IC Potash (TSX:ICP) has announced the closing of a non-brokered private placement for proceeds of $690,200.
As quoted in the press release:
Each Unit consists of one common share of the Company (a “Common Share”); and (ii) one-half of one common share purchase warrant (each a “Warrant”). Each full Warrant entitles the holder to acquire one additional Common Share at an exercise price of $0.16 until March 1, 2018, provided that if, at any time after the date which is four months and one day following the Closing Date, the volume weighted average price of the Common Shares on the Toronto Stock Exchange (the “TSX”) equals or exceeds $0.21 for 18 consecutive trading days, the Company may accelerate the expiry date of the Warrants, in which event the Warrants will expire upon the date (the “Accelerated Expiry Date”) which is 30 days following the dissemination of a press release by the Company announcing the Accelerated Expiry Date. The Company paid a finder’s fee of $504 and no broker warrants.
The use of proceeds includes research and development of polyhalite as an organic fertilizer in the medical cannabis cultivation space. The initial focus will be to demonstrate the effectiveness of polyhalite as an organic fertilizer which is not only non-chloride but also a provides four macro and secondary nutrients for growing medicinal cannabis.
Mr. Mehdi Azodi, President and Chief Executive Officer of the Company stated, “The medical cannabis space is growing rapidly in Canada and internationally. Canada, Netherlands, Australia, Germany, Israel, Uruguay and Colombia have all passed legislation to allow for the cultivation of medical cannabis. The cultivation of the various strains of Cannabis plants in these different jurisdictions requires considerable fertilization by macro and micronutrients. All of the nutrients in polyhalite: Potassium, Magnesium, Calcium and Sulfate, are important nutrients for cannabis cultivation. Further, the cannabis leaves themselves benefit from non-chloride fertilizers and polyhalite is a non-chloride fertilizer. We are pleased to be expanding into this prolific space for future joint venture partners. The fact that polyhalite is an organic fertilizer makes this natural based product favorable to numerous international growers. Potassium takes part in the photosynthesis process, improves the resistance of plants, increases the consistency and strength of the plant, and increases the weight, density, and volume of the buds. Potassium, Sulfate, Calcium, and Magnesium all provide benefits during the vegetative and flowering stages of cannabis cultivation.”