- EXMceuticals (EXM) has merged with Global Cannabinoids and launched concurrent equity financing
- GC services over 70,000 customers in the US with its over 1,000 product SKUs
- GC generated sales of approximately C$16 million in 2020
- The new company will operate under the Global Cannabinoids name
- EXMceuticals is an emerging biosciences company specializing in the production of unique cannabinoid formulations
- EXMceuticals (EXM) is trading flat at C$0.20 per share
EXMceuticals (EXM) has merged with Global Cannabinoids and launched concurrent equity financing.
Global Cannabinoids is a leading B2B U.S. distributor of bulk and wholesale hemp-derived cannabinoids and finished products. It services over 70,000 customers across the US with over 1,000 product SKUs and generated sales of approximately C$16 million in 2020.
The merger will allow the company to expand beyond the U.S. and import, export, research and refine cannabinoids and cannabis-based products through EXM’s Portugal hub into the European Union.
Management believes the merger will lead to strong revenue and cash flow from operations and position the company to capitalize on the expected US$123 billion global CBD industry.
“EXM could not be more excited to be combining operations with GC. As pioneers in the industry, the management team at GC have built a very impressive business footprint and distribution network while generating meaningful revenue,” commented Jonathan Summers, CEO of EXM.
“The team at EXM shares the same vision for the future as we do. GC’s commitment to quality, consistency and best-in-class pricing, combined with EXM’s global reach, will allow for rapid expansion to customers in emerging markets. We are incredibly excited for the opportunities ahead!” stated Kelly Ann Lewis-Bortman, GC’s Chief Executive Officer.
After the merger is in effect, the holders of GC will own approximately 66% of EXM’s shares, existing EXM shareholders will hold approximately 33% of the shares, and the new company will operate under the Global Cannabinoids name.
Lewis-Bortman will lead the new company as CEO while Jonathan Summers will take on the Chairman role.
The company, concurrent with the merger, is conducting a private placement at a price of C$0.15 per unit for proceeds of up to C$6 million.
Each unit consists of one EXM share and one half EXM share purchase warrant. Each warrant will entitle the holder to purchase an EXM share at a price of C$0.25 at any time up to 24 months following the date of issuance.
EXM expects to use the proceeds to fund the merger, the pro-forma business plan of the resulting company and for general corporate purposes.
EXMceuticals is an emerging biosciences company specializing in the production of unique cannabinoid formulations.
EXMceuticals (EXM) is trading flat at C$0.20 per share as of 1:12pm EST.
