Avicanna Inc. AVCN AVCNF 0NN has closed a strategic non-brokered private placement offering of 4.21 million units of the company at a price of $0.35 per unit for aggregate gross proceeds of approximately $1.48 million.

Each unit is comprised of one common share in the capital of the company and one-half of one common share purchase warrant of the company. Each warrant shall entitle the holder thereof to acquire one share at an exercise price of $0.40 per share, subject to adjustment in certain events, for a period of 36 months.

The lead investor in the offering was Ei.Ventures, Inc., or Emotional Intelligence Ventures, a technology company which seeks to empower mental wellness through psychoactive compounds, nutraceuticals and technology, with additional participation from other investors.

“We are excited to make this strategic investment in Avicanna," David Nikzad, CEO of Ei.Ventures stated. "We believe in the Avicanna team for the development and advancement of proprietary plant-based formulations, and we intend to bring our blockchain, Web3 and Metaverse assets to support the continued success of Avicanna and its products.”

The company intends to use the proceeds from the offering for general working capital purposes, general and administrative expenses, expenditures related to production and manufacturing, research and clinical development.

The unit shares, warrants, and any securities issuable upon conversion or exercise thereof, are subject to a four-month hold period under applicable ‎securities laws in Canada. The Offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange.

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