Choom Announces Phivida Shareholder Approval of Arrangement

VANCOUVER, BC, Sept. 4, 2020 /CNW/ - Choom™ (CSE: CHOO) (OTCQB: CHOOF), an elevated adult use cannabis company that has secured one of the largest national retail networks in Canada is pleased to announce that the shareholders of Phivida Holdings Inc. ("Phivida") have approved the plan of arrangement with Choom (the "Arrangement") previously announced on June 2, 2020.

The Company expects that Phivida will apply for a final order of the Supreme Court of British Columbia for approval of the Arrangement to be heard on or about September 9, 2020. Assuming the satisfaction or waiver of the other closing conditions thereof, the implementation of the Arrangement and the closing of the acquisition of Phivida by Choom is expected to occur on or about September 11, 2020.

The Company also announces that it has granted an aggregate of 4,000,000 restricted share units ("RSUs") to executive officers of the Company, such RSUs to vest as to 50% on the date of grant with 25% to vest every three months thereafter and to be governed by the Company's RSU Plan.  All of the RSUs will be subject to applicable securities law hold periods.

About Choom™:

Choom™ is a fast-expanding retail cannabis company who has established one of the largest store networks in Canada. The Choom brand is inspired by Hawaii's "Choom Gang"—a group of buddies in Honolulu during the 1970's who loved to smoke weed—or as the locals called it, "Choom". Evoking the spirit of the original Choom Gang, our brand caters to the Canadian market with the ethos of 'cultivating good times'. Choom™ is focused on delivering an elevated customer experience through our curated retail environments, offering a diversity of brands for Canadians across a national retail network. 

Cautionary Statement:

NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATIONS SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Forward-looking information

This news release contains forward-looking information relating to the Company's proposed activities and other statements that are not historical facts. Forward-looking information relates to management's future outlook and anticipated events or results and include statements or information regarding the future plans or prospects of the Company, including the expected closing of the Arrangement. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. These factors include risks and uncertainties associated with or arising as a result of delays in obtaining or an inability to obtain required regulatory approvals, access to sufficient quantities of cannabis, the results of diligence investigations, the actions of third parties, the results of negotiations with third parties, developments in the cannabis sector, the ability to access sufficient capital from internal and external sources, reliance on key personnel, regulatory risks and delays and other risks and uncertainties discussed in the management discussion and analysis section of the Company's interim and most recent annual financial statement or other reports and filings, including those made with the CSE and applicable Canadian securities regulators. There can be no assurance that such forward looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information.

SOURCE Choom Holdings Inc.