Business
HempFusion Closes Oversubscribed US$2.94 Million Private Placement
HempFusion Closes Oversubscribed US$2.94 Million Private Placement.
About this update from Hempfusion Wellness Inc.
[{"type":"text","content":"\nHempFusion Wellness Inc. (TSX:CBD.U) (OTCQX:CBDHF) (FWB:8OO) (“HempFusion” or the “Company”), a leading health and wellness Company offering premium probiotic supplements and products containing CBD, is pleased to announce the closing of its previously announced private placement. The Company issued 11,770,000 units (the “Units’) at the price of US$0.25 per Unit for gross proceeds of approximately US$2.94 million (the “Private Placement”).\n\nEach Unit is comprised of one common share of the Company and one common share purchase warrant (“Warrant”) with each Warrant exercisable to acquire one common share at a price of US$0.50 per common share for a period of four years from the date of issuance.\n\nDirectors and officers subscribed for 1,600,000 Units at a purchase price of US$ 0.25 per Unit, including the Company’s CEO, Jason Mitchell, N.D., Jon Visser, Chief Operating Officer and various members of the Board. Proceeds will be used for general working capital and marketing initiatives.\n\nThe Company paid finder’s fee in the aggregate amount of US$30,275 to certain finders. The Company also issued an aggregate of 121,100 broker warrants in connection with the Private Placement, with each broker warrant exercisable for one Unit at the exercise price of US$0.25 per Unit for four years from the date of issuance.\n\n“Our recent acquisitions of Apothecanna and Sagely Naturals have helped to round out our CBD brand portfolio, bringing HempFusion increased access to the female and Baby Boomer demographics, a greater online presence, and outstanding leadership and product additions,” said Jason Mitchell, N.D., HempFusion’s Co-founder and Chief Executive Officer. “The proceeds from this Private Placement further strengthens our balance sheet and allows us to accelerate the build-out of our online and wholesale businesses even faster. The participation of Company management in the financing should provide further confidence to investors in our ability to achieve our previously communicated revenue guidance for 2021 and 2022.”\n\n“With our national retail footprint at more than 15,000 locations in the U.S. and growing, the continued build-out of our international business progressing as planned, and both our direct-to-consumer an...