General Cannabis, Corp. (OTCMKTS:CANN) Announces Completion of Initial Closing – How Will Investors React to the News?

General Cannabis, Corp. (OTCMKTS:CANN) announced the completion of their initial $3 million closing transaction with various private parties.

DENVER, Sept. 22, 2016 (GLOBE NEWSWIRE) — General Cannabis Corporation (OTCQB:CANN), the all-in-one resource to the regulated cannabis industry, today announced that it completed the initial closing of a $3.0 million private placement transaction with various private parties including existing noteholders of the Company.

The Company issued $2.8 million of senior secured promissory notes and an aggregate of 8,400,000 warrants to purchase common stock.  The notes bear interest at 12% per annum and are secured by all of the Company’s assets.

The proceeds of this debt raise will be used primarily to fund the Company’s expansion, repayment of existing mortgages, senior secured debt, and for working capital, as well as to pay any fees and expenses associated with the placement.

“This debt raise will allow us to deliver increased value to our shareholders,” said Robert Frichtel, Chief Executive Officer of General Cannabis Corporation. “We are managing our cost of capital through these transactions and creating a significant amount of working capital to continue our acquisition strategy in the marijuana industry.”

Mr. Frichtel added, “The impact of replacing existing debt and this new capital is exceptional. It positions General Cannabis to continue its strategy of acquiring emerging companies in the cannabis space. With this transaction, we consider ourselves well capitalized to take advantage of the many opportunities that we see emerging in the near future.”

Michael Feinsod, Chairman of the Board added, “This financing represents a significant step forward in positioning the Company’s capital structure to better support our strategic growth plans while bringing additional value to our shareholders.”


General Cannabis Corporation is the all-in-one resource for the highest quality service providers available to the regulated Cannabis Industry. We are a trusted partner to the cultivation, production and retail side of the cannabis business. We do this through a combination of strong operating divisions such as real estate, consulting, security, financing and the distribution of important infrastructure products to grow facilities and dispensaries. As a synergistic holding company, our subsidiaries are able to leverage the strengths of each other, as well as a larger balance sheet, to succeed. Our website address is

Safe Harbor

This presentation contains forward-looking statements which relate to future events or General Cannabis’ future performance or financial condition. Any statements that are not statements of historical fact (including statements containing the words “believes,” “should,” “plans,” “anticipates,” “expects,” “estimates” and similar expressions) should also be considered to be forward-looking statements. These forward-looking statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as result of a number of factors, including those described from time to time in General Cannabis’ filings with the Securities and Exchange Commission. General Cannabis undertakes no duty to update any forward-looking statements made herein.

Original Source


Potential investors in General Cannabis, Corp. (OTCMKTS:CANN) should be looking at the current and historical short data in order to get a glimpse of where the market believes the stock might be headed.  According to the most recent information, there are 8300 total short interest.  Given the stock’s average daily volume of 152258, this results in 0.1 days to cover.  In looking at the total shares short in respect to the total outstanding share total of 15500000, yields a 0.00054% of total shares that are short.  Compared to last month, this is a -14.43 change in total short interest.

When investors engage in short selling or “shorting a stock”, they actually borrow shares from an existing owner, sell the borrowed shares at market price, and take the cash.  The short sellers then promise to replace the stock in the future and makes dividend payments out of their own pockets to cover the dividend income that is no longer exists on the original, now borrowed and sold, shares.

They hope that the stock price will fall or that the company will fail and go bankrupt, leading the equity holders to ruin.  The short sellers will then buy the stock back at a much lower price and replace the borrowed shares, pocketing the difference.

Shorting a stock can be very risky if the price doesn’t decline like planned and, in fact, increases.  It’s important for any investor to understand the dangers and potentially catastrophic financial losses of short selling.

Are General Cannabis, Corp. (OTCMKTS:CANN) Shares Ready to Explode?  Sign up to our Newsletter to be the First to Know

Sign up to get our Free Penny Stock Picks Before the Street!

General Cannabis, Corp. (OTCMKTS:CANN) shares closed the most recent session at $1.6, moving from the previous open of $0.16.  This is compared to the stock’s 52-week high of 1.95 and 52-week low of 0.32.  Is now the right time to take stake in the 27550000 market cap company?

Sign Up to Receive Breaking Alerts on Stocks That Are Primed to Make a Run in the Bar Below.

Sign up to get our Free Penny Stock Picks Before the Street!

Disclaimer: The views, opinions, and information expressed in this article are those of the authors and do not necessarily reflect the official policy or position of any company stakeholders, financial professionals, or analysts. Examples of analysis performed within this article are only examples. They should not be utilized to make stock portfolio or financial decisions as they are based only on limited and open source information. Assumptions made within the analysis are not reflective of the position of any analysts or financial professionals.




Related posts

Leave a Comment