Invictus MD announces $40M debenture bought deal

Vancouver (pcJ News Briefs) – Invictus MD Strategies Corp. (TSX-V: IMH; OTC: IVITF; FRA: 8IS) has engaged Canaccord Genuity Corp. and Eventus Capital Corp., as co-lead underwriters and joint-bookrunners, for a bought deal private placement of $40 million aggregate principal amount of convertible debentures at a price of $1,000 per convertible debenture.

Invictus MD has also granted the underwriters an option to purchase up to an additional $10 million aggregate principal amount of convertible debentures.

The debentures will bear interest from the date of closing at 8% per annum, payable semi-annually on June 30 and December 31 of each year. The debentures will have a maturity date of 24 months from the closing date of the offering.

Net proceeds from the offering will be used primarily towards expansion and growth opportunities.

The debentures will be convertible at the option of the holder into common shares beginning on the date that is four months following the closing date and any time prior to the close of business on the maturity date at a conversion price of $2.00 per share.

The debentures will be subject to redemption, in whole or in part, by the company at any time after 12 months upon giving debenture holders not less than 30 and not more than 60 days’ prior written notice, at a price equal to the then outstanding principal amount of the debentures plus all accrued and unpaid interest up to and including the redemption date.

Closing of the offering is expected to occur on or about May 9, 2017.

Invictus MD Strategies Corp. is focused on three main verticals within the burgeoning Canadian cannabis sector: Licensed Producers under the ACMPR located in both Alberta and Ontario, including Acreage Pharms Ltd. and AB Laboratories Inc. and Fertilizer and Nutrients through Future Harvest Development Ltd.; and Cannabis Data and Delivery, with its wholly owned subsidiary Poda Technologies Ltd.