January 15th, 2018
Friday Night Inc. Provides An Update On BAMM LOI And Proposed Spin Out Of Infused Mfg.
Friday Night Inc. is pleased to announce an update to the terms of the Body and Mind letter of intent, and announce a proposed spin out plan for Infused MFG.
Body and Mind LOI
As a result of the negotiations between the parties in respect to the letter of intent (“LOI”) signed with Body and Mind Inc. (“BAM”), the implied value of the BAM shares has been adjusted to an implied value of $1.65 per share or a ratio of 1.65:1 for each BAM share held. Holders of convertible BAM securities will see their options and warrants converted to Friday Night securities with similar terms after taking into account the exchange ratio.
The board and management of BAM remains supportive of the transaction notwithstanding the exchange adjustment. The parties anticipate entering into a definitive agreement imminently. The transaction remains subject to BAM shareholder approval and any required regulatory or exchange approvals.
Infused MFG.
Friday Night is also pleased to announce it has reached an agreement in principle with the holder of the 9% interest of its operating subsidiaries in Nevada, AMA and Infused, to acquire the same. The proposed transaction contemplates the exchange of the minority interest in AMA for an interest in Infused MFG., followed by the spin-out of Infused MFG. as a separate publicly traded company. This spin-out would be completed prior to the close of the BAM transaction.
Subject to regulatory approvals and advice from corporate advisors, each Friday Night shareholder will receive 1 Infused MFG. share for each 4 Friday Night shares held. Friday Night has agreed to backstop an initial private placement, so the new company has sufficient cash reserves to both expand and to make strategic acquisitions when available. Final details will be announced when available.
The Company feels that Infused MFG. and their Canna Hemp brand has been successful in building its business and the time is right for a separate management team to expand on its success.
It is a business that could thrive in CBD products alone, so its spin out into a separate company will eliminate for it, some of the volatility associated with USA Cannabis based businesses.
For more information contact:
Joe Bleackley
Director of Corporate Communications
604-674-4756
Joe@FridayNightInc.com
