OTTAWA, ONTARIO--(Marketwired - Feb. 12, 2015) - GrowPros Cannabis Ventures Inc. ("GrowPros" or the "Company") (CSE:GCI), pursuant to its diversified strategy within the Canadian Medicinal Cannabis Industry, is pleased to announce that it has entered into an agreement with Herbaceous Inc. ("Herbaceous"), an applicant under the MMPR who has been issued a ready to build letter as well as the required Health Canada security clearances.
Under the terms of the agreement, and in exchange for strategic consulting services, GrowPros will receive a 10% equity interest in Herbaceous Inc. as well as an option to purchase an additional 15% equity interest (at the current $10 million dollar valuation of the company) upon receipt of the cultivation license under the MMPR. GrowPros was instrumental in introducing a private equity group which has provided a commitment for $6,000,000 subject to due diligence in an equity financing for Herbaceous. Herbaceous anticipates finalizing the transaction by March 1, 2015.
"This transaction furthers GrowPros vision as a diversified cannabis venture firm with a focus on acquiring interests in multiple advanced stage MMPR applicant producers," stated Ryan Brown, CEO of GrowPros.
"The GrowPros team have been instrumental in getting this project to the next level as we prepare to begin construction of our 60K sq. ft. production facility located in Flambourough, Ontario," said Frey Garabagi, President of Herbaceous Inc.
The Canadian Securities Exchange (CSE) has not reviewed this news release and does not accept responsibility for its adequacy or accuracy.
Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words "may", "will", "should", "continue", "expect", "anticipate", "estimate", "believe", "intend", "plan" or "project" or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company's ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Company, through its wholly-owned subsidiary, GrowPros MMP Inc., to obtain a licence for the production of medical marijuana; failure to obtain sufficient financing to execute the Company's business plan; competition; regulation and anticipated and unanticipated costs and delays, and other risks disclosed in the Company's public disclosure record on file with the relevant securities regulatory authorities. Although the Company has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. The forward-looking statements included in this news release are made as of the date of this news release and the Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
GrowPros Cannabis Ventures Inc.
Chief Executive Officer