North Bud Farms Inc., a company backed Tetra Bio-Pharma Inc. (TSX-V: TBP; OTCQB: TBPMF), has filed a non-offering prospectus.
North Bud Farms intends to apply to list its common shares on the Canadian Securities Exchange (CSE).
Concurrently with the filing of the prospectus, North Bud Farms is conducting a third-party non-brokered private placement consisting of a minimum of 10,000,000 units and a maximum of 14,000,000 units, at a price of $0.25 per unit, to raise gross proceeds of a minimum of $2,500,000 and a maximum of $3,500,000.
North Bud Farms has previously raised $1.75 million through the issuance of common shares at $0.05 and $0.10 per share since its inception on November 29, 2016.
North Bud Farms Inc. through its wholly owned subsidiary GrowPros MMP Inc., is in the process of applying to Health Canada to become a Licensed Producer under the Access to Cannabis for Medical Purposes Regulations (Canada) (ACMPR).
Currently, Tetra Bio-Pharma Inc. and North Bud Capital Holdings Ltd. are two largest shareholders controlling 15,000,000 (40%) and 7,000,000 (18.67%) of the outstanding common shares. North Bud Capital Holdings is controlled by North Bud Farms’ CEO Ryan Brown, President André Audet and Director Kosta Kostic.
Tetra Bio-Pharma intends to distribute 15,000,000 common shares it currently holds to its shareholders as a dividend in kind on a pro rata basis, concurrently with the listing of North Bud Farms common shares on the CSE.