Cannabis Co. Nextleaf Solutions Prices Marketed Public Offering For Proceeds Of Up To $2.32M

Nextleaf Solutions Ltd. OILS OILFF, a federally regulated producer of cannabis oil distributing vapes and oils under its prohibition-era brand, Glacial Gold, announced the pricing of its marketed public offering of common units.

What Happened

The Company intends to issue units at a price of $0.20 per unit for aggregate gross proceeds of up to C$3 million ($2.32 million). Each unit will be comprised of one common share and one common share purchase warrant, exercisable to acquire one common share at an exercise price of $0.275 for a period of 24 months following the last closing date.

The offering is led by Research Capital Corporation as the sole agent and sole bookrunner. The Company has granted the agent an option to purchase up to an additional 15% of the units, and/or the components thereof, provided in the offering on the same terms and conditions, exercisable at any time, in whole or in part, for a period of 30 days following the last closing date for over-allotment and market stabilization purposes.

What’s Next

Nextleaf intends to use the net proceeds of the offering for the procurement and delivery of its cannabis products to various provincial markets nationally, for the partial repayment of principal and interest on a senior secured convertible note, for general and administrative expenses, and for working capital and general corporate purposes.

The offering is expected to close on or about December 21, 2021.