Tress Capital Portfolio Company WasteTrakr acquired by Global Cannabis Applications Corp.
Global Cannabis Applications Corp. (“GCAC” or the “Company”) (CSE:APP), (FSE:2FA), (OTC:FUAPF), is pleased to announce that, further to its news release dated June 16, 2022, it has completed the acquisition (the “Acquisition”) of WasteTrakr Technologies, Inc. (“WTT”). The Acquisition was completed pursuant to a Share Exchange Agreement (the “Definitive Agreement”) entered into among the Company, WTT, and the shareholders of WTT (the “WTT Shareholders”). Following the completion of the Acquisition, WTT is a wholly-owned subsidiary of the Company.
Pursuant to the terms and conditions of the Definitive Agreement, the Company acquired 100% of the issued and outstanding securities of WTT in exchange for securities of the Company. Prior to the completion of the Acquisition, WTT had 10,000,000 common shares issued and outstanding (the “WTT Shares”). As consideration for the Transaction, the Company:
Issued an aggregate of 2,310,108 common shares in the capital of the Company (the Consideration Shares”) to the WTT Shareholders pro rata in proportion to their holdings of the WTT Shares. An additional 256,692 Consideration Shares are being held back (the Holdback Shares”) as security for the warranties, representations and covenants of WTT and the WTT Shareholders provided in the Definitive Agreement. Provided that the Company has not given notice of a claim to WTT or the WTT Shareholders, then the Holdback Shares will be issued one the date that is 180 business days following the closing of the Transaction; and granted an aggregate of 500,000 common shares purchase warrants (the Consideration Warrants”) to the WTT Shareholders pro rata in proportion to their holdings of the WTT Shares. Each Consideration Warrant is exercisable into one common share in the capital of the Company (a Warrant Share”) at a price of $0.09 per Warrant Share for a period of twenty-four months from the closing of the Transaction.