Supreme Pharmaceuticals (TSX:V.SL
, Stock Forum
), a Vancouver-based bio-tech contender firmly entrenched in the emerging medical marijuana sector, announced today that the company’s senior management would, along with senior management of the target company, visit the 342,000 square foot MMJ grow facility located in southern Ontario.
According to the news release
, the tour of the facility, located approximately 100 miles outside of Toronto, is part of the company’s due diligence on the grow op where production is planned once security measures have been implemented and an MMPR license has been received.
Company officials also clarified payment terms for the facility that were originally published on May 13, 2014 noting, “Supreme has advanced an initial $250,000 to the current owner of the facility and must advance an additional $750,000 by May 22, 2014 to close the transaction. The Company has sufficient funds on hand to do so.”
Then it went on to detail, “The total purchase price of the facility is $4,500,000. If Supreme makes the second payment on May 22, 2014, the Company will own the property with a vendor mortgage of $3,500,000, payable on the second anniversary date from closing. No interest will accrue in the first year, but the mortgage will bear interest at 7% during the remaining year.”
A management statement then concluded, “We are confident that the facility will be able to service a large grow operation from the details made out in the approved pre-build MMPR application, but will be inspecting the property in person. We will keep our community updated.”
Currently there are 144.8m outstanding shares with a market cap of $10.9 million.