OrganiGram Holdings Inc. (TSX VENTURE:OGI)(OGRMF) (the “Company“) is pleased to announce that it has received two Letters of Interest (LOIs) which will provide long-term debt totaling $5,000,000. The Credit Facilities significantly strengthen OGI’s financial position in a manner that is non-dilutive to shareholders.
The Company will be utilizing the capital injection to continue the development of its medical marijuana facility in Moncton, NB.
OrganiGram’s President, Mr. Rogers, states, “We are very pleased to have negotiated a non-dilutive form of financing for OrganiGram. These LOIs, totaling $5,000,000, will provide the necessary capital required to further accelerate our growth strategy.”
OrganiGram has experienced a significant increase in patient registrations over the past few months and as such, is very pleased to have the capital to continue to accelerate their client acquisition strategies. The Company is currently awaiting a Health Canada inspection of 4 newly completed growing rooms, which are expected to come online by the end of June 2015.
Additionally, the Company has signed a multi-year agreement with Deloitte LLP (“Deloitte”) to provide audit services. Deloitte is the largest Canadian provider of professional financial services and the lead accounting firm in the medical marijuana industry, representing numerous other Licensed Producers. Deloitte maintains in-house expertise in the field and are members of the Canadian National Medical Marijuana Association.
Mr. Rogers states, “I am extremely pleased to announce that we have brought on Deloitte as our new auditors. I believe that their local presence supported by their industry knowledge will be of significant value to our company. Ernst & Young has relinquished their role as the company auditors and I would like to thank them for their contributions.”
The Company would like to announce the resignation of Mr. Dave Doherty from the Board of Directors, effective immediately. Mr. Doherty has been instrumental in guiding the Company through the RTO merger, listing and capitalization process.
OrganiGram’s CEO, Denis Arsenault, states, “On behalf of the Board of Directors, I would like to thank Dave for his support and guidance over the last year. With the above announced financing, the Company is now fully capitalized and well positioned to execute on its business plan, in large part due to the efforts of Dave. The entire team at OrganiGram would like to thank Dave for his service to the Company and wish him the best in his future endeavors.”
About OrganiGram Holdings Inc.
OrganiGram Holdings Inc. is a TSX Venture Exchange listed company whose wholly owned subsidiary, OrganiGram Inc., is a licensed producer of medical marijuana in Canada. OrganiGram is focused on producing the highest quality, condition specific medical marijuana for patients in Canada. OrganiGram’s facility is located in Moncton, New Brunswick and the Company is regulated by the Marihuana for Medical Purposes Regulations.
On behalf of the board of directors,
Roger Rogers, Director and President, OrganiGram Holdings Inc.
The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors – including the availability of funds, the results of financing efforts, the results of exploration activities – that could cause actual results to differ materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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