Chemesis International Inc. Announces Closing of $2,000,000 Convertible Debenture
VANCOUVER, British Columbia, Dec. 04, 2018 (GLOBE NEWSWIRE) — Chemesis International Inc. (CSE: CSI) (OTC: CADMF) (FRA: CWAA) (the “Company” or “Chemesis”), is pleased to announce that it has closed the previously announced debenture unit offering with strategic investors for aggregate gross proceeds to the Company of CDN $2,000,000 (the “Offering”).
At the completion of the Offering, the Company issued 2000 debenture units, each consisting of (a) one, unsecured, CDN $1,000 principal value convertible debenture of the Company, bearing interest at 8.0% per annum and having a two year maturity date (“Debentures”), and (b) 800 warrants (“Warrants”), each Warrant exercisable for one (1) common share of the Company (“Common Share”) at an exercise price of CDN $1.50 for a period of two years. The Debentures are convertible into Common Shares at a conversion price of CDN $1.25 per Common Share.
The Company has the right to repay and cancel the Debentures at any time prior to their maturity date at a price equal to 105% of the principal amount of the Debentures then outstanding, plus accrued and unpaid interest thereon. In addition, the Company has the right to compel the conversion of the Debentures in the event that the daily volume weighted average trading price of the Common Shares exceeds $2.50 per Common Share for 10 consecutive trading days.
The Company notes that two of the placees are insiders of the Company.
On Behalf of The Board of Directors
CEO and Director
About Chemesis International Inc.
Chemesis International Inc. is a vertically integrated global leader in the cannabis industry, currently operating within California, Puerto Rico, and finalizing an acquisition in Colombia.
Chemesis is developing a strong foothold in key markets, from cultivation, to manufacturing, distribution and retail. Chemesis has facilities in both Puerto Rico and California, allowing for cost effective production and distribution of its products. In addition, Chemesis leverages exclusive brands and partnerships and uses the highest quality extraction methods to provide consumers with quality cannabis products.
Chemesis will add shareholder value by exploring opportunities in emerging markets while consistently delivering quality product to its consumers from seed to sale.
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Forward-Looking Information: This news release contains “forward-looking information” within the meaning of applicable securities laws relating to statements regarding the Company’s business, products and future of the Company’s business, its product offerings and plans for sales and marketing. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking information. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance and developments to differ materially from those contemplated by these statements depending on, among other things, the risks that the Company’s products and plan will vary from those stated in this news release and the Company may not be able to carry out its business plans as expected. Except as required by law, the Company expressly disclaims any obligation and does not intend to update any forward-looking statements or forward-looking information in this news release. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct and makes no reference to profitability based on sales reported. The statements in this news release are made as of the date of this release.
The CSE has not reviewed, approved or disapproved the content of this press release