Kelowna, BC, Jan. 08, 2019 (GLOBE NEWSWIRE) -- GTEC Holdings Ltd. (TSXV: GTEC) (OTC: GGTTF) (“GTEC” or the “Company”) is pleased to announce that it has entered into an Option Agreement dated November 5, 2018, among GreenTec Holdings Ltd. (“GreenTec”), a wholly owned subsidiary of GTEC, and BATC Investments Inc. (“BATC”), in connection with the establishment of a joint venture company named GreenTec Retail SK Inc. (“GreenTec SK”), and also announces that it has received TSX Venture approval for an agreement to facilitate the acquisition of cannabis genetics and will issue shares to 1183279 B.C. Ltd. (the “Consultant”) for successfully completing services in connection with the acquisition of cannabis genetics.
Option Agreement with BATC
As per the terms of a shareholders’ agreement, BATC shall own 25 Class A Common Shares and GreenTec shall own 75 Class A Common Shares (the “Shareholders’ Agreement”). Pursuant to the terms of the Shareholders’ Agreement, GreenTec and BATC will identify, secure, and develop retail opportunities in the cannabis sector in the province of Saskatchewan through GreenTec SK.
BATC has the option, exercisable at any time after the date of the Option Agreement and ending six months after the first retail store opens to the public for business, to require GreenTec to purchase all of its interest in GreenTec SK. The value of BATC’s interest in GreenTec SK (the “Purchase Price”) shall be determined by a chartered business valuator. To satisfy the Purchase Price, and provided BATC exercises the option, GTEC has agreed to issue to BATC such number of Common Shares (the “Consideration Shares”) in the authorized capital of GTEC to BATC with an aggregate value equal to the Purchase Price.
The issuance of the Consideration Shares is subject to approval by the TSX Venture Exchange.
GTEC Issues Shares to Consultant
GTEC is also pleased to announce that it has received approval from the TSX Venture Exchange for the amended agreement between GTEC, its wholly owned subsidiary, Tumbleweed Farms Corp. (“Tumbleweed”), and 1183279 B.C. Ltd., an Okanagan-based cannabis consulting firm, for the facilitation of the acquisition of cannabis genetics (the “Genetics Agreement”). The core details of the amended agreement were originally announced on November 16, 2018. Accordingly, GTEC will issue the Consultant 200,000 shares for the services provided under the Genetics Agreement.
About BATC
BATC is a privately held company incorporated pursuant to the laws of British Columbia. It is the general partner of BATC Investments Limited Partnership, the investment arm under the direction of Battlefords Agency Tribal Chiefs, which consists of the original First Nations of Ahtahkakoop Cree Nation, Moosomin First Nation, Red Pheasant Cree Nation, Sweetgrass First Nation, Stoney Knoll First Nation, Saulteaux First Nation, and Mosquito Grizzly Bear’s Head Lean Man First Nation.
About GTEC
GTEC Holdings is a specialized craft cannabis company dedicated to cultivating premium quality cannabis in purpose-built indoor facilities. The company is vertically integrated across all major sectors of the Canadian cannabis industry and holds Cultivation, Extraction and Analytical testing licenses. The management team is comprised of a diverse skill set sourced from leading global food & beverage and premium alcohol companies. GTEC’s retail division is pursuing licensing for over 35 recreational cannabis stores across Western Canada. GTEC’s premium indoor cannabis will be marketed and sold under its flagship trademarked brands; BLK MKT TM; Tenzo TM, GreenTec TM, cognōscente TM, FN TM, and Treehugger TM. The Company is actively pursuing sales and distribution opportunities across all major business channels: medical, recreational, B2B and export. GTEC is a publicly traded corporation, listed on the TSX Venture Exchange and the OTCQB Venture Market. The Company is headquartered in Kelowna, British Columbia.
To view more about the company or to request our most recent corporate presentation, please visit our website at www.gtec.co.
On behalf of the board,
Norton Singhavon
Founder, Chairman & CEO
ns@gtec.co
Michael Blady
Co-Founder & Vice President
mb@gtec.co
Neither the 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.
Cautionary Statement Regarding Forward-Looking Information
This news release includes certain “forward-looking statements” under applicable Canadian securities legislation. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; delay or failure to receive board, shareholder or regulatory approvals, where applicable and the state of the capital markets. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.