Scythian Biosciences Completes Financing Deal

Scythian Biosciences (TSXV:SCYB; OTCQB:SCCYF) announced the completion of a bought deal with Aphria (TSX:APH; OTCQB:APHQF) acting as a lead investor.

As quoted in the press release:

A total of 772,943 units of the Company (“Units”) were sold at a price of $18.60 per Unit (the “Issue Price”) for gross proceeds of C$14,376,740 (including the full exercise of the over-allotment option). The Offering was completed by a syndicate of underwriters led by Clarus Securities Inc. as lead underwriter and sole bookrunner, and including Haywood Securities Inc. and INFOR Financial Inc. (the “Underwriters”). Each Unit was comprised of one common share of the Company (a “Unit Share”) and one common share purchase warrant (a “Warrant”). Each Warrant entitles the holder thereof to purchase one common share of the Company at a price of C$22.00 for a period of 24 months following the date hereof. The Units were offered and sold in the provinces of British Columbia, Alberta and Ontario.

In connection with the Offering, the Company also issued and sold on a concurrent, “bought deal” brokered private placement of 672,125 Units for re-sale to Aphria Inc. (TSX:APH) on the same terms and conditions as the Offering for gross proceeds of C$12,501,525 (the “Concurrent Private Placement”).  In addition, the Underwriters exercised, in full, an option under the Concurrent Private Placement to acquire an additional 100,818 Units for additional gross proceeds of C$1,875,215 for resale to additional subscribers on an exempt basis. The combined gross proceeds from the Offering and the Concurrent Private Placement was C$28,753,480.  The Concurrent Private Placement was also led by Clarus Securities Inc., as lead underwriter and sole bookrunner on behalf of the Underwriters. The Units and underlying securities issued and issuable under the Concurrent Private Placement are subject to a statutory four month hold period ending on June 14, 2018.

The net proceeds of the Offering and Concurrent Private Placement are expected to be used by Scythian for continued research with the University of Miami, general corporate purposes and potential acquisitions in the cannabis space.

Click here to read the full press release.

Source: marijuanaindex.com