Capital will Allow 4Front to Pursue Accretive Acquisitions as Companies Work Towards Definitive Agreement and Closing of Transaction
VANCOUVER, BC, December 28, 2018 - Cannex Capital Holdings Inc. (CSE: CNNX) (“Cannex” or the “Company”) is pleased to announce that it has issued 4Front Holdings LLC (“4Front”) a demand unsecured promissory note which allows 4Front to draw-down up to US$8,000,000 (the “Note”). The Note will provide 4Front additional capital to execute on growth initiatives and potential acquisitions while Cannex and 4Front move towards their previously announced business combination (the “Transaction”). No funds have been advanced by Cannex to 4Front at this time.
“As we work diligently towards the signing of a definitive agreement combining our businesses, we want 4Front to be in a position of having additional capital available to execute on projects which will be strategically important to the combined entity” said Anthony Dutton, Cannex’s CEO. “We also anticipate that a significant portion of the capital may be deployed to expand 4Front’s facilities in Illinois and Massachusetts. Cannex’s team, including its COO Leo Gontmakher, are already working on planning the expansions in those facilities.”
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