CALGARY, AB / ACCESSWIRE / March 14, 2021 / CannaIncome Fund Corporation ("CiF" or "CannaIncome"), a private Canadian corporation, announces that it will dividend out to existing shareholders shares of Durham Holdings ("Durham") Corporation. More details will occur due course.
The full press release of the Durham transaction could be found here:
https://www.accesswire.com/viewarticle.aspx?id=622850
The dividend of Durham shares to CiF shareholders provides:
- Liquidity for CiF shareholders as Durham is expected to be publicly trading in the near term.
- Upside potential as Durham is expected to be qualified as a public investment issuer and act as a potential candidate as a "go-public" vehicle.
As per the recent press release whereby Balancing Rock Inc. ("Balancing Rock") closed the acquisition of the management contract of CannaIncome Fund from Aston Capital Advisors, Balancing Rock has begun a process of re-organizing, reducing expenses and re-aligning the CiF mandate to be more balanced in industry exposure rather than a single, cannabis focus, and will target growth and total return.
- Along with the previously announced management change, Michael Yeung will be stepping down as COO but will remain as a consultant through the transition to Balancing Rock.
- In an effort to preserve capital, Balancing Rock will be suspending the Q1/21 dividend and will review the dividend policy going forward.
Post the Durham stock dividend, CiF will have the following attributes:
- Common Shares O/S: 19,545,353 {Class A: 16,158,828 and Class B: 3,386,525}.
- Holdings include combination a common shares, preferred shares, debentures, senior loans, royalties and cash.
The Durham stock dividend represents a significant portion of the assets being spun out of CiF in a liquidity event. Balancing Rock will work to optimize the remaining assets under management, initially reducing exposure to cannabis by locking-in any recent gains in the market. Balancing Rock will provide further details and report to shareholders in the near future. For further information please contact Adam Thomas at (403) 830-7995 or adam@balancingrockinc.com.
CannaIncome Fund Corp.
Balancing Rock
Adam Thomas
T: (403) 830-7995
E: adam@balancingrockinc.com
About CannaIncome Fund Corporation
CannaIncome Fund is a private investment company focused on the cannabis and cannabis-related sectors. Our aim is to provide yield and capital appreciation upside via valuation arbitrage opportunities primarily between private and public markets.
Forward-Looking Statements
This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws and "forward-looking statements" within the meaning of applicable securities legislation (collectively, "Forward-Looking Statements"). All statements, other than statements of historical fact, that address activities, events or developments that the Corporation believes, expects or anticipates will, may, could or might occur in the future are Forward-Looking Statements. The words "expect," "anticipate," "estimate," "may," "could," "might," "will," "would," "should," "intend," "believe," "target," "budget," "plan," "strategy," "goals," "objectives," "projection" or the negative of any of these words and similar expressions are intended to identify Forward-Looking Statements, although these words may not be present in all Forward-Looking Statements.
Forward-Looking Statements are subject to a number of risks and uncertainties that may cause the actual events or results to differ materially from those discussed in the Forward-Looking Statements, and even if events or results discussed in the Forward-Looking Statements are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, the Corporation.
Factors that could cause actual results or events to differ materially from current expectations include, among other things: risks related to an investee company's ability to maintain its licences issued by Health Canada in good standing; uncertainty with respect to an investee company's ability to grow, store and sell medical cannabis in Canada; risks related to the costs required to meet an investee company's obligations related to regulatory compliance; risks related to the extensive control and regulations inherent in the industry in which an investee company operates; risks related to governmental regulations, including those relating to taxes and other levies; risks related to the nature of an investee company as an early stage business and a business involving an agricultural product and a regulated consumer product; risks related to building brand awareness in a new industry and market; risks related to the retention of senior management and key employees of an investee company; risks relating to restrictions on sales and marketing activities imposed by Health Canada, various medical associations and other governmental or quasi-governmental bodies; risks relating to incurring operating losses and maintaining profitability; risks relating to competition in the industry within which an investee company operates; risks inherent in the agricultural business; risks relating to energy costs; risks relating to an investee company's exposure to product liability claims, regulatory action and litigation; risks relating to recall or return of the an investee company's products; and risks relating to insurance coverage.
This list is not exhaustive of the factors that may affect the Corporation's Forward-Looking Statements. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the Forward-Looking Statements. The Corporation's Forward-Looking Statements are based on beliefs, expectations and opinions of management on the date the statements are made and the Corporation does not assume any obligation to update Forward-Looking Statements whether as a result of new information, future events or otherwise, or if circumstances or management's beliefs, expectations or opinions change, except as required by law. A number of important facts could cause actual results to differ materially from those indicated by the Forward-Looking Statements, including, but not limited to, the risks described herein. For the reasons set forth above, investors should not place undue reliance on Forward-Looking Statements. The Corporation undertakes no obligation to update its Forward-Looking Statements to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events other than as required by law. Accordingly, readers should not place undue reliance on Forward-Looking Statements. Financial amounts in Canadian Dollars, unless otherwise specified.
SOURCE: CannaIncome Fund Corporation
View source version on accesswire.com:
https://www.accesswire.com/635319/CannaIncome-Fund-Corp-Announces-Stock-Dividend-and-Update
