EDMONTON, Alberta, March 04, 2020 (GLOBE NEWSWIRE) -- Radient Technologies Inc. (“Radient” or the “Company”) (TSX Venture: RTI; OTCQX: RDDTF), a global commercial manufacturer of high quality cannabinoid-based ingredients, formulations and products, is pleased to announce that Health Canada has approved the Company’s application to amend its existing Standard Processors License to include its Edmonton II facility for the processing of cannabis materials.
Radient’s Edmonton II Facility (“Edmonton II”), which the Company has retrofitted to accommodate the extraction and downstream processing of CBD from hemp, was designed to process both cannabis and hemp materials to produce high quality cannabinoid extracts. Edmonton II also gives the Company manufacturing capacity to accelerate the development of white label ‘Cannabis 2.0’ products. A portion of the facility will be used to manufacture high quality cannabis end products for Radient’s clients, representing another important milestone in expanding the Company’s product offerings. Following a commissioning phase, the Edmonton II facility is expected to begin commercial operations in the second half of calendar 2020.
Closing of First Tranche of Debenture Financing:
Radient also announces today that further to its announcement dated February 10, 2020, the Company has closed the initial tranche (the “Initial Tranche”) of its previously announced debenture financing of up to CAD$5 million of unsecured debentures (the “Debentures”).
Pursuant to the Initial Tranche, Radient has issued Debentures for a principal amount of CAD$1,162,500. The Debentures are unsecured and have an interest rate of 15% per annum. The Debentures will mature on March 3, 2022 (the “Maturity Date”). The Company has issued to the Debenture holders 581,250 non-transferable common share purchase warrants (the “Bonus Warrants”). Each Bonus Warrant has a 24 month term and is exercisable into one common share of the Company at an exercise price of CAD $0.70 per share (each a “Bonus Share”). All Bonus Shares will be subject to a hold period expiring on July 4, 2020 in accordance with applicable securities laws.
The Company plans to use the proceeds from Initial Tranche for general working capital purposes.
An aggregate of $125,000 of the Debentures were purchased by Denis Taschuk, the President and CEO of the Company and an aggregate of $400,000 of the Debentures were purchased by Mr. Yves Gougoux, a Director of the Company. The issuance of the Debentures and the Bonus Warrants to Mr. Taschuk and Mr. Gougoux constitutes a “related party transaction” under Multilateral Instrument 61-101 - Protection of Minority Holders in Special Transactions (“MI 61-101”). The Company is relying, however, on an exemption from the valuation and minority voting requirements of MI 61-101.
About Radient
Radient Technologies is a commercial manufacturer of high quality cannabinoid based formulations, ingredients and products. Utilizing a proprietary continuous-flow extraction and processing platform that recovers up to 99% of cannabinoids from the cannabis plant, Radient develops specialty products and ingredients that contain a broad range of cannabinoid and terpene profiles while meeting the highest standards of quality and safety. Please visit www.radientinc.com for more information.
SOURCE: Radient Technologies Inc.
Investors please contact: Adam Deffett, Senior VP of Corporate Development: adeffett@radientinc.com
Media/press please contact: Caitlin Cheadle, Director of Communications: ccheadle@radientinc.com
Forward-Looking Information:
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding the growth of the Company’s business operations; the Initial Tranche; the Company’s ability to close on subsequent tranches;; the Company’s ability to expand its business internationally; the Company’s ability, and timing, to commission Edmonton II; the Company’s ability to grow its business in the cannabis sector and the Company’s future plans. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Radient, as the case may be, to be materially different from those expressed or implied by such forward-looking information. Although Radient has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information 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 information. Radient does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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