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James E. Wagner Cultivation Announces Initial Closing of its up to $7,500,000 Private Placement
James E. Wagner Cultivation Announces Initial Closing of its up to $7,500,000 Private Placement.
About this update from James E Wagner Cultivation Corp
[{"type":"text","content":"\n KITCHENER, Ontario, Dec. 20, 2019 (GLOBE NEWSWIRE) -- James E. Wagner Cultivation Corporation (“JWC” or the “Corporation”) (TSX VENTURE: JWCA; OTCQX: JWCAF), is pleased to announce the initial closing of its non-brokered private placement whereby the Corporation has issued 4,734,284 units of the Corporation (each, a “Unit”) for gross proceeds of $994,199.64 (the “Initial Closing”). The Initial Closing is part of a larger offering being conducted by the Corporation for up to 35,714,285 Units at a purchase price of $0.21 per Unit, to raise gross proceeds of up to $7,500,000 (the “Offering”). Each Unit is comprised of one common share of the Corporation (a “Common Share”) and one half of one common share purchase warrant (each full warrant, a “Warrant”). Each Warrant will be exercisable to purchase one Common Share at an exercise price of $0.275 per share for a period of three (3) years following the date of issuance. The securities underlying the Units will all be subject to a four-month statutory hold period commencing on the date of issuance. Certain directors, officers and other insiders of the Corporation participated in the Initial Closing for a total of $239,999.76 worth of Units.  Participation by those persons constitutes a related party transaction as defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The issuance of Units to the related parties is exempt from the formal valuation requirements of Section 5.4 of MI 61-101 pursuant to Subsection 5.5(a) of MI 61-101 and exempt from the minority shareholder approval requirements of Section 5.6 of MI 61-101 pursuant to Subsection 5.7(1)(a) of MI 61-101. The Corporation intends to use the proceeds of the Offering for corporate and general working capital purposes and to further develop the Corporation’s second facility located at 530 Manitou Drive, Kitchener, Ontario. The Offering is scheduled to close in tranches, with the final closing expected to take place on or about January 10, 2020. Closing of each tranche of the Offering is subject to customary closing conditions, including, without limitation, receipt of applicable regulatory approvals, including the approval of the TSX Venture Exchange....