Update on MMJ’s investment in Harvest One
MMJ Group Holdings Limited (ASX:MMJ) (“MMJ”), an Australian-listed company that specialises in managing a portfolio of investments along the cannabis value-chain, is pleased to advise that it has entered into an agreement with Harvest One Cannabis Inc. (“HVT” or “Harvest One”) (TSX-V: HVT; OTCQX: HRVOF) pursuant to which MMJ has agreed to defer the repayment of its secured loan to Harvest One in the amount of CAD2.0 million (the “Loan”) until July 17, 2020, in continued support of Harvest One’s previously-announced strategic review initiatives.
MMJ is the largest shareholder holding approximately 26% of HVT which is one of the largest investments within the MMJ cannabis and hemp portfolio.
MMJ’s investment in HVT comprises of:
- 55,557,994 common shares of HVT (the “Common Shares”) with a market value of approximatelyCAD6 million
- A CAD2.0 million secured loan bearing interest of 15% per annum with a maturity date of June 8,2020. HVT granted MMJ a security interest in all current and after acquired property of HVT andits subsidiaries, subject to certain permitted liens.
- 17,083,333 Common Share purchase warrants (the “Warrants”). Each Warrant will entitle theholder to purchase one Common Share at a price of CAD0.06 at any time until the earlier of:
(i)the date of the further extension or renewal of the Loan; and
(ii)April 3, 2022.
Harvest One is a global cannabis company that develops and provides innovative lifestyle and wellness products to consumers and patients in regulated markets around the world.
Read the HVT Announcement here.
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