Invictus Pulls $40mm Convertible Note Deal and Locks in $20mm Equity Sale

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Invictus MD announces $20,000,000 Bought Deal Private Placement of Units

VANCOUVER, May 8, 2017 /CNW/ – INVICTUS MD STRATEGIES CORP. (“Invictus MD” or the “Company”) (TSXV: IMH; OTC: IVITF; FRA: 8IS) announces it has determined not to proceed with its previously announced offering of convertible debentures as set forth in a news release dated April 20, 2017 and instead will proceed with an offering of units with the same underwriting syndicate. Canaccord Genuity Corp. and Eventus Capital Corp., as co-lead underwriters and joint-bookrunners, on behalf of a syndicate of underwriters (collectively, the “Underwriters”), have agreed to purchase, on a bought deal private placement basis, subject to adjustment pursuant to the Underwriters’ Option (as hereinafter defined), 14,820,000 units of the Company (the “Units”), at a price of $1.35 per Unit (the “Offering Price”) for aggregate gross proceeds of $20 million (the “Offering”). Invictus MD’s board of directors determined that completing an equity financing on the terms of the Offering aligns better with the Company’s strategic objectives than the previously announced convertible debenture financing.

Invictus MD has also granted the Underwriters an option (the “Underwriters’ Option”) to purchase up to an additional 3,705,000 Units at the Offering Price, exercisable in whole or in part at any time for a period of 48 hours prior to the closing of the Offering. If the Underwriters’ Option is exercised in full, the aggregate gross proceeds of the Offering will be $25 million.

Each Unit will be comprised of one common share of the Company and one half of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”). Each Warrant will be exercisable to acquire one common share (a “Warrant Share”) for a period of 18 months following the closing date of the Offering at an exercise price of $1.75 per Warrant Share. Net proceeds from the Offering will be used for expansion plans for the Company’s assets and for general working capital purposes.

All securities issued or issuable under the Offering will be subject to a statutory hold period lasting four months and one day following the closing date.

Closing of the Offering is expected to occur on or about May 24, 2017 (the “Closing Date”). The Offering is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and stock exchange approvals, including the approval of the TSX Venture Exchange.

“The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.”

About Invictus MD Strategies Corp.

Invictus MD Strategies Corp. is focused on three main verticals within the burgeoning Canadian cannabis sector: Licensed Producers under the ACMPR located in both Alberta and Ontario, including Acreage Pharms Ltd. and AB Laboratories Inc. and Fertilizer and Nutrients through Future Harvest Development Ltd.; and Cannabis Data and Delivery, with its wholly owned subsidiary Poda Technologies Ltd.

For more information, please visit www.invictus-md.com.

Original press release: http://www.newswire.ca/news-releases/invictus-md-announces-20000000-bought-deal-private-placement-of-units-621635143.html

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Published by NCV Newswire
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