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VANCOUVER, British Columbia, Feb. 09, 2018 (GLOBE NEWSWIRE) -- Lotus Ventures Inc (CSE:J) (the "Company") announced today that its licensed producer application for its Armstrong, BC purpose-built indoor facility (the “Application”) under the Access to Cannabis for Medical Purposes Regulations ("ACMPR") is currently in "active review". Following the successful completion of Health Canada’s paper review of the Application, the Company will be required to submit an evidence package demonstrating that the purpose-built indoor facility is a functioning facility that adheres to the ACMPR.
In conjunction with this announcement, the Company is pleased to confirm that its partner, Cannabis Wheaton Income Corp. ("CBW") has subscribed, by way of a private placement, for 1,818,181 units (each a "Unit") in the capital of the Company at a price per Unit of $0.55 (the "Subscription") for aggregate proceeds of $1,000,000. Each Unit consists of one common share of the Company and one-half of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant is exercisable into one common share in the capital of the Company for a period of 36 months from the date of issue, at an exercise price of $1.00 per Warrant. Concurrently with the Subscription, the Company and CBW have amended and restated their original interim agreement to decrease the initial financial commitment of CBW by an aggregate amount of $1,000,000.
“Both these announcements are material milestones for the company and our shareholders. We are very pleased to be working with CBW on our future expansion plans," said Dale McClanaghan, CEO of Lotus Ventures, Inc.
Hugo Alves, President of CBW, stated, "We want to congratulate our streaming partner Lotus on their progress towards licensing. We’re excited to invest in Lotus and we believe that they have a unique approach to indoor cultivation and a management team that can successfully scale up their operations."
ON BEHALF OF THE BOARD
Lotus Ventures Inc.
"Dale McClanaghan"
Dale McClanaghan, President and CEO
About Lotus Ventures, Inc.
Lotus is a late stage licensed producer (“LP”) applicant under the ACMPR rules and regulations, in active review with Health Canada. The unique business model combines an upstream royalty financing model with CBW and a downstream licensing model with farmer/grower partners using Lotus technology and intellectual property. The first facility is currently under construction in Armstrong, B.C. It is a purpose built, “state of the art” indoor facility with proprietary processes. The company has previously announced its first farmer/grower partner with its second facility slated in Ontario. See our December 14, 2017 press release for more details. The Lotus approach enables a scalable and reliable low-cost, high quality production at our BC facilities and our national partners.
For further information: Dale McClanaghan: dalemcclanaghan@gmail.com (604) 644-9844 or Daniel McRobert, Communications danielmcrobertt@gmail.com (604) 842-4625
About Cannabis Wheaton Income Corp.
CBW is a collective of entrepreneurs with a passion for the cannabis industry past, present and future. CBW's mandate is to facilitate growth for our partners by providing them with financial support and sharing our collective industry experience. CBW's partners all have different visions, voices and brand values, and all share a common goal—to build a world-class industry based on ethics, diversity, quality and innovation.