TORONTO, Sept. 10, 2018 (GLOBE NEWSWIRE) — Emblem Corp. (TSXV: EMC, OTCQX: EMMBF) (“Emblem” or the “Company”), today announced its intention to purchase approximately $1 million of units (“Units”) of 10330698 Canada Ltd. d/b/a Compass Cannabis Clinic (“Compass”) at a price of $0.60 per Unit. Each Unit will consist of one common share in the capital of Compass (each, a “Compass Share”) and one-half of one common share purchase warrant, with each whole warrant entitling the holder purchase one (1) additional Compass Share at a price of $0.75 per share for a period of twenty-four (24) months, subject to adjustments in certain events.
Compass and its wholly owned subsidiary adult-use retail entity Starbuds Canada have forty confirmed leases for locations across Canada, a mix of operational clinics that are now open, in development, or in preparation with the intended use of becoming retail cannabis stores upon legalization on October 17, 2018. Starbuds Canada – licensee of the Starbuds brand name for Canada from Starbuds based out of Denver, Colorado – has an aggressive expansion plan across Ontario, British Columbia, Alberta and Saskatchewan to serve cannabis enthusiasts across Canada. A wholly-owned subsidiary of Compass, Starbuds Canada has received a cannabis retail license or a conditional license in two provinces along with a dozen retail development permits across the province of Alberta.
Compass has a highly regarded reputation as a leading provider of cannabis education and patient-centred care. Emblem is committed to supporting Compass’ continued mission to provide the best in patient care now, and upon legalization with a new consumer audience after October 17, 2018.
Nick Dean, CEO, Emblem Corp
Building a strong presence in the retail environment will be key to connecting directly with consumers through customer education, product information and building brand affinity. We look forward to working with Compass to provide cannabis consumers with an exceptional retail experience.
Emblem’s investment in Compass is subject to customary closing conditions and is expected to be completed on or about September 30, 2018.
Emblem, through its wholly-owned subsidiary Emblem Cannabis Corporation, is a fully integrated licensed producer and distributor of medical cannabis and cannabis derivatives in Canada under the ACMPR. Emblem’s state-of-the-art indoor cannabis cultivation facility and research and development laboratory is located in Paris, Ontario. Led by an experienced management team of healthcare executives, accomplished marketing professionals, and cannabis experts, Emblem is focused on driving shareholder value through product innovation, brand relevance, and access to patient and consumer channels. Emblem is also the parent company of GrowWise Health Limited, one of Canada’s leading cannabis education services. Emblem trades under the ticker symbol EMC on the TSX Venture Exchange.
Compass, through Compass Cannabis Clinics is a medical cannabis consultation company whose core business is focused on providing educational and consultation services to Canadians who are able to obtain cannabis from a licensed producer under the ACMPR. With a rapidly growing patient base of approximately 8,000 patients currently being served and an aggressive real estate acquisition strategy, the company aims to be one of the largest retail cannabis organizations in Canada with ongoing development strategies to expand internationally. Compass Cannabis Clinics is a licensee of the Starbuds brand name in Canada from Starbuds based out of Denver, Colorado Learn more about Compass at https://compasscannabis.ca/.