Blueberries Medical Scores CA$1M In Financing, Confirms Leadership Changes

Latin American medicinal cannabis producer Blueberries Medical Corp. BBM BBRRF collected CA$1 million ($788,495) via a non-brokered private placement sale at CA$0.065 per share.

Buenos Aires, Argentina-based private equity firm FLA Ventures Ltd. led the offering and is now a Blueberries partner. Its shareholders back one of the biggest media groups in Argentina, as well as one of the biggest networks of medical centers in Latin America.  

Blueberries Medical plans to utilize the collected proceeds to finance its portfolio production, marketing, and improvements at its facility.

“This strategic investment is a tremendous accomplishment for Blueberries and positions the company for commercial success," Facundo Garretón, Chairman and Interim Chief Executive Officer said in a statement. "The FLA Ventures team is comprised of some of the most successful and highly respected entrepreneurs and investors in Latin America who also have extensive involvement and expertise in the cannabis industry.

Garretón said he looks forward to leading Blueberries and "execute on a domestic and international business plan.”

• Leadership Changes

In relation to the financing, several changes to the company’s leadership team have been made:

• Christian Toro stepped down from the position of Chairman and CEO, and was replaced by Facundo Garretón, who became Chairman and Interim CEO;
• Sebastian Hochbaum joined the board of directors;
• Directors Fabio Valencia Cossio, Dr. Andres Vidal, Francisco Sole, Matthew Bajurny, and Paola Castañeda, all resigned from the board;
• After these changes the board counts four directors - Facundo Garretón, Patricio Villalba, Catherine Lathwell, and Sebastian Hochbaum, while the fifth director is yet to be nominated by FLA Ventures;
• The audit committee of the board was transformed with the additions of Catherine Lathwell, Patricio Villalba, and Facundo Garreton.

Blueberries Medical compensated Garreton and Hochbaum each; Garreton was provided with 250,000 compensation shares and 1.75 million options, while Hochbaum was given 500,000 options to buy common shares of the company at a price of $0.13 per share in the next five years.