Ikänik Farms Becomes the First to Claim “Hecho en Mexico” for Hemp and Cannabis through the 100% Acquisition of D9C Mexico S.A. DE C.V. - Seite 2

Diversified Product Portfolio for Domestic Sales:  Ikänik Farms will sell products under its family of brands, providing a broader target audience for pharmaceutical retail partners across Mexico.

Stable Supply for International Supply Agreements: D9C provides Ikänik the ability to continue effectively scale and fill its growing international supply agreements for pharmaceutical grade Cannabis and Hemp derived CBD, pending receipt of permits.

Acquisition Summary

Under the Agreement between Ikänik and D9C (the “Agreement”), the shareholders of D9C agreed to transfer to Ikänik all outstanding shares of D9C (the “D9C Shares”) in exchange for consideration of up to 10,000,000 common shares of Ikänik (the “Ikänik Shares”). The Ikänik Shares are to be transferred in the amounts and subject to the completion of the conditions set out below:

• within 10 business days following the receipt of certain regulatory, assignment, corporate and tax documentation each as deemed satisfactory by Ikänik, 5,000,000 Ikänik Shares shall be delivered ratably to the former shareholders of D9C;
• within 10 business days following the receipt of certain corporate documents, import registrations and certifications and receipt of seeds as deemed satisfactory by Ikänik, 3,000,000 Ikänik Shares shall be delivered ratably to the former shareholders of D9C; and
• within 10 business days following the delivery to Ikänik of a copy of validly issued seed and genetic registration certificates and a cultivation permit satisfactory by Ikänik, 2,000,000 Ikänik Shares shall be delivered ratably to the former shareholders of D9C.

If the satisfaction of each of the conditions above does not occur within 18 months from the effective date of the Agreement, each of the former shareholders of D9C will transfer the Ikänik Shares back to Ikänik.

About D9C

D9C is a cannabis license development company. 

About Ikänik Farms

Ikänik Farms is creating a dynamic portfolio of cannabis brands, inspired by its passion for health and wellness, and action sports. Through the development of its LATAM operations, Ikänik aims to support global pharmaceutical demand for a variety of cannabis products. Ikänik’s leadership brings decades of expertise in R&D, cultivation, retail, branding, and corporate finance with the ambition to build the most iconic “seed-to-sale”, “MNO” Multi-National Operator. Ikänik Farms’ operations are currently located in Colombia and California.