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LGC Capital Receives Conditional Approval for AAA Trichomes Transaction
LGC Capital Receives Conditional Approval for AAA Trichomes Transaction Canada New...
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[{"type":"text","content":"\n\n\n\nLGC Capital Receives Conditional Approval for AAA Trichomes Transaction\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. 6, 2017\n\n\n\nMONTREAL, Dec. 6, 2017 /CNW Telbec/ - As per previously announced press release on October 31st,LGC Capital Ltd. (TSXV: LG) (\"LGC\") is pleased to announce that the TSX Venture Exchange has conditionally approved LGC's proposed transaction with Québec-based Tricho-Med Corporation (doing business as AAA Trichomes).\n\n\n \n \n\n \nLGC wishes to report that its due diligence review of AAA Trichomes has been completed, all major deal points have been agreed upon, and the remaining technical details are being finalized. Closing documentation is being prepared and LGC expects to sign the principal loan documentation with AAA Trichomes in the next few days, which will then be held in trust pending final TSX Venture Exchange approval. In order to obtain final approval for the transaction from the TSX Venture Exchange, LGC must file various documents, which it expects to do within the next few days.\n\nAt the closing of the transaction, LGC will subscribe for a convertible debenture of AAA Trichomes in an amount of $4,000,000 (the \"Debenture\"). The Debenture will bear interest at an annual rate of 10%, have a term of four years and be secured by first-ranking security on all of AAA Trichomes' assets. Upon AAA Trichomes obtaining a licence to cultivate marijuana from the relevant regulatory authorities, the Debenture will convert into common shares of AAA Trichomes, representing 49% of the then-issued and outstanding shares, and a 5% royalty on AAA Trichomes' net sales. In the event that AAA Trichomes does not become a publicly-listed company within twelve months of having obtained the licence, LGC will receive such number of shares so that it owns 54% of the then-issued and outstanding shares of AAA Trichomes, subject to approval by the TSX Venture Exchange.\n\nAAA Trichomes is planning to build a large new cannabis processing facility in the ...