Scythian Biosciences (TSXV:SCYB) shared an update of its presence and acquisitions in Colombia.
As quoted in the press release:
Scythian Biosciences is pleased to announce that Colombian-based Colcanna SAS (“Colcanna”), has received a licence for the cultivation and importation of Tetrahydrocannabinol (“THC”) by the Ministry of Justice and Law of Colombia. With this additional licence, Colcanna is now authorized to cultivate, import, extract and produce THC, as well as cannabidiol – two of the main constituents of cannabis.
Additionally, MMJ Colombia Partners, a privately-held Ontario company, has completed its acquisition of 90 [percent] of Colcanna SAS.
In April, 2018, Scythian announced that it had entered into a binding letter of intent to acquire MMJ Colombia Partners. MMJ Colombia Partners’ closing of its 90 [percent] stake in Colcanna SAS moves Scythian a step closer to that acquisition.
Amendments to Letter of Intent
Scythian today also announced the following amendments to its letter of intent to acquire MMJ Colombia Partners, such that the revised consideration is as follows:
Scythian has advanced USD$6,200,000 to MMJ Colombia, such amount secured by all of the assets of MMJ Colombia, including its interests in Colcanna;
Scythian will issue on the closing date CDN$24,300,000 of common shares in the capital of Scythian (the “Common Shares”) at an issue price equal to the volume weighted average price of the Common Shares over the 20 trading days prior to the closing date of the acquisition, provided that no less than 4,768,875 Common Shares will be issued as share consideration; and
Scythian will assume on the closing USD$5,000,000 of non-interest bearing, unsecured promissory notes for the following amounts due on the following dates: a. USD$4,000,000 on October 15, 2018; andb. USD$1,000,000 on December 31, 2018.