Cannabis Market

Australis Capital Invests $8 Million into Body Mind Inc.

By November 4, 2018 No Comments

Australis Capital inc. (CSE: AUSA) announced on October 30th that the company has entered into a definitive investment agreement with Body and Mind Inc. (USOTC: BMMJ). The investment agreement between the two companies is an $8 million investment that is comprised of one common share and one common share purchase warrant per unit. Each unit of Body and Mind, or BaM, is at the purchase price of $0.40 and will total to $6.4 million with the acquisition of 16,000,000 units. The remaining $1.6 million out of the total investment made by Australis went to unsecured convertible debentures of Body and Mind that will mature two years after the date of issuance. Australis Chief Executive Officer, Leonard Clough, said, “We are delighted to partner with Australis, the premier influencer in the sector, in what is a transformational endorsement for Body and Mind “.

Australis’ terms within the investment agreement ensures that negotiations for exclusive use rights from BaM will occur and that a future successful negotiation will result in a licensing agreement for the exclusive use of the Body and Mind brand outside of the United States.

An additional term within the agreement includes that the company’s wholly-owned subsidiary, Australis Capital Nevada Inc. (Australis Nevada), will be entered into a commercial advisory agreement with Body and Mind. Australis Nevada’s role in an advisory position will be to provide to BaM advisory and consulting services.

Leave a Reply