AmeriCann Completes $3,800,000 Equity Financing
PROCEEDS TO BE USED FOR CONSTRUCTION OF MASSACHUSETTS CANNABIS CENTER
DENVER, CO / July 17, 2018 / AmeriCann, Inc. (OTCQB: ACAN), an agricultural-technology company that is developing the next generation state-of-the-art greenhouse cannabis cultivation and processing properties, announced today that it has closed an all equity financing offering with total proceeds of $3,819,000.
The proceeds from the $3.00 per share equity financing will be used for construction at the Company’s Massachusetts Medical Cannabis Center (the “MMCC”) development. AmeriCann is preparing to release the general contractor and project management team for the first phase of the MMCC development in the midst of the rapidly growing Massachusetts medical and adult-use cannabis market.
In 2015, AmeriCann identified that Massachusetts did not have adequate cultivation and processing infrastructure in planning or development. With that knowledge, AmeriCann designed the MMCC on a 52-acre parcel of land by securing site plan approval and all the entitlements for 987,000 square feet of cannabis cultivation and processing infrastructure. The MMCC project will be developed in phases and is expected to be one of the most technologically advanced cultivation facilities in the nation.
Reports of product shortages in the Massachusetts market are beginning to surface in media publications such as the Boston Globe and Marijuana Business Daily. The lengthy design, permitting and cannabis licensing process in Massachusetts creates a significant barrier for new projects entering the market.
“Almost all the cannabis being produced in Massachusetts is from converted warehouses with 100% artificial light, high energy costs and huge carbon footprints.” Said Tim Keogh, AmeriCann’s Chief Executive Officer, “Our purpose-built facilities can produce superior sun grown cannabis products year-round in a controlled environment at a lower cost and with a far less carbon footprint than warehouse growers. This is the first phase of an extensive project designed to help the Massachusetts cannabis industry reach its full potential.”
The Commonwealth of Massachusetts has begun awarding licenses to businesses that will provide cannabis access to consumers over 21 years of age in addition to the existing medical cannabis market. Industry experts believe it will become the epicenter for cannabis innovation and research for the entire northeast US with annual sales of over $1.2 billion by 2021.
GVC Capital LLC of Greenwood Village, Colorado was the exclusive agent for the financing. For additional information on the financing, please see the Company’s Form 8-K report filed July 17, 2018.
AmeriCann (OTCQB: ACAN) is a publicly traded agricultural technology (Ag-Tech) company that is developing a new generation of sustainable, state-of-the-art medical cannabis cultivation and processing properties.
AmeriCann, Inc. is a Certified B Corp, an acknowledgment of the Company’s commitment to social and environmental ethics, transparency and accountability. AmeriCann became the first public cannabis company to earn this respected accreditation. More information about the Company is available at: www.americann.co, or follow AmeriCann on Twitter @ACANinfo .
About Massachusetts Medical Cannabis Center (MMCC)
AmeriCann’s flagship project, The Massachusetts Medical Cannabis Center, is approved for nearly 1,000,000 square feet of medical cannabis cultivation and processing in Freetown, Massachusetts. The state-of-the-art, sustainable greenhouse project will consist of multiple planned phases for tenants in the Massachusetts medical marijuana market. Voters in Massachusetts approved legalizing the adult use of recreational marijuana in November of 2016.
AmeriCann’s Cannopy System uniquely combines expertise from traditional horticulture, lean manufacturing, regulatory compliance and cannabis cultivation to create superior facilities and procedures. The Company is planning to replicate the Cannopy platform in additional states.
Rendering of the first phase of the MMCC project consists of 30,000 sq. ft. of cultivation, processing and research facilities.
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words “believe,” “anticipate,” “estimate,” “expect,” “intend,” “plan,” “project,” “prospects,” “outlook,” and similar words or expressions, or future tense or conditional verbs such as “will,” “should,” “would,” “may,” and “could” are generally forward-looking in nature and not historical facts. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, performance or achievements to be materially different from any anticipated results, performance or achievements. The Company disclaims any intention to, and undertakes no obligation to, revise any forward-looking statements, whether as a result of new information, a future event, or otherwise. For additional uncertainties that could impact the Company’s forward-looking statements, please see the Company’s Registration Statement on Form S-1, which the Company recently filed with the SEC and which may be viewed at www.sec.gov.
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