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CannAmerica to raise C$10M to acquire cannabis brands

CannAmerica Brands Corp. said it plans to issue 33,333,333 units for 30 Canadian cents apiece for gross proceeds of up to C$10 million.

Each unit consists of one common share and one common share purchase warrant. Each warrant can be exercised at 50 Canadian cents per share for 60 months from the closing of the offering.

The Canadian medical cannabis company has given the agents an option to increase the size of the offering by up to an additional 33,333,333 units or C$10 million.

The company intends to use the net proceeds of the offering to expand its portfolio of brands through an acquisition strategy as well as for working capital and general corporate purposes.

Canaccord Genuity Corp. and Gravitas Securities Inc. are acting as co-lead agents for the placement.