Cannasat Therapeutics Inc. Announces $5.0 Million Financing
Canada Newswire, June 7, 2022
June 7, 2022 - Toronto, Ontario - Cannasat Therapeutics Inc. (CTH - TSXV) is pleased to announce that it has entered into an engagement letter concerning a private placement, on a best efforts basis, of up to 15,151,515 Units of Cannasat at a price of C$0.33 per Unit, for aggregate gross proceeds of approximately C$5,000,000 (the “Offering”). Each Unit will consist of one common share and one-half of one share purchase warrant. Each whole share purchase warrant shall entitle the holder to acquire one common share at a price of $0.40 for a period of 24 months from the closing date.
The proceeds from the offering will be used to fund Cannasat’s ongoing research and development activities as well as working capital and general corporate services.
Dominick & Dominick Securities Inc. and Canaccord Capital Corporation are the Agents for this financing. In consideration for their services, the Agents will be paid a cash commission equal to 8% of the gross proceeds of the Offering, as well as broker warrants for 10% of the Units sold (up to 1,515,151 broker warrants, assuming that the Offering is fully subscribed). The broker warrants shall be exercisable for a period of 24 months from the closing date.
It is intended that the Offering will be made to “accredited investors” in the Provinces of Ontario, Alberta and British Columbia.
The Offering and closing of the financing is subject to regulatory approval from the TSX Venture Exchange Inc.
The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved of the contents of this release.
This news release contains forward-looking statements regarding the timing and content of upcoming programs and may be subject to regulatory approval. Actual results may differ materially from those currently anticipated in such statements.
About Cannasat Therapeutics
Cannasat Therapeutics is researching the therapeutic benefits of cannabis and developing new cannabinoid pharmaceutical products. Cannasat is pursuing two complementary business strategies. The first consists of development of novel cannabinoid-based pharmaceutical products through application of drug delivery technologies to be introduced to the market through the traditional regulatory drug approval process. The second is to promote medicinal cannabis research and education with Cannasat's business partner, Prairie Plant Systems Inc., the only government licensed grower and distributor of medicinal cannabis in Canada.
For more information please contact:
Cannasat Therapeutics Inc.
Andrew Williams
Vice President, Operations
W: (416) 703-2449 (Ext. 253)
F: (416) 703-8752
[email protected]
www.cannasat.com
