CALGARY, Alberta, Oct. 16, 2018 (GLOBE NEWSWIRE) – Maple Leaf Green World Inc. (“Maple Leaf“or the”Society”) (NEO: MGW, OTCQX: MGWFF) accepted a loan offer from Silver Arch Capital Partners (the “Lender“) Providing for a maximum amount of $ 5,250,000 (the”To lend“). The proceeds of the loan will be used for the completion of construction of real estate and improvements for the Company’s cannabis cultivation facility located in Telkwa, British Columbia (the “”Telkwa installation“). The maximum initial loan drawdown is $ 2,875,000. Silver Arch Capital Partners is a private lender in the commercial real estate market based in Hackensack, NJ, USA. Website: www.silverarchcp.com.
The loan collateral consists of the real estate and related improvements located at the Telkwa power plant. The Loan will be evidenced by a full set of loan documents, a first mortgage or deed of trust covering the Telkwa Facility, providing the Lender with first class security interest in the Telkwa Facility.
The interest rate for the term of the loan will be equal to the greater of (i) twelve percent (12%); and (ii) the sum of (a) the Wall Street Journal prime rate, plus (b) 700 basis points. The term of the loan is 18 months, interest only, and there may be two six-month extensions, on payment of 1% of the loan amount by extension and provided the loan is not in default. The origination fee is three percent (3%) of the loan amount. In the event that the loan is not advanced or the company fails to close the loan, the company has agreed to pay the lender a breakage fee of 1% of the loan amount in the event that the company accepts the loan. loan offer and the Company does not enter into the loan with the lender.
The loan is expected to be advanced on or around November 9, 2018, or such other date as may be determined by the lender. There can be no guarantee that the maximum loan amount will be advanced or not at all by the lender, as the closing will also be subject to full and acceptable due diligence and customary loan documentation. Further information regarding loan closure will be released in due course.
For more information about the Company, please visit www.mlgreenworld.com.
About Maple Leaf Green World Inc.
Maple Leaf is a Canadian public company focused on the cannabis industry in North America. The Company currently operates cannabis projects in British Columbia and Nevada. With over ten years of experience in greenhouse management, the company applies its knowledge of eco-agriculture and cultivation technology to produce organic cannabis products without contaminants. Maple Leaf’s long-term goal is to produce cannabis oil and 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 OTCQX market under the symbol “MGWFF”.
This press release includes certain statements and information that may be considered “forward-looking statements” within the meaning of applicable Canadian securities laws. This forward-looking information relates to future events relating to Maple Leaf’s business plans and planned activities, including the entry into the loan as well as the construction of the Telkwa plant. All information other than historical facts may constitute forward-looking information within the meaning of applicable Canadian securities legislation.
In general, forward-looking information can be identified by forward-looking terminology such as “plans”, “expects” or “does not expect”, “is planned”, “budget” or “budgeted”, “planned” , “Estimates”, “plans”, “intends”, “proposes”, “completes”, “anticipates” or “does not anticipate”, or “believes”, or variations of these words and expressions or declares that certain actions, events or results “may”, “may”, “could”, “would”, “could”, or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors which may cause the actual results, level of activity, performance or achievements of the Company to differ materially from those expressed or implied by this forward-looking information. , including, but not limited to: risks associated with the development and operation of the Company’s projects, risks associated with general economic conditions, adverse industry events, marketing costs, loss markets, future legislative and regulatory developments relating to medical and recreational cannabis, the inability to access sufficient capital from internal and external sources, and / or the inability to access sufficient capital on favorable terms, l ‘medical and recreational cannabis industry in Canada and the United States of America and the jurisdictions in which the Company operates generally, income and sales tax and issues, competition, crop failures, currency fluctuation and interest rates ons, regulatory approvals, including approvals from municipal, provincial, county, state and federal regulatory agencies in Canada and the United States from America. Although the Company has attempted to identify important factors which could cause results to differ materially from those contained in the forward-looking information, there may be other factors which cause results to differ materially from those anticipated, described. , estimated, evaluated, planned or intended. Therefore, this list of factors is not exhaustive. Additional information on these and other factors that could affect the operations and financial results of the Company is discussed in the sections relating to business risk factors filed in the required securities filing documents of the Company with applicable securities commissions or other securities regulatory authorities and which can be accessed through the SEDAR website (www.sedar.com).
Specifically, this press release includes, without limitation, forward-looking information regarding the Telkwa Loan and Facility, and matters relating thereto. Forward-looking information necessarily involves known and unknown risks and uncertainties which could cause actual results to differ materially from those anticipated.
Although the Company believes that the expectations and assumptions reflected in the forward-looking information are reasonable, there can be no assurance that the forward-looking information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Therefore, 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 incorporated by reference therein, whether as a result of new information, future events or results or otherwise, except in accordance with applicable securities laws.
For more information, please contact:
Green World Maple Leaf Inc.
Raymond Lai, Chairman of the Board, President and Chief Executive Officer
+1 (403) 452-4552
+1 (403) 452-6900