LGC Capital Ltd, is pleased to update shareholders on progress at Tricho-Med's Phase 1 in Brownsburg, Quebec
Symbol: TSX-V: LG
MONTREAL, July 3, 2018 /CNW Telbec/ - LGC Capital Ltd. (TSXV: LG) ("LGC") The Company is pleased to report Tricho-Med's progress at site for phase 1 of building their 34,000 square feet, multi-level, GMP growing facility.
Tricho-Med is advancing their phase 1 facility as their turn-key operators move forward in pouring concrete foundations. All additional construction parties are ready to move to site to complete the turn-key build of the GMP facility by Fall 2018. At completion, the facility will include air-tight, controlled atmosphere flowering chambers and processing facilities for extraction compliant with GMP standards. Tricho-Med Also plans to increase scale of operations. With 40 acres of land secured in Brownsburg, and near-term confirmation of power from Hydro Quebec, LGC and Tricho-Med management teams are secure that their plan to build this facility will have a positive impact for both companies.
John McMullen, CEO of LGC stated, "With Canada to finalize legalization it will finally provide all Canadian Medical Cannabis companies a legal platform to create broad lines of products for the global cannabis consumer to improve their quality of life. By combining our efforts, LGC and Tricho-Med will deliver safe and secure products to both domestic and international markets. We are very pleased with the rapid advancements Tricho-Med has achieved to date and look forward to a successful completion of the build followed by expansion."
LGC invested into Tricho-Med through a four-year secured convertible loan agreement with in the amount of CAD $4 million, which is being disbursed in accordance with pre-agreed milestones and related disbursement schedules. Interest on the Loan is fixed at an annual rate of 10% which will be payable from available operational cash flow. Upon Tricho-Med obtaining a license to produce Medical Cannabis from the relevant regulatory authorities, the loan will convert into common shares of Tricho-Med, representing 49% of then-issued and outstanding shares. LGC will also receive a 5% royalty on Tricho-Med's net sales.
About LGC (www.lgc-capital.com)
LGC Capital Ltd. is a Canadian incorporated public company listed on the TSX Venture Exchange (TSXV: LG). LGC's objective is to become a diversified business group with core business divisions that provide shareholders with exposure to a diverse range of businesses, products and services with an emphasis on significant investments in global medical cannabis sector.
Information Relating to Tricho-Med Corporation ("Tricho-Med")
All information contained in this press release relating to Tricho-Med has been provided to LGC by Tricho-Med. LGC has relied upon this information without having made independent inquiries as to its accuracy or completeness and assumes no responsibility for any inaccuracy or incompleteness of such information.
FORWARD-LOOKING STATEMENTS
This press release may contain forward-looking statements with respect to LGC Capital Ltd. ("LGC") and Global Canna Labs (GCL), and their respective operations, strategy, investments, financial performance and condition. These statements generally can be identified by use of forward- looking words such as "may", "will", "expect", "estimate", "anticipate", "intends", "believe" or "continue" or the negative thereof or similar variations. The actual results and performance of LGC and GCL could differ materially from those expressed or implied by such statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Some important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, competition, government regulation and the factors described under "Risk Factors and Risk Management" in LGC's Management's Discussion and Analysis for the fiscal year ended September 30, 2017, as filed on SEDAR (www.sedar.com). The cautionary statements qualify all forward-looking statements attributable to LGC and persons acting on its behalf. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release and neither LGC nor GCL has any obligation to update such statements, except to the extent required by applicable securities laws.
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SOURCE LGC Capital Ltd
John McMullen, Chief Executive Officer, Tel.: (416) 803-0698, Email: [email protected]; London contact: Anthony Samaha, Chief Financial Officer, Tel.: +44 (0) 20 7440 0640; Investor Relations: Dave Burwell, The Howard Group Inc., Tel.: (403) 221-9015, Toll Free: 1-888-221-0915, Email: [email protected]
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