VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 28, 2017) - Cannabis Wheaton Income Corp. (TSX VENTURE:CBW) ("Cannabis Wheaton" or "CW") is pleased to report that CW has received TSX Venture Exchange approval to purchase $15 million of common shares of ABcann Global Corporation (TSX VENTURE:ABCN) ("ABcann") at an agreed upon valuation of $2.25 per share (the "Initial Investment"). The Initial Investment forms part of a larger phased investment (collectively, the "Full Investment") by CW to fund the construction of an additional 50,000 square feet of pure cultivation space (the "Expansion Production Area") of ABcann's proposed cannabis cultivation facility to be located in Napanee, Ontario and known as the Kimmett facility.
The Initial Investment is made pursuant to a binding interim agreement (the "Agreement") entered into between ABcann and CW on May 29, 2017 whereby upon the completion of the Full Investment and construction of the Expansion Production Area, CW will be entitled to 50% of the cultivation yield generated by the Expansion Production Area (the "Cannabis Wheaton Allocation"). All cannabis product produced pursuant to the Cannabis Wheaton Allocation will be sold by ABcann through its ordinary distribution channels (with the net proceeds of such sale being remitted to CW) or wholesale transferred in bulk at the request of CW to another legal purchaser thereof.
Chuck Rifici, Chief Executive Officer of Cannabis Wheaton, commented "Cannabis Wheaton is excited to finalize its first investment in its portfolio of cannabis cultivations companies. ABcann's proprietary cultivation methods produce high quality cannabis with industry leading yields and the additional cultivation space at the Kimmett facility being funded by CW is anticipated to provide Cannabis Wheaton with an estimated 8,000,000 grams of cannabis per year.
This is an exciting milestone for the company as it marks the first step towards building Cannabis Wheaton's proprietary platform which will support a wide range of cannabis cultivation companies, all sharing the common goal of creating and delivering top quality products through industry leading best practices."
The Agreement remains subject to certain conditions precedent including receipt by ABcann of applicable regulatory approvals.
ON BEHALF OF THE BOARD
Chuck Rifici, Chairman & CEO
About Cannabis Wheaton Income Corp. (TSX VENTURE:CBW)
Backed by a team of industry experts, Cannabis Wheaton is the first cannabis streaming company in the world. Our streams will include production from across Canada coming from our partners comprised of licensed producers of cannabis (LP) and LP applicants. Cannabis Wheaton's mandate is to facilitate real growth for our streaming partners by providing them with financial support and sharing our collective industry experience.
Stay Connected
For more information about Cannabis Wheaton and our management team, please visit: http://www.cannabiswheaton.com, or follow us on Twitter @CannabisWheaton. Call: 1-604 687 7130 Email: Mario@skanderbegcapital.com http://www.skanderbegcapital.com.
Forward-Looking Information
This news release contains certain "forward-looking information" within the meaning of applicable Canadian securities law. Forward-looking information is frequently characterized by words such as "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "potential", "proposed" and other similar words, or information that certain events or conditions "may" or "will" occur. This information is only a prediction. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking information throughout this news release. Forward-looking information includes, but is not limited to: the ability to generate revenue through the streaming agreements, the ability to consummate transactions which are currently in discussions, requirements to obtain additional financing, timeliness of government approvals for granting of permits and licences, including licences to cultivate cannabis, completion of the facilities, where applicable, actual operating performance of the facilities, regulatory or political change, competition and other risks affecting the Company in particular and the medical cannabis industry generally. Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Neither ABcann nor CW are under any obligation, and expressly disclaims any intention or obligation, to update or revise any forward -looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contact Information:
Natali Tofiloski
(416) 655-1070
natali@themintagency.com