Greek Medical Marijuana Company First To List On London Stock Exchange, Here's The SPAC Agreement

UK SPAC PLC SPC is a company whose share capital is listed on AIM, a member of the London Stock Exchange.

Recently, the London-listed shell company announced it has submitted "a prospectus to Britain's markets watchdog to complete its 45 million pounds ($51.80 million) reverse takeover (RTO)" of Hellenic Dynamics S.A., a medical marijuana producer based in a 200,000 square-meter facility in Northern Greece.

"The transaction has been "lengthy and complex" as Hellenic will be the first cultivator of medicinal cannabis to list on the London Stock Exchange's main market," UK SPAC said.

Background

On 2 August 2021, U.K. SPAC, announced it had signed a binding sale and purchase agreement with Hellenic Dynamics S.A. in relation to the acquisition of 100 percent of the issued share capital of Hellenic.

The Agreement

“By reason of the nature of Hellenic's business, however, it is necessary to obtain various legal opinions in multiple international jurisdictions and, in relation to certain of these jurisdictions, to undertake extended due diligence, all of which has had an impact on the estimated completion date for the Acquisition,” reads an update on the proposed RTO and Extension of Agreement.

UK SPAC chairman Peter Jay said in a statement, shareholders will "shortly receive a copy of the prospectus together with the notice of the general meeting to approve the resolutions necessary to enable the Company to complete the RTO process and confirmation of the completion date."

Reuters reported that the deal highlights two popular trends in markets in recent years - SPACs and medicinal cannabis.

Since 2018, doctors in the UK have been recommending medical cannabis for several health conditions, such as chronic pain, anxiety, post-traumatic stress disorder, insomnia and childhood epilepsy.

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Photo: Courtesy Of Stephen Cobb On Unsplash