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8-K - CURRENT REPORT - GILLA INC. | glla_8k.htm |
Exhibit 99.1
NOT FOR DISTRIBUTION TO UNITED STATES OF AMERICA WIRE
SERVICES
OR DISSEMINATION IN THE UNITED STATES OF AMERICA
GILLA CLOSES TRANCHE OF PRIVATE PLACEMENT UNIT
OFFERING
TORONTO, ON – (February
6th,
2017) - Gilla
Inc. (“Gilla” or the “Company”)
(OTCQB: GLLA), the fast-growing designer, manufacturer and marketer
of E-liquid for vaporizers, announced today that the Company has
closed a tranche of its non-brokered private placement (the
“Offering”) of 7,546,012 units of the Company (the
“Units”) at a price of US $0.10 per Unit for total
gross proceeds of US $754,601. Each Unit consisted of one common
share of the Company (the “Common Shares”) and one half
common share purchase warrant (the “Warrants”). Each
full Warrant shall entitle the holder to purchase one common share
of the Company at a price of $0.20 per share for a period of twelve
months following the closing.
The
Company continues to work towards closing on the balance of the US
$1,500,000 Offering which is expected to close on or about February
16th,
2017. The Company also maintains the right to increase the Offering
by up to thirty percent of the total gross proceeds. The proceeds
of the Offering will be used to advance ongoing product development
and growth initiatives in the cannabis industry and related working
capital needs. The Company shall also pay a placement agent fee
equal to six percent in cash and placement agent warrants equal to
six percent of the number of Units sold to accredited investors
introduced to the Company by registered dealers pursuant to the
Offering.
Neither
the Common Shares nor the common shares issuable upon exercise of
the Warrants thereof will be registered under the Securities Act of
1933, as amended, or any state securities laws and they may not be
offered or sold in the United States absent of registration or an
applicable exemption from registration requirements. The Units will
be sold in a private placement to accredited investors in the
United States and pursuant to Regulation S outside the United
States. This press release does not constitute a solicitation or
offering to purchase the Units or any other securities of the
Company. All references to dollar amounts in this press release are
in United States Dollars unless stated otherwise.
About Gilla Inc.
Gilla
Inc. manufactures, markets and distributes E-liquid, which is the
liquid used in vaporizers, E-cigarettes, and other vaping hardware
and accessories. E-liquid is heated by the atomizer to deliver the
sensation of smoking. Gilla aims to be a global leader in the
manufacturing and distribution of E-liquid for the vapor industry.
The Company provides consumers with choice and quality across
categories and price points. Gilla’s product portfolio
includes Coil Glaze, The Drip Factory, Surf Sauce, Siren, VaporLiq,
Craft Vapes, Craft Clouds, Vinto Vape, Vape Warriors, Miss
Pennysworth’s Elixirs, The Mad Alchemist, Replicant and Crown
E-liquid brands.
Forward-looking Statements
Note:
This press release contains “forward looking
statements” as defined in the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are based on
currently available competitive, financial and economic data and
management’s views and assumptions regarding future events.
Such forward-looking statements are inherently uncertain. Gilla
Inc. cannot provide assurances that the matters described in this
press release will be successfully completed or that the company
will realize the anticipated benefits of any transaction. Actual
results may differ materially from those projected as a result of
certain risks and uncertainties, including but not limited to:
global economic and market conditions; the war on terrorism and the
potential for war or other hostilities in other parts of the world;
the availability of financing and lines of credit; successful
integration of acquired or merged businesses; changes in interest
rates; management’s ability to forecast revenues and control
expenses, especially on a quarterly basis; unexpected decline in
revenues without a corresponding and timely slowdown in expense
growth; the company’s ability to retain key management and
employees; intense competition and the company’s ability to
meet demand at competitive prices and to continue to introduce new
products and new versions of existing products that keep pace with
technological developments, satisfy increasingly sophisticated
customer requirements and achieve market acceptance; relationships
with significant suppliers and customers; as well as other risks
and uncertainties, including but not limited to those detailed from
time to time in Gilla Inc. SEC filings. Gilla Inc. undertakes no
obligation to update information contained in this release. For
further information regarding risks and uncertainties associated
with Gilla Inc.’s business, please refer to the risks and
uncertainties detailed from time to time in Gilla Inc.’s SEC
filings.
For
more information, please visit gilla.com, or
contact:
Mr. Bradford Long
Investor Relations
T: 1
(888) 994-GLLA (4552)
E:
brad.long@gilla.com