Hollister Biosciences Inc. Closes $1.5 Million Private Placement Financing

/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

VANCOUVER, BC, Aug. 10, 2020 /CNW/ - Hollister Biosciences Inc. (CSE: HOLL) (OTC: HSTRF) (FRANKFURT: HOB) (the "Company", "Hollister Cannabis Co." or "Hollister") a diversified cannabis branding company with products in over 230 dispensaries throughout California and over 80 dispensaries throughout Arizona, is pleased to announce that it has closed its previously announced non-brokered private placement financing by issuance of 17,646,889 units (the "Units" and each individually, a "Unit") at a price of $0.085 per Unit for gross proceeds of approximately $1,500,000 (the "Offering").  

Each Unit is comprised of one common share of the Company (a "Common Share") and one Common Share purchase warrant. Each warrant will be exercisable into Share at a price of $0.10 until August 10, 2022.

The Company has paid eligible finders cash commission in the total amount of $108,201.26. The Company has also issued non-transferable compensation options ("Finder's Options") to finders to acquire up to a total of 1,272,959 Units ("Finder's Units"), at a price of $0.085 per Finder's Unit on or before August 10, 2022. Each Finder's Unit will consist of one Share and one non-transferable share purchase warrant (the "Finder's Warrant"). Each Finder's Warrant will entitle the holder to purchase one Share at a price of $0.10 per Share on or before August 10, 2022.

All securities issued in connection with the Offering are subject to a statutory hold period of four-months and one day ending on December 11, 2020. The Company intends to use the net proceeds of the Offering for the expansion of Venom Extracts, Hollister's 100% owned subsidiary, into California and for working capital and general corporate purposes.

About Hollister Biosciences Inc. 

Hollister Biosciences Inc. is a multi-state cannabis company with a vision to be the sought-after premium brand portfolio of innovative, high-quality cannabis & hemp products. Hollister uses a high margin model, controlling the whole process from manufacture to sales to distribution or seed to shelf. Products from Hollister Biosciences Inc. include HashBone, the brand's premier artisanal hash-infused pre-roll, along with concentrates (shatter, budder, crumble), distillates, solvent-free bubble hash, pre-packaged flower, pre-rolls, tinctures, vape products, and full-spectrum high CBD pet tinctures. Hollister Cannabis Co. additionally offers white-labeling manufacturing of cannabis products. Our wholly-owned California subsidiary Hollister Cannabis Co is the 1st state and locally licensed cannabis company in the city of Hollister, CA birthplace of the "American Biker".

Website: www.hollistercannabisco.com 

The CSE does not accept responsibility for the adequacy or accuracy of this release.

The securities issued in connection with the Offering have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "1933 Act"), or under any state securities laws, and may not be offered or sold, directly or indirectly, or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the 1933 Act) absent registration or an applicable exemption from the registration requirements. This news release does not constitute an offer to sell or a solicitation to buy such securities in the United States.

Forward-Looking Information: This news release includes certain statements that may be deemed "forward-looking statements". The use of any of the words "anticipate", "continue", "estimate", "expect", "may", "will", "would", "project", "should", "believe" and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this News Release. Actual results could differ materially from those currently anticipated due to a number of factors and risks including various risk factors discussed in the Company's disclosure documents which can be found under the Company's profile on www.sedar.com

SOURCE Hollister Biosciences Inc.

HOLLISTER BIOSCIENCES INC. Company Contact: [email protected], Tel: [phone]