/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
OR DISSEMINATION IN THE UNITED
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TORONTO, Nov. 9, 2020 /CNW/ - Khiron Life Sciences
Corp. ("Khiron" or, the "Company") (TSXV: KHRN)
(OTCQB: KHRNF) (Frankfurt:
A2JMZC), a vertically integrated cannabis leader with core
operations in Latin America and
Europe, is pleased to announce
that it has entered into an agreement with Canaccord Genuity Corp.,
as lead underwriter and sole bookrunner, on behalf of a syndicate
of underwriters (together, the "Underwriters"), to increase
the size of its previously announced "bought deal" financing from
$10,012,500 to $12,600,000. Pursuant to the amended terms, the
Underwriters have agreed to purchase 28,000,000 units of the
Company (each, a "Unit"), on a "bought deal" basis, pursuant
to a short form prospectus at a price per Unit of $0.45 (the "Issue Price") for gross
proceeds of $12,600,000 (the
"Offering").
The Company has also granted the Underwriters an over-allotment
option (the "Over-Allotment Option") to purchase up to an
additional 15% of the Units at the Issue Price at any time on or
prior to the date that is 30 days following the closing of the
Offering. If this option is exercised in full, the Company will
receive an additional $1,890,000 in
gross proceeds for total aggregate gross proceeds of $14,490,000.
Each Unit will be comprised of one common share in the capital
of the Company (each, a "Common Share"), and one warrant
(each, a "Warrant"). Each Warrant will entitle the holder
thereof to purchase one Common Share at an exercise price of
$0.75, for a period ending five years
from the closing of the Offering.
The Company intends to use the net proceeds of the Offering to
expand the Company's operating capacity and for working capital
requirements and other general corporate purposes.
In connection with the Offering the Company has agreed to pay
the Underwriters a cash commission equal to 6.0% of the gross
proceeds raised from the Offering (including on any exercise of the
Over-Allotment Option), and non-transferable compensation options
equal to 6.0% of the Units sold under the Offering. Each
compensation option will be exercisable at the Issue Price to
acquire one Unit for a period of 24 months following the
closing of the Offering.
The closing date of the Offering is scheduled to be on or about
November 26, 2020 and is subject to
certain conditions including, but not limited to, the receipt of
all necessary approvals, including the approval of the TSX Venture
Exchange ("TSXV") and the applicable securities regulatory
authorities.
About Khiron Life Sciences Corp.
Khiron is a medical and CPG cannabis company with core
operations in Latin America, and
operational activity in Europe and
North America. Khiron is the
leading cannabis company in Colombia and the first company licensed in
Colombia for the cultivation,
production, domestic distribution and sales, and international
export of both low and high THC medical cannabis products. The
Company has filled medical cannabis prescriptions in Peru and has a presence in Mexico, Uruguay, UK, Spain and also in Germany, where it is positioned to begin sales
of medical cannabis.
Leveraging its first-mover advantage and patient-oriented
approach, Khiron combines global scientific expertise, product
innovation, agricultural infrastructure, wholly-owned medical
clinics, and online doctor education programs to drive prescription
and brand loyalty to address priority medical conditions. Its
Wellbeing unit launched the first branded CBD skincare brand in
Colombia, with Kuida TM now
marketed in multiple jurisdictions in Latin America, the US and UK. The Company is
led by Co-founder and Chief Executive Officer, Alvaro Torres, together with an experienced and
diverse executive team and Board of Directors.
Further information on Khiron can be found
at https://investors.khiron.ca/ and on Instagram
@khironlife.
CAUTIONARY NOTES
Forward-Looking Statements
This press release contains forward-looking information based on
current expectations. These statements should not be read as
guarantees of future performance or results. Such statements
involve known and unknown risks, uncertainties and other factors
that may cause actual results, performance or achievements to be
materially different from those implied by such statements.
Although such statements are based on management's reasonable
assumptions, Khiron assumes no responsibility to update or revise
forward-looking information to reflect new events or circumstances
unless required by law. Although the Company believes that the
expectations and assumptions on which the forward-looking
statements are based, including those regarding the Offering, the
intended use of proceeds and the receipt of requisite TSXV and
securities regulatory approvals, are reasonable, undue reliance
should not be placed on the forward-looking statements because the
Company can give no assurance that they will prove to be correct.
Since forward-looking statements address future events and
conditions, by their very nature they involve inherent risks and
uncertainties. These statements speak only as of the date of this
press release. Actual results could differ materially from those
currently anticipated due to a number of factors and risks
including various risk factors discussed in the Company's
disclosure documents, which can be found under the Company's
profile on www.sedar.com. This press release contains
"forward-looking statements" within the meaning of Section 27A of
the U.S. Securities Act of 1933, as amended, and Section 21E the
U.S. Securities Exchange Act of 1934, as amended and such forward
looking statements are made pursuant to the safe harbour provisions
of the U.S. Private Securities Litigation Reform Act of 1995.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this press
release.
The securities subject to the Offering have not been and will
not be registered under the U.S. Securities Act of 1933, as
amended, (the "U.S. Securities Act") and may not be offered
or sold in the United States
absent registration under or an applicable exemption from the
registration requirements of the U.S. Securities Act. This press
release does not constitute an offer to sell or the solicitation of
an offer to buy the securities herein described, and shall not
constitute an offer, solicitation or sale in any jurisdiction in
which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of that
jurisdiction.
SOURCE Khiron Life Sciences Corp.