EVI Announces Proposed Acquisition of Borganic Consulting Inc.
Vancouver, British Columbia--(Newsfile Corp. - October 15, 2018) - EVI Global Group Developments Corp. (CSE: EVI) ("EVI") is pleased to announce that in connection with the letter of intent with Borganic Consulting Inc. ("Borganic") previously announced on September 6, 2018, it has entered into a definitive share exchange agreement with Borganic under which the Company has agreed to acquire all the issued and outstanding shares of Borganic in exchange for an aggregate of 30,000,000 common shares of the Company being 43.57% of the Company's total issued and outstanding shares. The share exchange agreement remains subject to a number of conditions, including but not limited to the approval of the Canadian Securities Exchange ("CSE"), receipt of all other required regulatory approvals and customary closing conditions.
The Company is also pleased to announce 1,050,000 stock options have been granted to certain consultants pursuant to the Company's stock option plan. The options are immediately exercisable for a period of five years at a price of $0.63 per share.
The Company is also proposing a change of business from a mining issuer to a life sciences issuer.
Completion of the change of business is subject to a number of conditions, including Canadian Securities Exchange and shareholder approval.
"I believe 2019 will be known as the year of CBD," explained EVI's CEO Jason Dussault. "In all businesses, timing is everything. We are at the right place, at the right time, with the right team. I feel our agreements and technologies position us perfectly in this marketplace. I see a future that is salt, pepper, CBD!"
About Borganic Consulting Inc.
Borganic is focused on the commercial extraction of cannabidiol ("CBD") from industrial hemp and has engineered a proprietary commercial scale extraction process that is more cost efficient than other traditional extraction processes. Borganic's technology utilizes a food grade ethanol extraction method that is far cleaner than many of the other commercial operations which use harmful and potentially carcinogenetic products such as hexane and butane for extraction.
Borganic has signed an exclusive three-year joint venture agreement to build an extraction refinery in Romania with DragonFly Biosciences, LLC ("DragonFly"), a United Kingdom based corporation. The refinery is projected to cost $1,800,000 to build and should be operational by November 2018. As per the agreement, Borganic and their joint venture partner, DragonFly, will process all the hemp produced under DragonFly's licenses in Bulgaria. Dragonfly has recently harvested 1,200 acres of CBD rich hemp and expects to refine a minimum of 4.5 million grams of CBD for the European Union market from its harvest.
About EVI Developments Corp.
EVI Global Group Developments Corp. (CSE: EVI) is a Vancouver, British Columbia based natural resource company engaged in the acquisition, exploration and development of mineral properties, with its primary focus on its silica properties, located within British Columbia.
For further information please contact: Joel Leonard, CFO, Director, EVI Global Group Developments Corp. E-mail: firstname.lastname@example.org.
Cautionary Note Regarding Forward Looking Statements: This release includes certain statements and information that constitute forward-looking information within the meaning of applicable Canadian securities laws, including statements regarding the building of an extraction facility in Romania, the anticipated level of production at the planned CBD extraction facility in Romania, the successful completion of the acquisition of Borganic, the successful partnership with DragonFly and the expected cost and anticipated completion date of the CBD extraction facility in Romania. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should" or "would" occur. Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this press release, including that the building of a CBD extraction facility in Romania will be successful, the anticipated level of production at the planned CBD extraction facility in Romania will be accurate upon completion of the facility, the completion of the acquisition of Borganic will be successful as anticipated, the partnership with DragonFly will be successful as anticipated and the expected cost and anticipated completion date of the CBD extraction facility in Romania will be as anticipated by management. Although the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such risk factors may include, among others, that the CBD extraction facility in Romania will not be built, the anticipated level of production at the planned CBD extraction facility in Romania will not be achieved due to changing market conditions or changes in the laws and regulations in respect of CBD extraction, the completion of the acquisition of Borganic by the Company will not be successful, the partnership with DragonFly will not be successful and the expected cost and anticipated completion date of the CBD extraction facility in Romania will not be as anticipated by management. Readers are cautioned not to place undue reliance on forward-looking statements. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.
This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such. Neither the Canadian Securities Exchange (CSE or CNSX Markets), nor its Regulation Services Provider (as that term is defined in policies of the CSE), accepts responsibility for the adequacy or accuracy of this release.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities law and may not be offered or sold in the "United States", as such term is defined in Regulation S promulgated under the U.S. Securities Act, unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration requirements is available.