TORONTO, May 30, 2018 (GLOBE NEWSWIRE) -- Captor Capital Corp. (“Captor” or the “Company”) (CSE:CPTR) (FRANKFURT: NMV ) announced today that the closing of the previously announced acquisition of all of the outstanding securities of I-5 Holdings Ltd. (“ I-5 ”) not already held by Captor has been released from escrow (the “ Acquisition ”).
The Acquisition was completed pursuant to a merger agreement dated February 16, 2018 (as amended) between Captor and I-5 whereby the holders (other than Captor) of common shares of I-5 (“ I-5 Shares ”) received 2.6 common shares of Captor Capital Corp. (“ Captor Share ”) in exchange for each I-5 Share. Captor issued a total of 171,868,364 Captor Shares in consideration for the acquisition of all the issued and outstanding I-5 Shares at a deemed issue price of $0.20 per Captor Share. As part of the Acquisition, certain common share purchase warrants of I-5 are now exercisable into 22,208,031 Captor Shares at an exercise price of $0.25 per Captor Share and other common share purchase warrants of I-5 are now exercisable into 3,750,890 Captor Shares at an exercise price of $0.31 per Captor Share.
I-5 is a Canadian company focused on the US recreational and medicinal cannabis industries, with the goal of becoming a leading consumer-driven organization focused on delivering the highest quality cannabis products and experiences. With assets covering all three key verticals - cannabis production and processing, as well as a retail dispensary network - I-5 Holdings is uniquely positioned to benefit from the ongoing increase in legally available cannabis.
The company currently has operations in Washington and California. In California, I-5 Holdings controls two dispensaries that are licensed for recreational retail sales of cannabis products located in West Hollywood and Santa Ana, respectively. Each of these dispensaries are branded as MedMen stores and are both operated and managed by MedMen under separate management contracts.
In Washington state, I-5 has leased two cannabis cultivation facilities that are both equipped to produce high-grade cannabis. I-5 is in the process of sub-leasing these facilities to holders of cannabis cultivation licences. I-5 is also in the process of negotiating licence agreements with the sub-lessee cultivators for the use of certain intellectual property such as operational procedures and cultivation processes and methods in exchange for licence fees based upon the amount of cannabis produced at I-5’s facilities.
About Captor Capital
Captor Capital Corp. is a Canadian investment firm listed on the Canadian Securities Exchange and the Frankfurt Stock Exchange. The company follows a strategy of acquiring profitable, established companies and organizations with growth potential that require capital to scale. Captor currently has investments in a number of companies spanning the technology, resource, and cannabis industries, including Millennial Esports, URU Metals, and I-5 Holdings, which owns the West Hollywood and Santa Ana MedMen cannabis dispensaries, amongst other assets.
For further information, please contact
Gavin Davidson, Communications
Captor Capital Corp.
705.446.6630
416.504.3978
gavin@captorcapital.com
Forward-Looking Statements
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATIONS SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
This press release contains or refers to forward-looking information, and is based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to availability of investment opportunities, economic circumstances, market fluctuations and uncertainties, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, and the other risks involved in the investment industry and junior capital markets. Forward-looking statements are subject to significant risks and uncertainties, and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and the Company assumes no responsibility to update them or revise them to reflect new events or circumstances other than as required by law.
