DionyMed Brands Inc.  (CSE: DYME) (OTCQB: DYMEF), a multi-state cannabis brands, distribution and direct-to-consumer delivery platform, has completed its previously announced bought deal private placement financing for total gross proceeds of approximately C$10.5 million. In connection with the Offering, the Company issued 3,822,055 units at a price of C$2.75 per Unit. Each Unit was comprised of one subordinate voting share  and one subordinate voting share purchase warrant exercisable into one Subordinate Voting Share  at a price of C$3.80 per Warrant Share until May 7, 2022. The net proceeds from the Offering will be used primarily towards the Company’s strategic growth initiatives and for general working capital purposes.

Canaccord Genuity Corp. and Cormark Securities Inc. co-led a syndicate of underwriters, which included Beacon Securities Limited in the Offering. In connection with the Offering, the Company paid the Underwriters a cash commission equal to 7.0% of the gross proceeds of the Offering and issued to the Underwriters that number of broker warrants as is equal to 7.0% of the number of Units sold under the Offering.  Each Broker Warrant is exercisable to acquire one Unit until May 7, 2022 at an exercise price equal to the Issue Price.

In connection with the Company’s late filing of its audited financial statements and management’s discussion and analysis for the year ended December 31, 2018, the Company’s previously announced application for a management cease trade order under National Policy 12-203 – Management Cease Trade Orders has been granted by the British Columbia Securities Commission.  As previously disclosed, the Company expects to file the Annual Financial Statements on or before May 31, 2019.

About DionyMed

Founded in 2017, DionyMed is a multi-state cannabis brands platform, supporting cultivators, manufacturers and award-winning brands in the medical and adult-use cannabis markets. DionyMed sells branded products in every category from flower to vape cartridges, concentrates and edibles. DionyMed serves cannabis consumers through retail dispensary distribution and direct-to-consumer fulfillment with its growing portfolio of award-winning brands.