Graph Blockchain Inc. (CSE:GBLC) is pleased to announce the Company has signed an LOI to acquire Shroom Street Limited
Graph Blockchain Inc. (“Graph” or “Company”) (CSE:GBLC) is pleased to announce the Company has signed a Letter of Intent (“LOI”) to acquire (the “Proposed Acquisition”) Shroom Street Limited (“Shroom”) for an aggregate purchase price of $1,000,000 CAD payable through the issuance of common shares in the capital of the Company at a deemed price of $0.05 per share.
The Proposed Acquisition is result of the formal review announced on September 18th, 2019 whereby management and the board of directors set out to identify strategic initiatives that could compliment the company’s blockchain technology in new verticals that create shareholder value.
Shroom Street is psychedelic focused brand that is developing a psychedelic truffle e-commerce marketplace, psychedelic lifestyle brand, and media company that covers the latest developments in psychedelic science, activism and investing.
“Implementing our private blockchain solutions into Shroom Street’s online marketplace will ensure the integrity and security of all transactions on the company’s e-commerce marketplace. The growth of the Cannabis industry has been staggering and the investors who were early enough profited greatly. Investing in medicinal mushrooms in 2019 is looking to generate returns like those experienced in Cannabis 6-7 years ago and we are excited to be a part of it,” says Jeffrey Stevens, Interim CEO of Graph Blockchain.
Shroom Street’s most distinctive strengths are it’s first mover advantage and its connections to leading experts and product suppliers in the psychedelic industry. Graph Blockchain’s acquisition of the company is an ideal fit as there is a pressing need for product tracking when it comes down to selling mushrooms containing psilocybin. Due to the strict regulations for these types of products around the world online sales of these products can prove difficult as substances containing psilocybin are currently legal only in Brazil, Jamaica, Netherlands and Samoa. Real-time visibility, verification and transparency of the supply chain can be achieved utilizing Graph Blockchain’s technology protecting consumers and the company from risk. Shroom Street plans to sell its products in all legal jurisdictions and is planning an official launch their website in early December.
Jeremy Prinsen commented, “I am thrilled to join Graph and am looking forward to implementing their technology to ensure we build a trusted and profitable business in the psychedelic industry.”
The closing date for the Proposed Acquisition is on or around December 31st, 2019 and is subject to the Company and Shroom entering into a definitive agreement, receipt of regulatory approval, the approval of the shareholders of Shroom and customary closing conditions. A finder’s fee of 10% of the transaction is payable in shares on closing.
About Graph Blockchain Inc.
The Company develops leading-edge private blockchain business intelligence and data management solutions. Graph leverages its proprietary integration of the AgensGraph Database engine with Hyperledger Fabric to create a transparent and immutable ledger with near real-time transactional data processing and intuitive data visualization.
Additional Information on the Company is available at: www.graphblockchain.com
For further information, please contact:
Jeffrey Stevens – Interim CEO
Phone: (647) 777-7974
Forward Looking Statements
This news release contains “forward-looking statements” within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking statements. In some cases, forward-looking statements can be identified by words or phrases such as “may”, “will”, “expect”, “likely”, “should”, “would”, “plan”, “anticipate”, “intend”, “potential”, “proposed”, “estimate”, “believe” or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions “may” or “will” happen, or by discussions of strategy. Readers are cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements. Such statements may prove to be incorrect and actual results may differ materially from those anticipated.
Forward-looking statements contained in this news release are expressly qualified by this cautionary statement and reflect the Company’s expectations as of the date hereof and are subject to change thereafter. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.