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LGC to Focus on Investments in Near-Term Medical Cannabis Production
LGC to Focus on Investments in Near-Term Medical Cannabis Production Canada NewsWi...
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[{"type":"text","content":"\n\n\n\nLGC to Focus on Investments in Near-Term Medical Cannabis Production\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, March 23, 2018\n\n\n\nLGC Capital Ltd.Symbol: TSX-V: LG\n\n\nTerminates option with House of Hemp as it no longer meets LGC's investment criteria\n\n\nMONTREAL, March 23, 2018 /CNW Telbec/ - LGC Capital Ltd. (TSXV: LG) (\"LGC\") announces that it has formally terminated its option to acquire a 30% interest in South Africa-based House of Hemp (Pty) Ltd, in favour of focusing LGC's resources and cash-strong balance sheet on developing its fast-growing investments in Australia, Montreal/Canada, Jamaica and Europe. LGC also announces that it is examining new near-term cash-flowing investment opportunities in Europe and southern Africa. As previously announced, LGC's 50/50 joint venture with AfriAg (Pty) Ltd had the exclusive right to acquire a 60% interest in House of Hemp.\n\n\n \n \n\n \nThe South African Government has not put in place the legislative framework for the legalization of medical cannabis in that country. Although House of Hemp is still actively seeking a full set of commercial licenses, its lack of licenses at present means that it does not meet LGC's strict criteria for near-term production and cash-flow.\n\nAs a result, House of Hemp no longer fits with LGC's investment objectives. LGC has a number of other investment opportunities that it believes will offer better short-term returns for its shareholders. The amounts invested by LGC in its due diligence review of House of Hemp were not material.\n\nJohn McMullen, LGC's CEO, commented; \"LGC has a number of very exciting projects that are now moving rapidly towards commercial medical cannabis production. These businesses are LGC's prime focus. We are looking forward to Little Green Pharma harvesting its first commercial crop in Australia in the next few weeks, and AAA Trichomes breaking ground at its new facility in Montreal over the coming weeks. In addition, LGC is working hard with the Global Canna Labs team in Jamaica to complete our detailed due dili...