TORONTO and RIONEGRO, Colombia, March 4,
2022 /CNW/ - PharmaCielo Ltd. ("PharmaCielo" or the
"Company") (TSXV: PCLO) (OTCQX: PCLOF), the Canadian parent of
Colombia's premier cultivator and
producer of medicinal-grade cannabis extracts, PharmaCielo Colombia
Holdings S.A.S. ("Holdings"), today provided investors with an
update on its non-brokered private placement of debenture
units.
As previously announced, the Company has completed the issuance
of $5,000,000 principal amount of its
debenture units ("Units") via a non-brokered private placement.
Further to PharmaCielo's news release dated February 4, 2022, the Company is in ongoing
discussions with specific parties and expects to close the issuance
of up to an additional $10,000,000
principal amount of Units in the coming weeks.
Each Unit consists of $1,000
principal amount of 11% secured debentures ("Debentures") and 250
non-transferable common share purchase warrants ("Debenture
Warrants"). Each Debenture Warrant entitles the holder to acquire
one common share of the Company (each a "Common Share") at an
exercise price of $1.44 per Common
Share until December 24, 2024
(subject to customary anti-dilution adjustments). The Debentures
bear interest at a rate of 11% per annum, mature on December 24, 2024, and are guaranteed by
Holdings. Holdings' guarantee of the Debentures will be secured by
mortgages on the real property of the Company and its subsidiaries.
Interest payable on the Debentures may be paid by the Company in
Common Shares at the Company's option, subject to approval of the
TSX Venture Exchange.
About PharmaCielo
PharmaCielo Ltd. (TSXV: PCLO, OTCQX: PCLOF) is a global company,
headquartered in Canada, with a
focus on ethical and sustainable processing and supplying of all
natural, medicinal-grade cannabis oil extracts and related products
to large channel distributors. PharmaCielo's principal (and wholly
owned) subsidiary is PharmaCielo Colombia Holdings S.A.S.,
headquartered at its cultivation and processing center located in
Rionegro, Colombia.
The board of directors and executive team of PharmaCielo are
comprised of a diversely talented group of international business
executives and specialists with relevant and varied expertise.
PharmaCielo recognized the significant role that Colombia's ideal location plays in building a
sustainable business in the medical cannabis industry, and the
Company, together with its directors and executives, is executing
on a business plan focused on supplying the international
marketplace.
Forward-Looking Statements
This news release contains forward-looking statements.
Forward-looking statements can be identified by the use of words
such as "expects", "is expected", "intends", "anticipates",
"believes", or variations of such words and phrases or state that
certain actions, events or results "may" or "will" be taken, occur
or be completed or achieved. Forward-looking statements in this
news release include, without limitation, statements regarding the
issuance of the Units, including the terms thereof and the closing
date therefor.
The forward-looking statements in this news release are
necessarily based on assumptions, including assumptions with
respect to PharmaCielo's ability to obtain necessary approvals for
the issuance of the Units.
Forward-looking statements can be affected by known and
unknown risks, uncertainties and other factors, including changes
to PharmaCielo's development plans, the failure to obtain and
maintain all necessary regulatory approvals relating to the export
of cannabinoid products and the import of these products into other
countries, TSX Venture Exchange approval, the inability to export
or distribute commercial products through sales channels as
anticipated due to economic or operational circumstances, risks
associated with operating in Colombia, fluctuation of the market price for
the Company's products, risks associated with global economic
instability relating to COVID-19 or other developments, risks
related to retention of key Company personnel, currency exchange
risk, competition in PharmaCielo's market and other risks discussed
or referred to under the heading "Risk Factors" in PharmaCielo's
Annual Information Form for the financial year ended December 31, 2019, which is available at
www.sedar.com. Accordingly, readers should not place
undue reliance on forward-looking statements. Except as required by
law, PharmaCielo undertakes no obligation to publicly update any
forward-looking statements, whether as a result of new information,
future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this press release.
SOURCE PharmaCielo Ltd.