Trees Corporation (NEO:TREE.AQN) said it has closed a financing round to fund the opening of its next cannabis store location.
The non-brokered private placement consisted of 745 units at a price of $1,000 per unit for gross proceeds of approximately $745,000.
This is expected to be the final tranche closing in the larger offering for aggregate gross proceeds of $945,000, Trees noted.
READ: Trees Corporation reveals record 3Q sales as its profit margins strengthen
The opening of its next Trees Cannabis location at 3812a Bloor Street West, Etobicoke, Ontario, is anticipated in January 2023.
Under the terms of the financing, each unit consists of one 12.0% secured convertible promissory note bearing a principal amount of $1,000, convertible into shares of the company at a conversion price of $0.015 per share and maturing 36 months from the closing of the private placement, and 66,667 warrants of the company entitling the holder to purchase one share at a price of $0.015 per share until October 20, 2025, subject to acceleration.
Toronto-based Trees currently has 13 branded storefronts in Canada, including eight stores owned and operated in Ontario and five stores operated in BC.
Contact Angela at angela@proactiveinvestors.com
Follow her on Twitter @AHarmantas