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VANCOUVER, British Columbia, June 02, 2021 (GLOBE NEWSWIRE) — Icanic Brands Company, Inc. (CSE: ICAN, OTCQB: ICNAF) (“Icanic Brands” or the “Company”), a multi-state brand operator in California and Nevada, is pleased to announce that it has entered into a share exchange agreement dated June 1, 2021 (the “Definitive Agreement”) among the Company, De Krown Enterprises LLC (“ De Krown ”), and the unitholders of De Krown (the “Unitholders”), pursuant to which the Company will acquire 100% of the issued and outstanding units of membership interest (the “Units”) of De Krown (the “Transaction”).
De Krown is a California based leading cannabis manufacturing partner and brand owner and is led by a team of successful and tenured executives from the California cannabis space as well as proven entrepreneurs in various other fields. De Krown currently manufacturers for some of California’s premier cannabis companies including Pure Beauty, Next Green Wave, Kolas, Dahlia Capital, Cali Innovations, Smoakland, Kush Boys,Tyson Ranch and Viola.
In consideration for the Transaction and pursuant to the terms of the Definitive Agreement, the Company will pay 1x revenue based on a 12 month earnout and will issue Company common shares in the capital of the Company (the “Consideration Shares”) to the Unitholders pro rata in proportion to their holdings of Units at the time of closing (“Closing”). .
Any Consideration shares, as applicable, will be subject to escrow and/or resale conditions as required by applicable securities laws and the policies of the Canadian Securities Exchange (the “CSE”).
The Transaction remains subject to certain closing conditions including, without limitation: (a) the receipt of all necessary corporate and regulatory approval; (b) each party’s representations and warranties in the Definitive Agreement being true and correct in all aspects