SEATTLE–(BUSINESS WIRE)–Empower Clinics Inc. (CSE: EPW; FRA: 8EC), a leading owner and operator of medical cannabis and wellness clinics in the US, today announced that officers of the company, as well as significant founding shareholders of Empower’s predecessor company, have entered a three-year escrow related to the company common shares that represent more than 40% of the company’s currently issued and outstanding shares.
The escrow agreements provide that these shareholders will not sell or otherwise dispose of any shares, or enter into any transaction to such effect, directly or indirectly, unless detailed provisions of the escrow are met.
“These agreements reaffirm that Empower’s executive team and our largest shareholders believe strongly in the company’s vision and, more importantly, in our ability to continue executing our long-term growth strategy.” said Craig Snyder, Empower CEO.
The company also announced that it intends to close a non-brokered private placement (the “Offering”) of an aggregate principal amount of $575,060 in convertible debentures (the “Convertible Debentures”). Each Convertible Debenture will bear interest at a rate of 7% per annum, which will be payable in cash on the date that is one year from the closing date of the Offering (the “Maturity Date”). On the Maturity Date, all of the principal amount of the then outstanding Convertible Debentures will convert, at a conversion price of $0.18, into units consisting of one common share in the capital of the company (the “Common Shares”) and one warrant to purchase Common Shares at an exercise price of $0.19 per warrant for a period of one year from the Maturity Date.
The Convertible Debentures issued pursuant to this Offering will be subject to a hold period of four months and one day from the closing date of the Offering.
Empower is a leading owner and operator of medical cannabis and wellness clinics, as well as a developer of medical products in the US, focused on enabling individuals to improve and protect their health. The company provides treatment solutions through its physician-staffed clinics that are focused on education, data, and efficacy. Empower is a recognized leader and the first choice for patients seeking quality experience and improved health.
For further information about Empower please see the company’s website at www.empowerclinics.com.
Certain statements included in this press release constitute forward-looking information or statements (collectively, “forward-looking statements”), including those identified by the expressions “anticipate”, “believe”, “plan”, “estimate”, “expect”, “intend”, “may”, “should” and similar expressions to the extent they relate to the Company or its management. Forward-looking information contained in this news release includes, but is not limited to, the delisting of the Common Shares from the TSXV, the listing of the Common Shares on the CSE and the future growth plans of the Company. The forward-looking statements are not historical facts but reflect current expectations regarding future results or events and are therefore based on current expectations and various estimates, factors and assumptions and involve known and unknown risks, uncertainties and other factors.
Neither the TSXV, the CSE nor their Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.