Weekend Unlimited (CSE:POT)(FSE:0OS1)(OTCQB:WKULF) announces that it has closed the first tranche of a non-brokered private placement.
Weekend Unlimited Industries Inc. (“Weekend” or the “Company”) (CSE:POT)(FSE:0OS1)(OTCQB:WKULF) is pleased to announce that it has closed the first tranche of a non-brokered private placement (the “Offering”) of up to 16,000,000 units at a price of CDN $0.125 per Unit to raise minimum gross proceeds of CDN $2,000,000. Each unit consists of one common share and one share purchase warrant entitling the holder to purchase an additional common share for $0.17 for a period of 2 years from the issue date.
The warrants are subject to an acceleration clause whereby in the event the shares of the Corporation trade at or above a 10-day VWAP of $0.35 the holder may accelerate the expiry date upon 30 days’ notice.
The first tranche of the placement has closed for an aggregate total of $1,029,337.50 from the issuance of 8,234,700 Units. All of the securities issuable in connection with the Private Placement will be subject to a hold period expiring four months and one day after date of issuance.
Company insiders participated in the financing. Participation by insiders under the private placement is exempt from the valuation and minority shareholder approval requirements of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”) by virtue of the exemptions contained in Sections 5.5(b) and 5.7(1)(b) of MI 61-101.
In connection with the closing of the private placement, the Company paid finder’s fees of $78,495.00 in cash and issued 627,960 finder’s warrants. The finder’s warrants hold the same terms of the warrants issued as part of the Units.
The Company expects to close a second tranche of the offering in the near future.
The Company also announces that it intends to settle an aggregate of $49,532 of indebtedness (the “debt settlement”) through the issuance of common shares of the Company. Pursuant to the proposed debt settlement, the Company will issue 396,255 common shares to consultants and service providers of the Company in satisfaction of consulting fees owing and services provided. The Company has elected to settle the indebtedness through the issuance of common shares at a deemed value of $0.125 per share, preserving cash.
The debt settlement is subject to the approval of the CSE. All of the securities issuable in connection with the debt settlement will be subject to a hold period expiring four months and one day after date of issuance
For further information, please contact:
Mr. Chris Backus, President & CEO, Director
Telephone: 1(236) 317-2812
About Weekend Unlimited Industries Inc.
Weekend Unlimited is a lifestyle-based recreational cannabis company. The Company is developing premium products designed to deliver life’s highs, anytime, anywhere. With a presence in both the U.S. and Canada, Weekend Unlimited is well-positioned to launch and scale the brands that will define recreational cannabis. Learn more at www.weekendunlimited.com
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management’s current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “predicts”, “intends”, “targets”, “aims”, “anticipates” or “believes” or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions “may”, “could”, “should”, “would”, “might” or “will” be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.