MPX International Announces Second Quarter 2020 Financial Results
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TORONTO, July 10, 2020 (GLOBE NEWSWIRE) -- MPX International Corporation (“MPX International”, “MPXI” or the “Corporation”) (CSE:MPXI; OTCQX:MPXOF) today reports financial results for its second quarter, the three and six month period ended March 31, 2020. All figures are presented in Canadian dollars unless otherwise indicated.
The Corporation is focused on developing and operating assets across the global cannabis industry with an emphasis on cultivating, manufacturing and marketing products which include cannabinoids as their primary active ingredient.
- On July 2, 2020, the Corporation announced that it had successfully closed the first tranche of its previously announced non-brokered private placement offering (the
“Offering”) of units (the “Units”) of the Corporation. The closing of the first tranche of the Offering resulted in the issuance of 3,348 Units at a price of
US$1,000.00 (C$1,360) for aggregate gross proceeds of US$3,348,000 (C$4,553,280). Each Unit consists of one 12% secured convertible debenture of the Corporation (a “Debenture”) in
the principal amount of US$1,000.00 (C$1,360) and 7,000 common share purchase warrants. The Corporation intends to use the proceeds from the Offering to fund product and facility development in
Switzerland and retail expansion in Canada as well as for working capital and other general corporate purposes.
- On July 6, 2020, the Corporation announced that its wholly-owned subsidiary, Spartan Wellness Corporation (“Spartan”), has entered into a services agreement dated July 1, 2020 (the “Services Agreement”) with Medical Cannabis by Shoppers Drug Mart Inc., a subsidiary of Shoppers Drug Mart. The Services Agreement calls for Spartan to utilize its network of volunteers and professionals to perform clinical services for Shopper Drug Mart patients which will include prescribing cannabinoid combination and strength, delivery methods and general education about cannabis use as well as conducting follow-up medical appointments to monitor efficacy and patient well-being.
In Canada, the Corporation is transitioning its principal business model away from cultivation to one of intermediation between buyers and sellers, accessing or facilitating the sale of cannabis products from third party License Holder’s (a “License Holder” or “LH”) and arranging or facilitating sales to medical cannabis consumers domestically or, increasingly, to international buyers. This strategy reduces or eliminates the need for large capital investment, while generating fees and margins with equivalent net returns to those generally available from seed-to-sale operations. The Corporation is currently involved in late-stage negotiations to facilitate several export opportunities to Europe and Australia, through its fully licenced and wholly-owned subsidiary, MPX Australia Pty Ltd.