SANTA ANA, Calif., June 12, 2018 /PRNewswire/ -- KUSH BOTTLES, INC. (OTCQB: KSHB) ("Kush Bottles" or the "Company"), a leading provider of packaging, supplies, vaporizers, hydrocarbon gases, solvents, accessories and branding solutions for the regulated cannabis industry, today announced it closed a registered direct offering of 7,500,000 shares of common stock and warrants to purchase 3,750,000 shares of common stock with a combined purchase price of $4.80 per share. The warrants have an exercise price of $5.28 per share, are immediately exercisable and will expire five years from the date of issuance. The gross proceeds of the offering are approximately $36,000,000 before deducting placement agent fees and other estimated offering expenses. The Company intends to use the net proceeds for general corporate purposes, including, among other things, working capital, product development, acquisitions, capital expenditures, and other business opportunities.
A.G.P./Alliance Global Partners acted as the sole placement agent for the offering.
Kush Bottles' Chief Executive Officer, Nick Kovacevich, commented, "Kush Bottles has proven its ability to identify and monetize lucrative areas of the cannabis market. In doing so, Kush has established itself as the largest ancillary product provider to the industry, as demonstrated by its significant growth and the widespread adoption of its products. We believe this capital injection gives us additional resources to expand quickly into new markets, innovate rapidly, make strategic acquisitions and broaden our diversified suite of ancillary products and services for the global cannabis industry. We are pleased to secure this investment from institutional investors that share our vision for Kush Bottles and the cannabis industry."
This offering was made pursuant to an effective shelf registration statement on Form S-3 (File No. 333-221910) previously filed with the U.S. Securities and Exchange Commission (the "SEC"). A prospectus supplement describing the terms of the proposed offering have been filed with the SEC and are available on the SEC's website located at http://www.sec.gov. Electronic copies of the prospectus supplement may be obtained from A.G.P./Alliance Global Partners, 590 Madison Avenue, 36th Floor, New York, NY 10022 or via telephone at 212-624-2006 or email: firstname.lastname@example.org.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Kush Bottles
Kush Bottles, Inc. (OTCQB: KSHB) is a dynamic sales platform that provides unique products and services for both businesses and consumers in the cannabis industry including cannabidiol ("CBD") manufacturers. Founded in 2010 as a packaging and supplies company for dispensaries and growers, Kush Bottles has sold more than 1 billion units and now regularly services more than 5,000 legally operated medical and adult-use dispensaries, growers, and producers across North America, South America, and Europe. The Company has facilities in the three largest U.S. cannabis markets and a local sales presence in every major U.S. cannabis market.
Kush Bottles aims to be the gold standard for responsible and compliant products and services in the cannabis industry. Kush Bottles has no direct involvement with the cannabis plant or any products that contain tetrahydrocannabinol (commonly referred to as THC) or CBD.
For more information, visit www.kushbottles.com or call (888)-920-5874.
This press release may include predictions, estimates or other information that might be considered forward-looking within the meaning of applicable securities laws. While these forward-looking statements represent the Company's current judgments, they are subject to risks and uncertainties that could cause actual results to differ materially. You are cautioned not to place undue reliance on these forward-looking statements, which reflect the opinions of the Company's management only as of the date of this release. Please keep in mind that the Company is not obligating itself to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events. When used herein, words such as: "potential," "expect", "look forward," "believe," "dedicated," "building," or variations of such words and similar expressions are intended to identify forward-looking statements. Factors that could cause actual results to differ materially from those contemplated in any forward-looking statements made by the Company herein are often discussed in filings the Company makes with the United States Securities and Exchange Commission (SEC), available at: www.sec.gov, and on the Company's website at: www.kushbottles.com.
Kush Bottles Contacts
Phil Carlson / Elizabeth Barker
KCSA Strategic Communications
212-896-1233 / 212-896-1203
SOURCE Kush Bottles, Inc.