CANNAINVESTOR Magazine January / February 2017 - Page 19


2. 300,000 common shares to a maximum value of $600,000 upon PlanC receiving an affirmation e-mail from Health Canada;

3. 500,000 common shares to a maximum value of $1M upon the completion of pre-licensing inspection;

4. 5,000,000 common shares to a maximum value of $8M upon PlanC's receipt of a cultivation license under the ACMPR. In connection with each such issuance of Invictus common shares, the value of each Invictus common share value will be the closing share price of the company immediately prior to the date the milestone is achieved.

Invictus is required to contribute $8M to be held in escrow for the benefit of PlanC within 90 days of signing the definitive agreement. The escrow funds will be used to exercise an option to acquire the property, to construct the 30,000-square-foot facility and for general working capital purposes. PlanC also has an option to purchase a 49-acre parcel of land immediately adjacent to its proposed facility, thereby giving PlanC a secure basis from which to plan future expansion and, assuming PlanC receives the requisite regulatory approval to produce its forecasted capacity, to accommodate cannabis production of up to 20,000 kilograms per year, establishing itself as a leader in the cannabis industry.

This is a great find for Invictus. A "diamond in the rough" if you will. On average ACMPR licensed facilities that are publicly-traded on the Toronto or Canadian Securities Exchange trade for a minimum of a $100M enterprise value (EV). This acquisition, along with the Companies other assets makes the current $35M market cap look tantalizingly undervalued. For more information, please visit their website at and if you're lucky enough to live in Canada you can also pre-register as patient.