On January 18, 2019, Hempco Food and Fiber Inc. (TSXV:HEMP) closed the transaction. The company has received CAD 2,000,000 in its second tranche. The company has received funding in non-brokered private placement of non-transferable, secured, convertible debenture.

The debenture caries a fixed interest rate of 8% per annum. The debenture will mature on the second anniversary of the date of issue. The debenture will be converted into common shares at a fixed conversion price of CAD 1.18 per share.

The debenture secured by a general security agreement and a guaranty from the company's wholly owned subsidiary, Hempco Canada Superfoods Inc. The guaranty will be secured by a general security agreement from the company's wholly owned subsidiary. The debentures will be subject to a four-month hold period under applicable securities laws. The transaction is subject to approval by TSX Venture Exchange.

The company announced that TSX Venture Exchange has accepted filing documentation with respect to the transaction. The transaction included participation from one placee including Aurora Cannabis Inc for 4,237,288 conversion.