are pleased to complete the acquis...