Cedarmont Capital Announces Proposed Qualifying Transaction

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TORONTO, June 18, 2021 (GLOBE NEWSWIRE) -- Cedarmont Capital Corp. (“Cedarmont” or the “Company”) (TSXV:CCCA.P), a capital pool company under the rules of the TSX Venture Exchange (the “TSXV”), is pleased to announce that it has entered into a binding letter of intent (the “LOI”) dated June 17, 2021 with Shiny Bud Inc. (“ShinyBud”) and Mihi Inc. (“mīhī”) for the proposed combination of the three companies (the “Proposed Transaction”). The Proposed Transaction is intended to constitute the Company’s “Qualifying Transaction” within the meaning of TSXV Policy 2.4 – Capital Pool Companies (“TSXV Policy 2.4”) and would result in a reverse take-over of the Company.‎

In anticipation of the Proposed Transaction, ShinyBud and mīhī have also entered into an engagement letter with Cantor Fitzgerald Canada Corporation and Echelon Wealth Partners Inc. for a brokered private placement financing (the “Private Placement”) of subscription receipts (“Subscription Receipts”) for gross proceeds of approximately $15 million.

Additional details with respect to the Proposed Transaction and the Private Placement will be announced at a later date.

ShinyBud

Founded in 2019 by Mr. Micah Dass, ShinyBud is a cannabis retailer that has grown quickly from one location in 2020 to a network of 11 stores currently. ShinyBud also has eight retail sales applications filed with the Alcohol and Gaming Commission of Ontario. ShinyBud’s mission is to offer the best of legal cannabis products in an informed, guest centric environment, catering to every spectrum of its customer base in a thoughtful way. Customer satisfaction is ShinyBud’s top priority.

ShinyBud was incorporated under the Canada Business Corporations Act (“CBCA”) in June 2019. Mr. Dass is the sole shareholder of ShinyBud and is expected to become a principal shareholder and be appointed Vice Chair of the Company upon completion of the Proposed Transaction.

mīhī

mīhī is an Ontario-based cannabis retailer with a mission to make cannabis an accepted and positive part of life for the customers and communities it serves. mīhī opened its first two stores in Burlington and Stoney Creek in 2020 and anticipates launching its first mīhī Express store during the third quarter.

mīhī was incorporated under the Business Corporations Act (Ontario) in August 2018. The principal investor in mīhī is BlackShire Capital, a private investment firm founded by Kevin Reed. It is anticipated that Mr. Reed will be appointed Chairman and Chief Executive Officer of the Company on completion of the Proposed Transaction.