Wuhan General Group Inc. (OTCMKS:WUHN) has announced that it is venturing into the hemp industry. The psilocybin medical research and plant-based cannabinoids company have launched M2BIO Hemp Product Research and Development Division which be based in Cape Town in South Africa.
M2BIO Hemp Division to lead hemp research
The company’s COO Willem Jonker will lead the M2BIO Hemp Division. He will be responsible for overseeing a team of engineers across various engineering fields. Jonker said that Hemp is expected to have a huge impact across the globe in various positive ways. He added that Wuhan General Group is keyed up to lead hemp researchers into how they can turn stalks into products. Jonker further indicated that the Hemp Division is the next logical step for the company in its quest to deliver hemp benefits to people across the globe.
Jeff Robinson, Wuhan General Group’s CEO said that part of the company’s responsibility is helping with environmental sustainability and ensuring safety for future generations by acting responsibly and exploration of sustainable alternatives. He added that the hemp packaging opportunities and possibilities are massive.
Wuhan General Group announce $0.45 Million private placement
Recently the company announced a private placement financing of $0.45 million with ThreeD Capital Inc. which will see the company issue 1.5 million units at $0.3 per unit. A unit comprises one common share of the company and one common share purchase warrant that will be exercisable at $0.3 per warrant. The warrants have an expiry of three years from the day of issuance.
At Wuhan General Group’s option, it may forces the warrant holder to exercise the warrants at $0.3 over share provided the closing bid prices of its stock on the OTC Bulletin board will have been over $1 for more than 20 days. The company expects to close the placement by the end of January 2021. Robinson said that they are delighted to have Sheldon Inwentash and ThreeD Capital as a strategic investor and they are looking forward to the synergistic alliance going forward.