All dollar figures are expressed in United States Dollars ($).
LAS VEGAS, NV / ACCESSWIRE / August 5, 20,22 / Planet 13 Holdings Inc. (“Planet 13” or the “Company“),a leading vertically-integrated multi-state cannabis company, announces that Planet 13 has entered into an Option Purchase Agreement that gives Planet 13 the option to purchase 51% of Planet 13 Illinois, LLC (“Planet 13 Illinois“) from Frank Cowan for $866,250 in cash and 1,063,377 common shares of Planet 13 (the “Planet 13 Shares“) valued at $2 million based on a 5-day VWAP. If Planet 13 exercises the option, the Planet 13 shares would be subjected to a four-month and one-day hold period under Canadian securities laws. The minimum six-month period following the date of issuance under Rule 144 promulgated by the U.S Securities Act of 1933 would be subjected to a lock-up in which 1/12 of the Planet 13 shares would be released each month in accordance to a lock up agreement.
The option is exercisable at Planet 13’s discretion for a period of two years, subject to approval from applicable regulators. The option must not be used prior to Planet 13 Illinois receiving an Adult Use Dispensing Operator License from Illinois. Planet 13 Illinois currently has 51% ownership by Frank Cowan, and 49% by Planet 13.
“We are pleased to enter into this agreement with our partner to give us the option to assume full control of the Illinois dispensary upon receipt of regulatory approvals. Frank Cowan has been a pleasure to work with, and we look forward to continuing that partnership,”Bob Groesbeck is the Co-CEO and Chief Executive Officer of Planet 13. “As a limited-license state, Illinois remains a premier cannabis marketplace, and this opportunity creates value for all Planet 13 stakeholders. This is another example of us acquiring a dispensary at a very reasonable price. Our prudent approach to M&A is one of the reasons we have no debt and such a robust balance sheet.”
For more information about Planet 13 visit the Investor website.
About Planet 13
Planet 13 (www.planet13holdings.com) is a vertically integrated cannabis company, with award-winning cultivation, production and dispensary operations in Las Vegas and in Orange County, California. Planet 13 also holds a Florida medical marijuana treatment centre license. Planet 13 Illinois has 49% ownership. This lottery was for a Social Equity Justice Involved dispensing permit in the Chicago-region. Planet 13’s mission is to build a recognizable global brand known for world-class dispensary operations and a creator of innovative cannabis products. Planet 13’s shares trade on the Canadian Securities Exchange (CSE) under the symbol PLTH and OTCQX under the symbol PLNHF.
Cautionary Note Concerning Forward-Looking Information
This news release contains “forward-looking information” “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of applicable Canadian and U.S. securities legislation. Other than statements of historical facts, all statements are forward-looking statements. They are based upon expectations, estimates, and projections as of the date of this news release. Any statement that involves discussions about predictions, expectations and beliefs, plans, projections objectives, assumptions, future performances (often using phrases like “expects”, or “does not expect”, “is expected”, “anticipates”Or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes”Or “intends”Use variations of these words or phrases, or state that certain actions, events, or results are being taken “may”Or “could”, “would”, “might”Or “will”forward-looking statements that can be expected to occur or be achieved), are not statements of historical facts and are forward looking statements. In this news release, forward looking-statements relate to the Company’s Illinois adult use dispensary license, regulatory approvals, and the exercise of the option to purchase under the Option Purchase Agreement.
These forward-looking statements are based upon reasonable assumptions and estimates made by management at the time they were made. Future results could differ materially because forward-looking statements are subject to known and unknown risks, uncertainties, and other factors that could cause actual results, performance, or achievements of Company to materially differ from any future goals, performance, or achievements. These factors include final regulatory and other consents required to operate our business; risks related to COVID-19 or other infectious diseases that present as major health problems; fluctuations in general macroeconomic circumstances; inflationary pressures and fluctuations in securities markets; expectations regarding how large the cannabis market in the states where we operate or plan to operate; the Company’s ability to achieve its business objectives; the Company’s ability to integrate the NGW company and realize any benefits; plans for expansion; employee relations; and the existence of laws and regulations that may restrict cultivation, distribution, distribution, and sale of cannabis-related products in the state we are currently or future operations. “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 filed with the U.S. Securities and Exchange Commission at www.sec.gov and on the Company’s issuer profile on SEDAR at www.sedar.com and in the Company’s periodic reports subsequently filed with the U.S. Securities and Exchange Commission and on SEDAR. Forward-looking statements made in this news release reflect what management believes or believes to be reasonable assumptions. However, the Company can’t guarantee that actual results will match such forward looking statements. There may be other factors that could cause results not being as anticipated, estimated, or planned. The forward-looking statements and information in this news release should not be relied upon by readers. The Company disclaims any obligation to revise forward-looking statements regarding beliefs, opinions, projections or other factors if they change, except where required by law.
Through licensed subsidiary entities located in states that have legalized cannabis operations, the Company is indirectly involved with the production, possession, sale, and distribution of cannabis in the United States recreational and medicinal cannabis market. However, these activities are currently prohibited by federal law in the United States. The information herein has not been approved or disapproved by any stock exchange, securities commission, or other regulatory authority.
The information herein has not been approved or disapproved by any stock exchange, securities commission, or other regulatory authority.
For any further inquiries, please contact us:
LodeRock Advisors Inc. and Planet 13 Investor Relations
Robert Groesbeck oder Larry Scheffler
Co-Chief Executive Officers
SOURCE:Planet 13 Holdings