Yooma Wellness Inc (CNSX:YOOM), a vertically integrated cannabis group, is seeking up to £10mln in new funding as part of a dual listing of its shares on the Aquis Stock Exchange in London.
The Canadian company, where FastForward Innovations Ltd (LON:FFWD) holds a 5.1% stake, wants the extra cash to help fund a trio of recent deals.
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Yooma said the price of the financing will be determined in the context of the market, with the funds raised to be used to fund the cash portion of the three planned acquisitions, which carry a total price tag of around US$30mln, comprised of US$14.5mln in cash on closing, deferred cash consideration, share consideration and the assumption of debt.
The purchases are comprised of a reverse takeover of Globalive Technology Inc, the acquisition of a number of wellness brands from EMMAC Life Sciences Group and the purchase of Socati Corp, a processor of THC-free broad-spectrum hemp extracts and ingredients for use in cannabidiol (CBD) products.
"We believe that access to the London capital markets will significantly accelerate the growth of Yooma, and the company's plan to build a global wellness platform. We have signed letters of intent with three strategic targets. In addition to strong revenue contribution, we have identified meaningful efficiency opportunities through vertical integration, and sales opportunities across the company's various platforms" Yooma chairman Lorne Abony said in a statement.
Shares in FastForward were 2% higher at 8.94p in early trading on Tuesday.