World News: 13:00 GMT Friday 11th January 2019. [Aura Health Inc via Globe Newswire via SPi World News]
TORONTO, Jan. 11, 2019 (GLOBE NEWSWIRE) -- Aura Health Inc. (the "" or “”) () is pleased to announce that on January 10, 2019 (the “”) it closed its previously announced non-brokered private placement raising gross proceeds of $1,724,099.85 (the “”). The Offering was upsized from $1,500,000, as announced on January 8, 2019. The net proceeds from the Offering shall be used for general working capital and to advance the Company’s involvement in two Israeli cannabis companies, HolyCanna and CannabiSendak.
Upon closing, the Company issued 11,493,999 units of the Company (each, a “” and collectively, the “”). Each Unit was sold at a price of $0.15 and was comprised of one common share in the capital of the Company (each a “”) and one-half of one common share purchase warrant, exercisable at $0.25 for a period of 24 months from the Closing Date.
In connection with the Offering, the Company issued 122,160 non-transferable finders warrants (each a “”) and paid a cash fee to finders in the amount of $18,324. Each Finder’s Warrant is exercisable at a price of $0.25 to purchase one Common Share for a period of 24 months from the Closing Date.
Daniel Cohen, Chief Executive Officer of Aura, subscribed to 400,000 Units and Howard Brass, Chief Operating Officer of Aura, subscribed to 100,000 Units (together, the “”). Such participation is considered to be a related party transaction within the meaning of Multilateral Instrument 61-101 – (“”). However, this related party transaction is exempt from minority approval, information circular and formal valuation requirements pursuant to Sections 5.5(c) and 5.7(b) of MI 61-101, since:
All securities issued in connection with the Offering will be subject to a hold period of four months plus one day from the Closing Date. The Offering remains subject to the approval of the Canadian Securities Exchange.
Aura is building an international network of vertically integrated cannabis assets. The Company holds convertible debt that converts to 54% equity of HolyCanna, a cultivation and nursery license holder in Israel, and has an LOI in place to acquire the majority of CannabiSendak, the builder of a network of high-profile dispensaries in Israel. Aura also owns a 30% interest in four medical marijuana clinics in the U.S. Sun Belt, with an option to increase its interest in three of the clinics to 51%.
Globe Newswire: 13:00 GMT Friday 11th January 2019
SPi News is published by Sector Publishing Intelligence Ltd.
© Sector Publishing Intelligence Ltd 2019. [Admin Only]
Sector Publishing Intelligence Ltd.
Agriculture House, Acland Road, DORCHESTER, Dorset DT1 1EF United Kingdom
Registered in England and Wales number 0751938.