Rapid Dose Therapeutics Corp. (CNSX:DOSE) entered into a binding letter of intent to acquire 2544737 Ontario Limited for CAD 5 million on January 7, 2021. Rapid Dose Therapeutics Corp.

(CNSX:DOSE) entered into an amalgamation agreement to acquire 2544737 Ontario Limited on March 7, 2021. Pursuant to the transaction, Rapid Dose is to issue 16,666,667 common share units, each consisting of 1 common share and 1 common share purchase warrant at a deemed price of CAD 0.30 per unit in exchange for 100% of the common shares of 2544737 Ontario Limited. The number of common shares of Rapid Dose to be issued represents, after issuance, approximately 17.12% of the issued and outstanding shares of Rapid Dose on an undiluted basis and approximately 27.53% of Rapid Dose shares on a fully diluted basis after taking into consideration the exercise of all stock options and warrants outstanding after this transaction.

The transaction is subject to negotiation of a definitive agreement which will contain terms and conditions of the LOI and other terms and conditions customary for transactions of the nature and magnitude of the transaction, including completion of due diligence investigations and any necessary approvals of regulatory authorities, shareholders, and board of directors. The transaction will also be subject to a negotiated escrow agreement between the parties including timed releases of the units over a period of 11 months. The transaction is expected to be completed on February 15, 2021.

Transaction is expected to close on March 11, 2021.