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LGC Capital gets approval to fund ground breaking for the Québec medical cannabis operations of AAA Trichomes
LGC Capital gets approval to fund ground breaking for the Québec medical cannabis ope...
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[{"type":"text","content":"\n\n\n\n\nLGC Capital gets approval to fund ground breaking for the Québec medical cannabis operations of AAA Trichomes\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\n\n\n\n\n\n\nCanada NewsWire\nMONTREAL, Dec. 18, 2017\n\n\n\nMONTREAL, Dec. 18, 2017 /CNW Telbec/ - LGC Capital Ltd. (TSXV: LG) (\"LGC\") is pleased to announce that further to the news release dated December 6, 2017, the TSX Venture Exchange has now approved LGC's transaction with Québec-based Tricho-Med Corporation (doing business as AAA Trichomes).\n\n\n \n \n\n \nThis approval now clears the path to break ground near Montréal for an initial 60,000 square feet of growing, processing and administrative facilities for medical cannabis in the Montréal area of Québec, Canada.\n\nGround breaking will, weather permitting, commence in January 2018 with construction and commissioning of Phase 1 expected to take about 10 months.\n\nIn order to significantly expand operations in Phase 2, AAA Trichomes has secured options on  two 20-acre plots nearby the existing planned footprint, that will provide significant scope for expansion in Phase 2.\n\nLGC will now be providing financial support in order to assist AAA Trichomes in becoming one of the larger growers in Québec thus maximizing Québec's low energy cost advantage in this part of the world.\n\nAt the closing of the transaction, LGC will enter into a convertible loan agreement with AAA Trichomes in an amount of $4,000,000 (the \"Loan\"). The Loan will be disbursed in accordance with a pre-agreed milestone disbursement schedule.  The Loan has a term of four years and will be secured by a first-ranking security on all of AAA Trichomes' assets. Interest on the Loan is fixed at an annual rate of 10% which will be payable from available operational cash flow. Upon AAA Trichomes obtaining a licence to cultivate medical cannabis from the relevant regulatory authorities, the Loan will convert into common shares of AAA Trichomes representing 49% of the AAA's then-issued and outstanding shares. LGC will also 
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