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Capital Mining Limited

Capital Mining has agreed to pay $7 million in cash plus $25 million worth of stock options for a 49 per cent stake in Broken Coast Cannabis in a reverse takeover deal. The new entity will also buy 100 per cent of Vancouver-based Cannan Growers for $250,000 cash plus $1 million in stock options. Broken Coast is one of 14 growers to hold a distribution license in Canada. In addition to its retail operations, Broken Coast also wholesales to other licensed pot dealers in Canada. BCC currently has the capacity to produce 720,000 grams of cannabis annually. Through the proposed investment by CMY, BCC intends to increase production to 2,000,000 grams. Owns Cannan Growers rights to their MMPR license application and intellectual property required to make license applications throughout the world (based on the Canadian system), including Australia. CGI is a distributor of bulk wholesale cannabis, industrial hemp and respective bi-products and derivatives. CGI has a pipeline of initiatives in North America, South America, Europe, and Asia in anticipation of the global shift of the medicinal health, wellness and industrial cannabis industries. CGI intends to serve these sectors as the Quality Assured raw materials supplier for leading hemp based consumer goods companies.
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