Stillcanna's Acquisition of Sativa Group PLC of the United Kingdom Receives 99% Shareholder Approval from Sativa
Stillcanna Inc. (OTC PINK:SCNNF) announced that shareholders of Sativa Group PLC have overwhelmingly approved its acquisition, with a special shareholder meeting scheduled for August 27, 2020. Stillcanna plans to resume trading in September, following the completion of the acquisition and listing on the AQSE. Stillcanna has secured all necessary licenses for CBD manufacturing at its ORIGIN extraction facility. However, it terminated its joint venture agreement with Dragonfly Biosciences due to alleged breaches, and is pursuing legal action against them for damages and ownership claims.
- Acquisition of Sativa Group PLC approved by 99% of shareholders.
- All required licenses for CBD manufacturing have been secured.
- Strategic expansion by planning to list on the AQSE post-acquisition.
- Termination of the joint venture agreement with Dragonfly Biosciences.
- Ongoing legal action against Dragonfly for contractual breaches.
VANCOUVER, BC / ACCESSWIRE / August 19, 2020 / Stillcanna Inc. (OTC PINK:SCNNF) (CSE:STIL) (FRANKFURT:A2PEWA) ("STIL" or the "Company"), is pleased to announce that the shareholders of Sativa Group PLC, one of the United Kingdom's (UK) first medical Cannabis Companies, have overwhelmingly voted in favour of the acquisition.
On August 27, 2020 Stillcanna is holding a special meeting of its shareholder to vote on the Sativa Group acquisition. It is anticipated that Stillcanna shares will resume trading the first week of September.
The details of the acquisition where previously announced on June 3, 2020. Stillcanna will continue to trade, or otherwise be quoted on the CSE, OTC and FSE following completion of the acquisition. Stillcanna intends to list the Stillcanna shares on the AQSE on or shortly after the effective date in order to maintain access to the AQSE for shareholders of the combined group. This is subject to Stillcanna completing the relevant admission process with the AQSE.
"I am delighted the Sativa shareholders have so fully embraced our proposed acquisition of the Sativa Group of Companies," stated Jason Dussault CEO of Stillcanna. We are fast approaching the final stages of this acquisition and the entire Stillcanna team looks forward to monetizing on the combined strengths of the new entity."
As previously announced on April 21, 2020 all required licenses and permits to commence the manufacturing of CBD at the ORIGIN extraction facility have been secured. The facility was constructed through a joint venture partnership with Dragonfly Biosciences Limited of the UK. Borganic Consulting had initiated legal action in the UK against Dragonfly Biosciences for contractual breaches under the partnership agreement.
Further to the announcement on April 21, 2020 Stillcanna Inc.'s subsidiary Borganic Consulting Inc. ("Borganic") has, with immediate effect today, terminated its Joint Venture agreement dated December 4, 2018 with Dragonfly Biosciences Limited ("Dragonfly").
The termination includes a claim for Dragonfly's share of the Joint Venture extraction facility.
Proceedings issued in the English High Court have also been served by Borganic today on Dragonfly and also on Ms Radostina Draganova-Nikolova, a director of Dragonfly and general manager of the Joint Venture company.
In the proceedings served by Borganic it seeks declarations from the English High Court that:
- Dragonfly has materially and persistently breached the Joint Venture agreement which constitutes a compulsory transfer event in favour of Borganic;
- The notice of termination and compulsory transfer event served by Dragonfly on August 3, 2020 is null and void; and
- Borganic retains ownership in the equipment it has financed at the Joint Venture extraction facility.
Borganic also claims damages against Dragonfly for the losses it has suffered as a result of Dragonfly's alleged breaches of the Joint Venture agreement.
About Sativa Group PLC
The Sativa Group PLC joined the UK's NEX market in March 2018 as the UK's first medicinal cannabis investment vehicle.
The business evolved to focus on the development of an operational business capitalizing on its first-mover advantage. This change transitioned the Company from an investment Company to an operating Company at the forefront of both the CBD wellness and medicinal cannabis sectors in the UK.
About Stillcanna Inc.
Stillcanna Inc. (CSE: STIL) www.stillcanna.com is a Canadian early-stage life sciences Company focused on the large scale manufacturing of CBD in Europe. The Company believes its proprietary intellectual property allows it to extract CBD at a lower cost. The Company has signed an initial extraction contract in Europe to be the exclusive extractor for Dragonfly Biosciences LLC, a United Kingdom-based supplier of CBD. The Company also recently completed the of Olimax NT SP. Z .O.O, a multi-generational hemp agricultural firm that is expected to increase the Company's market share in the European CBD industry.
On Behalf of the Board
Jason Dussault, CEO
CONTACT:
Neither the Canadian Securities Exchange nor its Market Regulator (as defined in the policies of the Canadian Securities Exchange) accept responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking information" within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only the Company's beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Stillcanna's control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved".
The forward-looking information and forward-looking statements contained herein include, but are not limited to information concerning the Proposed Transaction or the approval of the Proposed Transaction by the Stillcanna shareholders and certain shareholder and regulatory requirements. Although Stillcanna believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements.
In particular, there is no guarantee that that the parties will successfully complete the Proposed Transaction on the terms contemplated herein or that all required shareholder or regulatory approvals will be obtained. The forward-looking information and forward-looking statements contained in this news release are made as of the date of this press release, and Stillcanna does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws.
SOURCE: Stillcanna Inc.
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FAQ
What was the outcome of Stillcanna's acquisition proposal for Sativa Group PLC?
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