California Cannabis Company Indus Holdings to Raise C$30 Million Selling Units at C$1.50

Indus Holdings, Inc. Announces C$30 Million Underwritten Public Offering

SALINAS, CA, Dec, 16, 2020 /CNW/ – Indus Holdings, Inc. (“Indus” or the “Company”) (CSE:INDS) (OTCQX:INDXF), a leading, vertically-integrated, California-focused cannabis company announces the pricing of its previously announced overnight marketed public offering (the “Offering”) of 20,000,000 units of the Company (the “Units”) at a price of C$1.50 per Unit, for aggregate gross proceeds of C$30,000,000.

Each Unit will be comprised of one subordinate voting share of the Company (a “Share”) and [one half of one] warrant of the Company (each full warrant, a “Warrant”). Each Warrant will be exercisable to acquire one subordinate voting share of the Company (a “Warrant Share”) for a period of 36 months following the closing of the Offering at an exercise price of C$2.20 per Warrant Share, subject to adjustment in certain circumstances. The Company has applied to list the Warrants for trading on the Canadian Securities Exchange (the “CSE”) following closing of the Offering and such listing shall be subject to satisfying the listing requirements of the CSE.

In addition, the Company has granted the underwriters a 30-day option to purchase up to an additional 15% of the Units offered in the Offering on the same terms and conditions to cover any over-allotments and for market stabilization purposes.

The Company intends to use the net proceeds from the Offering for the development of a cultivation and production facility and working capital and other general corporate purposes. The Offering is expected to close on or about December 21, 2020 and will be subject to certain customary conditions, including satisfying the requirements of the CSE.

Canaccord Genuity Corp. and Beacon Securities Limited are acting as the co-lead underwriters for the Offering.

The Units will be offered in each of the provinces of Canada, other than Québec, pursuant to the Company’s base shelf prospectus dated December 11, 2020 (the “Base Prospectus”) and may also be offered outside Canada to qualified investors in accordance with applicable law. The terms of the Offering will be described in a prospectus supplement to be filed with the securities commissions in each of the provinces of Canada, except Québec (the “Supplement”).

Copies of the Supplement, following filing thereof, and accompanying Base Prospectus may be obtained on SEDAR at www.sedar.com and from Canaccord Genuity Corp., 161 Bay Street, Suite 3000, Toronto, ON M5J 2S1. The Base Prospectus contains, and the Supplement will contain, important detailed information about the Company and the Offering. Prospective investors should read the Supplement and accompanying Base Prospectus and the documents that are incorporated by reference into the Base Prospectus and the Supplement that the Company has filed on SEDAR at www.sedar.com before making an investment decision.

No securities regulatory authority has either approved or disapproved of the contents of this news release. The securities comprising the Units have not been and nor will they be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws. Accordingly, the securities comprising the Units may not be offered or sold within the United States or to or for the account of U.S. persons unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to exemptions from the registration requirements of the U.S. Securities Act and applicable state securities laws. This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities of Indus in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ABOUT INDUS HOLDINGS, INC.

Indus Holdings, Inc. (CSE: INDS; OTCQX: INDXF) is a vertically-integrated cannabis company with advanced production capabilities, including cultivation, extraction, manufacturing, brand sales & marketing, and distribution. Founded in 2014 and based in Salinas, California, Indus offers services supporting every step of the supply chain and an extensive portfolio of award-winning brands, including Cypress Cannabis, House Weed, The Original Pot Co., MOON, Humble Flower, and Kaizen Medicinals. Indus Distribution, a division of Indus Holdings, Inc., is a leading distributor of cannabis products, servicing an extensive portfolio of brands and licensed retailers.

Original press release

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