Organigram Holdings Inc. (TSX VENTURE: OGI) (OTCQB: OGRMF) and the Eviana Health Corporation (CSE: EHC) (OTC: EVNNF), a European hemp cultivator and processing company, announced this morning that the companies are entering into a non-binding term sheet in relation to a $10M investment into Eviana Health Corps hemp cultivation and CBD manufacturing operations.
Under the terms of the agreement Organigram will receive 8,695,652 common shares of Eviana in exchange for a $10M investment into the company. The equity purchase of the Eviana’s common shares including common share purchase warrants including the following:
- 2,373,319 Warrants exercisable at $1.50 for 18 months
- 3,337,480 Warrants exercisable at $1.75 for 24 months
- 3,087,487 Warrants exercisable at $2.00 for 36 months
The offtake agreement between the two companies includes the option for Organigram to purchase up to 50% of Eviana’s CBD oil produced from their operation at an agreed wholesale price for up to 5 years. Eviana currently has 150 hectares of hemp planted for the 2018 grow season and owns a 40,000 sq. ft. processing facility in Serbia, as well as, a Pharma-grade facility in Belgrade which will feature a high-tech supercritical CO2 extraction system.