Maple Leaf Green World Inc. (“Maple Leaf” or the “Company”) (NEO: MGW, OTCQX: MGWFF) announces that the Company has entered into a consulting agreement (the “Agreement”) with a Dutch company DHC B.V. (“DHC”). There are TWO main areas in the agreement:
— Assisting the Company to obtain financing
Pursuant to the Agreement, DHC will introduce persons and entities that might be interested to participate in one or more shares, preferred shares or other shares, debt or convertible debt ï¬nancing(s) of Maple Leaf of CAD$ 10,000,000 dollars (the “Funding”). Upon completion of the Funding DHC will work with Maple Leaf to complete and secure the federal licenses for the Telkwa facility, optimize the design of the Telkwa-facility within the already realized construction and circumstances, supervise the cultivation activities of Maple Leaf projects.
Upon successful closing of the Funding, Maple Leaf has agreed to issue ï¬ve million shares of Maple Leaf’s capital to DHC at a fixed price of $0.20 per share (hereinafter called “1st Funding Shares”) in the proportionate share of the amount of funds received by Maple Leaf i.e. one 1st Funding Share will be issued for every CAD$2 dollar received by Maple Leaf from the Funding. There will be no further compensation paid to DHC or any of its associates in relation to the Funding and DHC will bear all of its own expenses in connection with the Funding, except as may be otherwise pre-approved by Maple Leaf in the sole discretion of Maple Leaf.
DHC has also agreed to work with Maple Leaf in completing and licensing of the Telkwa-facility including reasonable changes to its design or equipment and cultivation of cannabis. The targets for the production of Cannabis shall be determined between Maple Leaf and DHC at a later date and included as an addendum to the Agreement. Such targets will be decided between Maple Leaf and DHC after the Telkwa-facility becomes operational and targets for first 2 crops will be set (hereinafter called the “1st Target” and the “2nd Target”).
In consideration of a favorable outcome of 1st Target and 2 Target, Maple Leaf has agreed to issue to DHC a further 10,000,000 shares – 5,000,000 for each of the 1 Target and 2 Target in the capital of Maple Leaf.
The issuance of all Funding Shares will be subject to approval of NEO Stock Exchange and withholding Taxes pursuant to Income Tax Act (Canada).
Maple Leaf will be the sole owner of any Intellectual Property speciï¬cally developed by DHC for an implementation in a Maple Leaf facility during the course of DHC’s involvement with Maple Leaf.
About DHC BV
DHC is a Dutch joint venture of DHP (website: www.dhprollc.com) and HGA Garden (website: www.hgagarden.com), combining HGA’s technical know-how, product development and production with DHP’s 30 years of experience in large scale cultivation operations. This new Dutch combination; DHC, therefore makes use of many years of experience in various areas of professional horticulture, resulting in providing the state of the art facilities with incomparable yields. DHC is specifically set up to focus on the emerging market of large-scale cultivation of cannabis and is continuously and passionately looking for innovation, efficiency and optimization.
“We are excited by entering into a tight business relationship with DHC, they are not only assisting us to raise the necessary funding with their international connections, we can also be ensured that our facilities are not only set up according to the latest standards of professional horticulture, but also that our crops are supervised by professional experts, leading to high quality yields” said Raymond Lai, President & C.E.O. of Maple Leaf.
For further information regarding the Company, please visit www.mlgreenworld.com.
About Maple Leaf Green World Inc.
Maple Leaf is a public Canadian company that focuses on the cannabis industry in North America. The Company currently operates cannabis projects in British Columbia and Nevada. With over ten years of extensive greenhouse management experience, the Company applies its eco-agriculture knowledge and cultivation technology to produce contaminant-free cannabis products. Maple Leaf’s long-term objective is to produce cannabis oil and to export its products to approved countries. The Company’s common shares are listed for trading on the Aequitas NEO Exchange Inc. under the symbol “MGW” and on the OTCQB market under the symbol “MGWFF”.
This press release includes certain statements and information that may be deemed “forward-looking statements” within the meaning of applicable Canadian securities legislation. Such forward-looking information relates to future events about Maple Leaf’s intended business plans and operations, including the entrance into the Agreement with DHC for raising of funds and production of cannabis, as well as the Company’s Application. All information other than historical fact may constitute forward-looking information within the meaning of applicable Canadian securities legislation.
Generally, forward-looking information can be identified by the forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget” or “budgeted”, “scheduled”, “estimates”, “projects”, “intends”, “proposes”, “complete”, “anticipates”, or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “can”, “could”, “would”, “might”, or “will be taken”, “occur”, or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties, and other factors that may cause the actual results, level of activity, performance, or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: risks related to the development and operation of the Company’s projects, risks associated with general economic conditions, adverse industry events, marketing costs, loss of markets, future legislative and regulatory developments involving medical and recreational cannabis, inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms, the medical and recreational cannabis industry in Canada and the United States of America and the jurisdictions where the Company operates generally, income and sales tax and regulatory matters, competition, crop failure, currency and interest rate fluctuations, regulatory approvals including approvals from municipal, provincial, county, state, and federal regulatory bodies in Canada and the United States of America. Although the Company has attempted to identify important factors that could cause results to differ materially from those contained in forward-looking information, there may be other factors that cause results to be materially different from those anticipated, described, estimated, assessed, planned, or intended. Accordingly, such list of factors are not exhaustive. Additional information on these and other factors which could affect the Company’s operations and financial results are discussed in the sections relating to risk factors of the business filed in the Company’s required securities filings with applicable securities commissions or other securities regulatory authorities and which may be accessed through the SEDAR website (www.sedar.com).
Specifically, this press release includes, but is not limited to, forward-looking information with respect to the Agreement with DHC raising of funds and production of cannabis and matters relating thereto, and the Company’s Application. Forward-looking information necessarily involves both known and unknown risks and uncertainties that could cause actual result to differ materially from those anticipated.
Although, the Company believes that expectations and assumptions reflected in the forward-looking information are reasonable, there can be no assurance that any forward-looking information will prove accurate, and actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. These forward-looking statements are made as of the date of this press release and the Company does not undertake to update any forward-looking information contained in this press release or that is incorporated by reference herein, whether as a result of new information, future events or results or otherwise, except in accordance with applicable securities laws.
For further information, please contact:
Maple Leaf Green World Inc.
Raymond Lai, Chairman, President & CEO