By Green Organic Dutchman Holdings Ltd. on Monday, 02 December 2019
Category: Vertically Integrated

Green Organic Dutchman ups bought deal financing plan to C$24 million

Late last month, the company had entered into an agreement with a syndicate of underwriters to raise C$22 million

TGOD plans to use the money to complete the construction of its processing facility in Ancaster, Ontario and for general corporate purposes

 () (OTCMKTS:TGODF) announced Monday that it is increasing the size of a bought deal financing plan to raise an addition C$2 million. 

Late last month, the company entered into an agreement with a syndicate of underwriters led by Corp that has agreed to purchase 29,334,000 units at a price of C$0.75 per unit. 

TGOD said it intends to use the proceeds to complete the construction of its processing facility in Ancaster, Ontario and for general corporate purposes. 

READ: Green Organic Dutchman expands Canadian distribution to three new provinces, launches "budtender" certification program

The company now is offering up 32 million shares at the same unit price for total proceeds of C$24 million, according to a statement. 

Each unit shall consist of one common share and one-half of one common share purchase warrant. Each warrant shall be exercisable to acquire one common share for a period of 36 months from the closing of the transaction at an exercise price of C$1 per warrant.

TGOD has granted the underwriters an option to purchase up to an additional 4.8 million units at a price of C$0.75 per unit, exercisable at any time, for a period of 30 days -- which would result in additional proceeds of up to about C$3.6 million.

The units will be offered by way of a short form prospectus, to be filed in all provinces of Canada except Quebec. The offering is expected to close on December 17.

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