The Company has secured a bridge financing loan to complete purchase of 13.8 acres in Lynden, Washington. Liht is actively working together with Canabiz Systems Inc. that has developed low-cost, high quality cannabis producing biospherical systems to finalize definitive agreements. Canabiz Systems Inc. will finance and implement equipment and leasehold improvements of 28,000 ft2 facility, providing Tier 3 license holder and tenant Alphapheno, LLC a turn-key cannabis cultivation operation
KELOWNA, BC, March 19, 2019 /PRNewswire/ – Liht Cannabis Corp. (CSE: LIHT) (OTCQX: LIHTF) (“Liht”) or the “Company”) announced today that the Company has secured a one-year 15% $1.9M USD bridge financing loan maturing April 1, 2020. The loan proceeds were used to purchase 13.8 acres of land with a 28,000 ft2 facility and additional buildings located in Lynden, Washington for $4.2M USD.
The terms of the financing are monthly blended principal and interest payments of $52,878 USD due on the 1st of the month starting May 1st, 2019. If the principal outstanding is not paid in full on April 1, 2020, the loan can be extended for 6 months for a 2% extension fee on the face value of principal extended in closing of the transaction, the Company paid lending and broker fees of $78,000 USD.
As previously disclosed on January 2, 2019, Liht is actively negotiating the definitive agreements in an arm’s length transaction with Canabiz Systems Inc (“Canabiz”). Canabiz has the rights to a biospherical system providing cannabis cultivators with a low-cost operating model while maximizing cultivation canopy through vertical-stacking. The ownership of title on the property is integral in finalizing the definitive agreements.
Canabiz Systems Inc. will pay for the equipment and tenant improvements required for Alphapheno, LLC (“Tenant“), a Tier 3 license holder with unlimited processing ability. This means the Tenant is able to buy cannabis supply