Canadian medical marijuana company Maricann Group Inc. downsized its previously announced C$40 million private placement of securities.

The company will now offer up to C$30 million of special warrants at C$1.60 each.

Each warrant will be convertible into units of the company, with each unit consisting of one common share and a share purchase warrant. Each warrant will allow the holder to buy one Maricann common share for C$1.75 within a two-year period.

The offering is expected to close by Aug. 3 and the net proceeds will be used for working capital and general corporate purposes.

Canaccord Genuity Corp. and GMP Securities LP are acting as joint book runners and co-lead agents in the transaction.