Trichome Financial Corp. Provides Corporate Update
- Private placement to provide initial capital to deploy into growing pipeline of opportunities
- New name emphasizes company focus on flexible, alternative capital solutions to the cannabis industry
- Marc Lustig named Chairman of the Board of Directors
Toronto, Ontario – June 4, 2018 – CannaRoyalty Corp. (CSE: CRZ) (OTCQX: CNNRF) (“CannaRoyalty”) today announces Trichome Yield Corp., a majority owned subsidiary of CannaRoyalty, has changed its name to Trichome Financial Corp. (“Trichome” or the “Company”), effective June 1, 2018. The new name better reflects the Company’s strategic position as a flexible and responsive provider of capital solutions to the Canadian and international cannabis industry.
“The new name – Trichome Financial Corp. – reflects our emphasis as a value-added specialty finance company focused on the cannabis sector. With few conventional or alternative capital sources targeting the industry, Trichome believes that there is a large, growing, and underserviced segment of the financing market,” commented Michael Ruscetta, CEO of Trichome. “Along with our founders CannaRoyalty, Stoic Advisory, and Sprott, Trichome is uniquely positioned to provide added-value to our portfolio investments. With our recent investment in 180 Smoke and large pipeline of opportunities, the momentum around Trichome is building rapidly.”
Trichome’s board of directors is composed of professionals with proven investment, M&A and cannabis-industry experience:
- Michael Ruscetta – CEO of Trichome. Previously managed the RCM Special Situations Fund, served as Co-Head of Goldman Sachs’ Canada Special Situations Group and Managing Director of Amaranth Advisors (Canada).
- Marc Lustig – Chief Executive Officer of CannaRoyalty. Marc has also been appointed as Chairman of the Board of Directors of Trichome.
- Afzal Hasan – President and General Counsel of CannaRoyalty.
- Jonathan Page – Co-founder of Anandia Labs and an Adjunct Professor in the Botany Department at The University of British Columbia.
- Marissa Lauder –Chief Financial Officer and Corporate Secretary of Street Capital Group Inc. and Street Capital Bank of Canada.
- Brent Cox – Founding partner of The Inception Companies, a private investment vehicle focused on the global cannabis market. Currently serves on the board of successful vertically integrated U.S. cannabis company The Pharm and is a past board member of MedMen.
- Tim Diamond – CEO of Whitehall Apartments Corp. Over 20 years of experience in senior and board roles in the financial and lending industries.
Trichome also is pleased to announce that it is commencing a non-brokered private placement for gross proceeds of up to $20,000,000 (the “Private Placement”). The Company intends to use the net proceeds from the Private Placement to deploy into loans to a variety of cannabis sector participants as well as for working capital purposes.
This news release does not constitute an offer to sell, or a solicitation of an offer to buy, any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state security laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Trichome is a majority-owned subsidiary of CannaRoyalty and was formed to offer credit-based capital solutions to companies operating across the Canadian cannabis value chain. Trichome expects to offer creative credit-based capital solutions to cannabis companies in need of capital for a broad array of requirements. Trichome is focused primarily on addressing the largely underserviced Canadian cannabis market and expects to expand to meet the needs of companies operating in fully legal international markets as those jurisdictions develop.
CannaRoyalty is an active investor and operator in the legal cannabis industry. Its focus is on building and supporting a diversified portfolio of growth-ready assets in high-value segments of the cannabis sector, including research, consumer brands, devices and intellectual property. CannaRoyalty’s management team combines a hands-on understanding of the cannabis industry with seasoned financial know-how, assembling a platform of holdings via royalty agreements, equity interests, secured convertible debt, licensing agreements and its own branded portfolio. CannaRoyalty’s shares trade on the Canadian Stock Exchange (CSE) under the symbol CRZ and internationally on the OTCQX under the symbol CNNRF.
For further inquiries, please contact:
Jonathan Ross, CFA
LodeRock Advisors Inc.
For Trichome inquiries, please contact:
Kevin Jarrett, VP, Investments