information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
30 January 2020
BLOCK COMMODITIES LIMITED
("Block Commodities" or the "Company")
Block Commodities Limited / Epic: BLCC / Sector: Mining
Extension of option to acquire Greenbelt Company Limited
London, 30 January 2020 - Block Commodities Ltd ("Block" or the "Company") is pleased to announce an extension of the exclusive share option agreement with Greenbelt Company Limited ("Greenbelt").
On 27 March 2019 Block Commodities announced that it had entered into a Binding Contract with Greenbelt's shareholders to acquire a 100% interest ("Sale Shares") in the business.
Greenbelt has access to over 4,000 acres of farmland in Sierra Leone which it leases to licensed retail cultivators. In November 2018, Greenbelt was granted a licence by the Sierra Leone Minister of Agriculture and Forestry for medical cannabis production and processing. Block Commodities plans were to 'fast-track' and streamline operations in Sierra Leone as soon as the acquisition was finalised.
Subject to successful due diligence and the execution of transactional documentation, Block Commodities had agreed to pay a premium of GBP 10,000 for a 90-day exclusive option to acquire the Sales Shares for a consideration of GBP 4 million to be satisfied by the issue of new ordinary shares at a price of £0.001 upon exercise of the option. This is at a premium to the share price of Block Commodities Limited which was £0.0003 when the shares were suspended on 21 September 2018.
The Company now wishes to inform shareholders that it has reached a verbal agreement to extend the exclusive share option agreement with Greenbelt. This informal agreement will allow Block to extend the original 90-day option period until such point that the acquisition is completed.
Both parties remain in regular contact and the Company will keep shareholders informed of any further developments.
The Directors of the Company accept responsibility for the content of this announcement.
Building on well-established connections and technology expertise, the Company has expanded its operations into the CBD wellness and medicinal cannabis market with a strategy to produce and process cannabis-based products via licences in Africa, to supply the growing demand in Europe.
For more information, visit: http://www.blockcommodities.com