Good morning guys,
I wish to clarify a few things that have appeared here overnight and this morning.
ANNOUNCEMENTS
The wording of the announcements, the company places on the ASX platform, are EXACTLY as the ASX approve and verify, and are checked/edited and/or created by our Corporate legal team. During the recompliance period all announcements must be written in a manner that must align with the current series of Prospectus Supplements and any variation in business activities that may occur as a result of said ongoing business activities and as approved by the regulatory bodies.
MEDCAN
Medcan are not leaving Cann Global. No where, in any of our announcements, this week, does it state that Medcan are no longer in partnership with Cann Global. That is FALSE. Both Craig Cochran and Gareth Ball have been very supportive of our current new deal and are good friends and solid partners with Cann Global. We are looking forward to continue building a strong relationship with them and they will be playing a key role in our future work with BioHealth, as will CannTab and PharmoCann. The only change happening is a variation of the original agreement, as reported, and we will not be completing a 100% Merger with them. We no longer will be required to issue the 250,000,000 shares. They will still be cultivating and producing for us and providing Cann Global full access to their suite of licenses.
Please note the following excerpts from the Strategic Alliance announcement about Medcan.
" CGB has now entered into a revised agreement pursuant to which Medcan has agreed to facilitate the manufacture, importing and exporting of cannabis products and/or ingredients to enable CGB to meet its business objectives (Revised Medcan Agreement)."
" Medcan will facilitate: • the import and export of products under CGB’s arrangements with third parties (including CannTab Therapeutics Ltd (CannTab)) and Pharmocann Ltd (Pharmocann)) as well as any future products that CGB may want to manufacture or distribute;
• the manufacture of CGB’s products (using either its own facility or the facility of third parties);
• The storage of and growing of CGB’s unique genetics and seed bank; and
• use of a designated area within its facility for a lab for genetic development for CGB, and for manufacturing of oil extraction for CGB.
In consideration for these manufacturing, import/export and other services to be provided by Medcan, CGB will pay Medcan’s out of pocket expenses associated with the provision of these services and will in addition issue a total of 18 million CGB shares, through the quarterly issue of 2.25 million shares (in aggregate) to the management of Medcan over a 24-month period. "
We have retained a strong ongoing partnership with Medcan.
BIOHEALTH MOU
Regarding the MOU. There is nowhere in our MOU that says it is non binding.
We are currently preparing the necessary paperwork needed to go back to shareholders to approve the deals, but that doesn't make them any less binding, the approval of the deals by shareholders is only required for the ASX Listing recompliance, and not a corporations act matter.
There is nothing stopping the directors from doing binding deals now, and both the new deal with Medcan and the deal with BioHealth are both binding deals. When the company does any material deal, it must release an updated prospectus with these details.
The funds raised are in escrow and can not be spent until the recompliance is complete and a trading date is finalised with the ASX. Whenever there is a change to Cann Global's previous use of funds or a variation in the business activities, it requires that the company issue an updated prospectus where the few investors in the CR that don't approve of the new structure have the ability to withdraw their funds, and all other shareholders who do approve of the restructure can even invest further if they so wish.
ARE THE DEALS REAL?
All the deals that are entered into by the company and are reported to market are genuine and binding at the time of signing, unless otherwise stated, and are successfully negotiated through the building of strong relationships and trust during business negotiations. If there are any changes or variations in the agreement the company MUST inform the ASX.
Are the deals real? Sholom recently invited me to attend the negotiation meetings, and signing of the MOU agreement with BioHealth. I represented the company and shareholders, as Head of Media and Shareholder Relations. I was asked to attend these meetings due to my background and past corporate experience dealing with Chinese companies. The negotiations were very cordial and the team at BioHealth were very sincere and genuine in their desire to work with Cann Global and our partners. We also toured their facilities and I will be presenting a report on this at a later date.
RENT & STAFF/MANAGEMENT FEES
RENT: This has been explained many times. I have visited the facilities: home and large office space now many times. The company is saving the shareholders thousands in yearly Sydney office fees. This office/home is ideal as stated in previous ann's, provides a fully serviced office environment and also acts, in the lower floors, as a residence for the E.C and her husband. As the company is an International company working through different timezones and a 24 hour work clock, these type of facilities are required to ensure quick access to files, conferencing and issuing of agreements to Canada, China, Israel, Asia and the United States as well as the many time zones in Australia. This also allows the company to operate a global headquarters, at this stage of the business growth, without having to spend shareholder money on overseas offices. Many other companies have to do this. CGB do not.
MANAGEMENT FEES: If I may sugges; one of the members, who is proficient at doing charts, prepare a list of admin/staff fees for all the MM stocks and present a chart in here to show all members how CGB management actually compares to all other companies. Use the latest Quarterlies. I have prepared such a report for our management team, but cannot show it in here as it would appear as giving investment advice. You are free to then draw your own conclusions.
Thanks,
Neil1959.
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