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Clean Commodities Corp. Executes Binding Letter of Intent to Acquire Licensed Hemp-Producer Pacific North Hemp Inc.
Clean Commodities Corp. Executes Binding Letter of Intent to Acquire Licensed Hemp-Produce...
About this update from Dixie Gold Inc.
[{"type":"text","content":"\n\n\n\nClean Commodities Corp. Executes Binding Letter of Intent to Acquire Licensed Hemp-Producer Pacific North Hemp Inc.\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nVANCOUVER, May 13, 2019\n\n\n\nCompany to Pursue CBD-Focused Business\n VANCOUVER, May 13, 2019 /CNW/ - Clean Commodities Corp. (TSX VENTURE: CLE) (\"Clean Commodities\" or the \"Corporation\") is pleased to announce that it has entered into a binding letter of intent dated as May 9, 2019 to acquire Pacific North Hemp Inc. (\"Pacific North Hemp\") by way of share purchase agreement (the \"Transaction\"). Clean Commodities and Pacific North Hemp intend to negotiate and execute a definitive agreement (the \"Definitive Agreement\") respecting the Transaction. The Transaction is an arm's-length transaction.\nThe Transaction\nUnder the Transaction, the Corporation intends to issue to shareholders of Pacific North Hemp a total of 50 million common shares of Clean Commodities which will be subject to customary escrow and statutory hold periods (the \"Share Consideration\"). Based on 102,448,746 common shares of the Corporation currently outstanding as of the date of this announcement, the resulting issuer (the \"Resulting Issuer\") would be majority held by incumbent shareholders of the Corporation at approximately 67.2% and approximately 32.8% as to incoming shareholders of Pacific North Hemp. Following closing, the outstanding warrants and options of the Corporation will represent warrants and options of the Resulting Issuer.\nIn conjunction with Pacific North Hemp's 2019 crop planting season, Pacific North Hemp recently entered into an arm's-length secured bridge loan facility in the amount of $250,000 (the \"Crop Planting Loan\") bearing an interest rate of 12%. The Corporation intends to acquire the Crop Planting Loan prior to closing of the Transaction (the \"Crop Planting Loan Repayment\"). The result of the Crop Planting Loan Repayment would be to securitize the licenses and crop assets of Pacific North Hemp in favour of the Corporation, re...