TORONTO, December 15, 2023 (– Red White & Bloom Brands Inc. (CSE: RWB and OTC: RWBYF) (“RWB” or the “Company”) is providing an update on matters relating to Aleafia Health Inc. (“Aleafia Health”).
Following receipt of the approval and reverse vesting order from the Ontario Superior Court of Justice (Commercial List) on October 31, 2023, RWB has continued to work with Aleafia Health and certain of Aleafia Health’s subsidiaries to implement the transactions contemplated by the previously announced stalking horse asset purchase and share subscription agreement, as amended and restated on October 24, 2023 (the “Amended Stalking Horse Agreement”) among RWB, Aleafia Health and certain of Aleafia Health’s subsidiaries.
RWB remains committed to completing the transactions as soon as possible. At this time, the only unsatisfied material closing condition known to RWB is the receipt of change of control regulatory approval from Health Canada. RWB has been advised by Aleafia Health that it has received correspondence from Health Canada indicating that the approval process is progressing well and that there are no further comments or questions to be addressed by Aleafia Health on the change of control application submitted to Health Canada at this time. Health Canada has also acknowledged the priority associated with the aforementioned approval.
Given the above noted condition, the parties have mutually agreed to extend the outside date in the Amended Stalking Horse Agreement from December 15, 2023, to January 19, 2024. RWB is hopeful to receive Health Canada’s approval sooner so that completion of the transactions can take place well in advance of the new outside date. RWB remains prepared to close the transaction in short order once regulatory approval on the change of control is received from Health Canada.
About Red White & Bloom Brands Inc.
Red White & Bloom is a multi-state cannabis operator and house of premium brands in the U.S. legal cannabis sector. RWB is predominantly focusing its investments on the major U.S. markets, including Arizona, California, Florida, Massachusetts, Missouri, Michigan, and Ohio. The Company has also successfully introduced select Platinum brand of cannabis products into the Canadian provincial cannabis markets by way of an asset-light partnership with Aleafia Health.