By my calcs issuing 2,539,166 options shares, where 207,332,100 total shares are listed on the asx, equates to about a 1.138%.
There is still about 50,000,000 in pending options or performance rights between now and the end of 2020.
9,000,000 Class C Performance
9,000,000 Class D Performance Rights
4,500,000 Class B Options ($0.20, 6 May 2019)
350,000 Class C Options ($0.31, 6 May 2019)
2,500,000 Class D Options ($0.40, 27Jul 2018)
1,500,000 Class E Options ($0.20, 27Jul 2018)
8,361,885 Class F Options ($0.45, 8 Sep 2018)
2,537,500 Class G Options ($0.36, 1 Mar 2019)
874,641 Class H Options ($0.27, 31 Jan 2020)
3,000,000 Class I Options ($0.24, 6 Jun 2019)
3,000,000 Class J Options ($0.24, 1 Sep 2020)
The options were granted for consideration to a variety of entities who have been involved in making deals happen in leui of cash payment.
The performance rights are exerciseable as per the milestone conditions in the 2015/16 annual report, and expire if not met by 29 June 2015 and expire on the 29th of June 2018 (C) or 2019 (D). If either milestone is accomplished, it wouldn't be a bad thing. It would mean we got granted a patent and/or signed a licence agreement, for said patent (tbh, not sure if existing patent/licence agreements with Yissim and Canigma count). Or we set up another grow facility in a country which didnt allow medical cannabis production in 2016, and made our first sales from it. Or Boaz managed to sell 500kg of Bud or $5,000,000 worth of canabanoids. A couple of milestones have already been met, and performance shares issued, due to the Bioscience merger and the Canada licence being granted (both events worth celebration and performance reward)
I'd expect the remaining performace rights to expire due to Boaz's retirement. I don't think we're looking to expand into another country to grow before the current facilities are in full production and the expansions of Lucky Lake and Duncan are well underway. Two years isn't enough time to setup a facility and export product in a jurisdiction still figuring out it's regulations (e.g. Australia). Expanding in Canada is a much safer bet.
That leaves about 32,000,000 options, which isn't bad for a company (phytotech) which merged with MMJ Bioscience, at a cost of $15.5 million in scrip and $5.2 million in performance shares, then sold two of MMJ Bioscience's subsidiaries (United greeneries and Satipharm) to Harvest One for $40,000,000 in shares and 2 mil in cash 2 years later (share now worth $50mil btw).
The deal now with PanCann is pretty much "I'll share my thing with you if you build it and get it going, and then build another thing we can also share, and you can have 40% of what the thing makes for 10% more than it costs to make it". Good deal in my book.
A few options and performance shares here and there are good motivation to push things forward. Without them we probably wouldn't have a licence in Canada or a listing on the TSX-V.
