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North Bud Farms Announces Proposed Terms for Non-Brokered Private Placement of Units
North Bud Farms Announces Proposed Terms for Non-Brokered Private Placement of Units.
About this update from North Bud Farms Inc
[{"type":"text","content":"\n THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES. TORONTO, May 19, 2020 (GLOBE NEWSWIRE) -- North Bud Farms Inc. (CSE: NBUD) (OTCQB: NOBDF) (\"NORTHBUD\" or the \"Company\") is pleased to announce that it intends to complete a non-brokered private placement of units (each a “Unit”) at a price of $0.05 per Unit for gross proceeds of up to C$2 million, subject to the Company’s receipt of minimum gross proceeds of C1$ million (the “Offering”). Each Unit will be comprised of one common share in the capital of the Company (a “Common Share”) and one common share purchase warrant (a “Warrant”). Each Warrant will entitle the holder thereof to acquire one Common Share (a “Warrant Share”) for a period of 24 months following the Closing Date (as defined below) at an exercise price equal to: (i) $0.075 if the Warrant is exercised within 12 months of the Closing Date, or (ii) $0.10 if the Warrant is exercised at any other time prior to expiry. The Company may pay a cash fee or issue compensation securities to certain eligible finders in connection with the proceeds received by the Company from the sale of Units to subscribers introduced to the Company by such eligible finders. The proceeds of the Offering will be used by the Company to meet its 12-month corporate and working capital requirements, which the Company believes is vital to ensuring efficient and consistent operations. Management believes that securing a 12-month cash runway is the most prudent step in attempting to secure the long-term viability of the Company. Failure to meet these capital requirements could force management to proceed with secondary options that may preserve less long-term value for shareholders. Subscription receipts will be held in escrow and released upon the filing of the Company’s 2019 financial statements.  The Offering is expected to close on or around June 1, 2020 (the “Closing Date”). Anyone who is interested in participating in the current financing may email the Company at: [email protected] The Offering is subject to certain conditions, including but not limited to, the receipt of all necessary regulatory and stock exchange appr...