Eve & Co Announces CAD$1M Private Financing
December 30 2020 - 5:36PM
Eve & Co. Incorporated (TSXV: EVE) (OTCQX: EEVVF) (the
“Company” or “Eve & Co”) announces that its wholly-owned
subsidiary Natural MedCo Ltd (“NMC”) has entered into a CAD$1M
financing loan with a private consortium of lenders (the “CAD$1M
financing” or the “Loan”).
The CAD$1M financing has a two-year term and is
to be received in two equal tranches of CAD$500,000. The first
CAD$500,000 tranche has been received – net of issuance costs of
approximately CAD$29,000 – and bears interest – payable monthly –
at 15% per annum for the first year and 11% per annum for the
second year. Monthly repayments of principal and interest can only
be made during the second year of the term. The principal
outstanding will be repaid to the Lender at the end of the two-year
term.
The second CAD$500,000 tranche will be received
from the Lender upon five days written request from NMC. It will
bear interest – payable monthly – at 15% per annum for the first
year and 11% per annum for the second year. Monthly repayments of
principal and interest can only be made during the second year of
the term. The principal outstanding will be repaid to the Lender at
the end of the two-year term. The second CAD$500,000 tranche will
only be available for the first year and a facility fee of 0.5% per
annum on this second tranche will accrue – and be paid – monthly to
the Lender. The Loan is secured by the assets of the Company and
NMC and guarantees and is expected to be used for general
corporate purposes.
ABOUT EVE & CO
INCORPORATED
Eve & Co, through its wholly-owned
subsidiary NMC, holds cultivation and processing licences under the
Cannabis Act (Canada) for the production and sale of various
cannabis products, including dried cannabis, cannabis plants and
extracts and has received its European Union certificate of Good
Manufacturing Practice which allows Eve & Co to distribute its
products to the European Union. NMC was Canada’s first
female-founded licensed producer of medicinal marijuana and
received its cultivation licence from Health Canada in 2016. Eve
& Co is led by a team of agricultural experts and has a
licensed 1,000,000 square foot greenhouse located in Strathroy,
Ontario. The Company’s website can be visited at
www.evecannabis.ca.
Forward-Looking Statements
This news release contains certain
forward-looking statements and forward-looking information
(collectively referred to herein as "forward-looking statements")
within the meaning of Canadian securities laws. Forward-looking
statements are frequently characterized by words such as "plan",
"continue", "expect", "project", "intend", "believe", "anticipate",
"estimate", "may", "will", "potential", "proposed" and other
similar words, or statements that certain events or conditions
"may" or "will" occur, and include, but are not limited to, the
negative of these words or other variations on these words or
comparable terminology. All statements other than statements of
historical fact are forward-looking statements. Undue reliance
should not be placed on forward-looking statements, which are
inherently uncertain, are based on estimates and assumptions, and
are subject to known and unknown risks and uncertainties (both
general and specific) that contribute to the possibility that the
future events or circumstances contemplated by the forward-looking
statements will not occur. Although the Company believes that the
expectations reflected in the forward-looking statements contained
in this press release, and the assumptions on which such
forward-looking statements are made, are reasonable, there can be
no assurance that such expectations will prove to be correct.
Forward-looking statements contained in this release including
statements with respect to the proposed use of proceeds of the
financing amongst other matters. Forward-looking statements are
subject to a variety of risks, uncertainties and other factors that
management believes to be relevant and reasonable in the
circumstances could cause actual events, results, level of
activity, performance, prospects, opportunities or achievements to
differ materially from those projected in the forward-looking
statements, including general business and economic conditions,
changes in laws and regulations, product demand, changes in prices
of required commodities, competition, the effects of and responses
to the COVID-19 pandemic and other risks, uncertainties and factors
set out under the heading "Risk Factors" in the Company's
management’s discussion and analysis dated November 26,
2020 (the "MD&A") and filed with Canadian securities
regulators available on the Company's issuer profile on SEDAR
at www.sedar.com. The Company cautions that the list of risks,
uncertainties and other factors described in the MD&A is not
exhaustive and other factors could also adversely affect its
results. Readers are cautioned not to place undue reliance on
forward-looking statements included in this document, as there can
be no assurance that the plans, intentions or expectations upon
which the forward-looking statements are based will occur. By their
nature, forward-looking statements involve numerous assumptions,
known and unknown risks and uncertainties that contribute to the
possibility that the predictions, forecasts, projections and other
forward-looking statements will not occur, which may cause the
Company's actual performance and results in future periods to
differ materially from any estimates or projections of future
performance or results expressed or implied by such forward-looking
statements. The forward-looking statements contained in this news
release are made as of the date hereof and the Company does not
undertake any obligation to update publicly or to revise any of the
included forward-looking statements, except as required by
applicable law. The forward-looking statements contained herein are
expressly qualified by this cautionary statement.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS
REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE
POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR
THE ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information please contact:
Melinda Rombouts President and Chief Executive
Officer Eve & Co Incorporated Telephone: (855) 628-6337
For further information please contact:
Rory Taylor Interim Chief Financial Officer Eve
& Co Incorporated Telephone: (855) 628-6337
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