Toronto-based City View Green Holdings has finalized an agreement securing its operations in a 40,000-square-foot cultivation facility, where it intends to produce a pharmaceutical-grade crop.
City View Green recently announced that it had completed a previously detailed goal of transferring its option to purchase the facility in Brantford, Ontario, just southwest of Toronto, to an arms-length financier who has also completed a five-year renewable lease agreement with CVGR that includes a first right of refusal on any potential future sale of the property.
According to the company, the financier will provide all the required buildout and capital improvements necessary for the mandatory Health Canada licenses and to make the facility a fully operational cannabis cultivation and extraction site. The new landlord obtained one million common share purchase warrants in exchange, each of which can be used to purchase one common share of the company at a price of $0.18 during the next five years.
The company further showed its intentions to keep a clean slate by closing on agreements to settle $580,019 in debt, under negotiated terms announced July 24.
“City View Green is pleased to close this transaction which provides non-dilutive financing to complete the buildout of our facility… and obtain the applicable Health Canada cannabis licensing to enter into full operations,” CEO Ian MacDonald stated in a news release.
The company expects to build the initial cultivation and extraction rooms within the building by the third quarter this year. Security features and general framework of the facility have already been completed.
For more information:
City View Green Holdings
1173 Dundas Street East, Suite 132 Toronto, Ontario