KELOWNA, BC / ACCESSWIRE / April 8, 2024 / Avant Brands Inc. (TSX:AVNT)(OTCQX:AVTBF)(FRA:1BU0) ("Avant" or the "Company"), a leading producer of innovative and award-winning cannabis products, today announces its intention to conduct a non-brokered private placement to secure up to $3,888,888 million in gross proceeds (the "Offering").
The Offering will consist of up to 45,751,623 units of the Company (the "Units") at a price of $0.085 per Unit. Each Unit will consist of one common share in the capital of the Company ("Common Share") and one Common Share purchase warrant (each Common Share purchase warrant, a "Warrant"). The Offering is expected to close on or about April 30, 2024, or on such other date or dates as the Company may determine. Each Warrant entitles the holder thereof to purchase one common share of the Company (a "Warrant Share") at a price of $0.12 for a period of 36 months following the closing date of the Offering. The gross proceeds from the Offering will be primarily used for general working capital purposes. The Company anticipates receiving a lead order totalling $600,000 from an existing strategic investor, reflecting their ongoing support and belief in Avant's strategic direction and potential for growth.
Any securities to be issued under the Offering will be subject to a hold period of four months and a day from the closing date of the Offering in accordance with the rules and policies of the Toronto Stock Exchange ("TSX"), and applicable Canadian securities laws and such other further restrictions as may apply under foreign securities laws. The Offering remains subject to the approval of the TSX.
It is anticipated that insiders of the Company may participate in the Offering. By virtue of their participation, the Offering would constitute a "related party transaction" under applicable securities laws. The Company expects to release a material change report including details with respect to the related party transaction less than 21 days prior to the closing of the Offering, which the Company deems reasonable in the circumstances so as to be able to avail itself of potential financing opportunities and complete the Offering in an expeditious manner. As the related party transaction will not exceed specified limits and will constitute a distribution of securities for cash, it is expected that neither a formal valuation nor minority shareholder approval will be required in connection with the Offering.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news 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 Avant Brands Inc.
Avant is an innovative, market-leading premium cannabis company. Avant has multiple operational production facilities across Canada, which produce high-quality, handcrafted cannabis products based on unique and exceptional cultivars.
Avant offers a comprehensive product portfolio catering to recreational, medical, and export markets. Our renowned consumer brands, including BLK MKT, Tenzo, Cognoscente, flowr and Treehugger, are available in key recreational markets across Canada. Avant's products are distributed globally to Australia, Israel and Germany, with its flagship brand BLK MKT currently being sold in Israel. Additionally, Avant's medical cannabis brand, GreenTec, serves qualified patients nationwide through its GreenTec Medical portal and trusted medical cannabis partners.
Avant is a publicly traded corporation listed on the Toronto Stock Exchange (TSX:AVNT) and accessible to international investors through the OTCQX Best Market (OTCQX:AVTBF) and Frankfurt Stock Exchange (FRA:1BU0). Headquartered in Kelowna, British Columbia, Avant operates in strategic locations including British Columbia, Alberta, and Ontario.
For more information about Avant, including access to investor presentations and details about its consumer brands, please visit www.avantbrands.ca.
For further inquiries, please contact:
Investor Relations at Avant Brands Inc.
1-800-351-6358
ir@avantbrands.ca
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION:
This press release contains forward-looking statements that are subject to inherent risks and uncertainties. Forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, market conditions, regulatory approvals, the Company's ability to raise capital, and the overall performance of the cannabis industry. Readers are cautioned not to place undue reliance on forward-looking statements, as actual results may vary materially from those expressed or implied by such statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Investors are urged to carefully consider the risks and uncertainties disclosed in the Company's filings with securities regulatory authorities, available on SEDAR+ at www.sedarplus.ca.
SOURCE: Avant Brands Inc.
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