Liberty Health Sciences $12 Million Gamble

Liberty Health Sciences $12 Million Gamble

There are many expectations that Florida’s medical marijuana program may be one of the largest in the country with an estimated 500,000 patients expected. Liberty Health Sciences, one of Florida’s medical marijuana treatment centers, apparently really believes this industry will be big as they are offering convertible notes worth a total of $12 million. It is a considerable debt to take on and for those that agree with Liberty, perhaps a good opportunity. Do you believe in the Florida medical marijuana industry enough to buy one of Liberty’s notes?

TORONTO, Nov. 22, 2017 – Liberty Health Sciences Inc. (CSE: LHS) (OTCBB: LHSIF) (“Liberty” or the “Company”) is pleased to announce the closing of a private placement offering of convertible secured debentures (“Notes”) for gross proceeds of USD $12 million. Pursuant to the Offering, the Company’s wholly-owned subsidiary Liberty Health Sciences Florida Ltd. sold USD $12 million aggregate principal amount of Notes at a face value of USD $1,000 per Note. The Notes bear interest of 12 per cent, payable semi-annually, and mature on November 22, 2020.

This important financing deal will fund the aggressive expansion plan that we have in place that will see Liberty become one of the largest licensed producers in the State of Florida.

As more and more physicians and patients see the tremendous value in cannabis as a viable treatment option, we continue to see immense growth in demand for high quality, clean and safe medical cannabis throughout the state. Aggressively expanding our operation allows us to serve even more patients in need.

The Notes are secured by the assets of Liberty Health Sciences Florida Ltd. including a first priority general security agreement covering all present and future assets of the Florida business and a mortgage over all material real property of Liberty Health Sciences Florida Ltd.

Each USD $1,000 face value of the Notes is convertible at maturity into that number of common shares of Liberty which represents a conversion price of CAD $2.00 per common share unit. The Company has the right to redeem the Notes at a premium to principal in whole or in part at any time prior to maturity, and the Company has a right to force conversion of the Notes into common shares of Liberty at par plus accrued and unpaid interest if the common shares trade at or above CAD$3.00 for ten consecutive trading days, on a volume weighted average basis


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