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Generic Gold agrees to reverse takeover with cannabis company

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Generic Gold agrees to reverse takeover with cannabis company

Cannabis seeds provider OG DNA Genetics Inc. agreed to a reverse takeover of Generic Gold Corp. in a deal expected to be structured as a three-cornered amalgamation.

The deal is subject to various conditions including a definitive agreement and approval from DNA Genetics and Generic Gold shareholder. Generic Gold is planning a meeting in the second quarter.

The board and management of the resulting issuer will be replaced with DNA Genetics nominees, according to a March 25 release.

DNA Genetics CEO Charles Phillips is expected to take the same role at the combined company. Don Morris will serve as chief cannabis officer and Aaron Yarkoni will act as chief research officer.

The Generic Gold exploration portfolio consists of nine projects covering an aggregate 37,877 hectares in northwestern Canada's Yukon territory.

Nevada Zinc Corp. recently sold 25 million shares of Generic Gold for C$300,000 to drop its 66.34% interest and secured a right of first refusal on the sale of the Yukon properties until March 14, 2021.