The Green Organic Dutchman
The units are priced at $0.75, or a total of 36,800,00 units, where each unit is comprised of one common share and one-half of one common share purchase warrant. The warrants entitle holders to acquire one common share of the company at an exercise price of $1.00, over a period of 36 months.
As previously stated, the proceeds of the offering will be used to complete the construction of its processing facility at Ancaster along with general corporate purposes.
TGOD is also working towards finalizing the sale and leaseback of their energy facility at Ancaster as well as the Ancaster mortgage loan. No timelines have been provided regarding these financings.
This bought deal financing provides TGOD with more guaranteed money and less dilution for shareholders compared to the previously announced (tranched) convertible note term sheet. This option is no longer being pursued by the company.
While this bought deal is for a smaller sum of money than the convertible note, at this time, it’s not clear if TGOD will need to pursue other options. Given the current market conditions, patience in raising additional capital may be prudent.
You can read a full review of the information provided on the sale-leaseback and mortgage loan here.
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