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CVSI - CV Sciences Inc News Story

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Sector
Healthcare
Size
Micro Cap
Market Cap £11.5m
Enterprise Value £10.3m
Revenue £15.0m
Position in Universe 6727th / 7414

CV Sciences, Inc. Announces Convertible Note Financing

Mon 15th November, 2021 1:25pm
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SAN DIEGO, Nov. 15, 2021 (GLOBE NEWSWIRE) -- CV Sciences, Inc. (OTCQB:CVSI)
(the “Company”, “CV Sciences”, “our”, “us” or “we”), a
preeminent supplier and manufacturer of hemp cannabidiol (CBD) products, today
announced that it has entered into a securities purchase agreement with an
institutional investor, providing for the sale and issuance of convertible
notes due 2022 in the aggregate original principal amount of $1.06 million.
Upon our filing with the Securities and Exchange Commission of an additional
prospectus supplement and supplemental indenture and our satisfaction of
certain other closing conditions, we may elect to offer and sell up to and
additional $4,240,000 in aggregate principal amount of notes at additional
closings, resulting in potential gross proceeds for this offering and such
additional offerings, of approximately $5.3 million.

This initial offering is expected to close on or prior to November 17, 2021,
subject to satisfaction of customary closing conditions. The notes, when
issued, will have an original issue discount of 6%, will mature 6 months from
the closing date and will have an initial fixed conversion price of $0.2611,
which represents a 120% premium to the arithmetic average of the volume
weighted average prices of our common stock during the five trading day period
ended, and including, November 12th, 2021 and will be subject to full ratchet
antidilution protection. The Notes will also be alternately convertible, at
such holder’s option, at an alternate conversion price equal to the lesser
of (x) the fixed conversion price then in effect, and the greater of (x)
$0.01, (y) 90% of the arithmetic average of the three lowest volume weighted
average prices of our common stock during the ten (10) consecutive trading
days immediately prior to such conversion and (z) 97% of the lowest sale price
of our common stock on such conversion date.

The Company expects to use net proceeds of approximately $1 million, before
deducting transaction fees and other estimated transaction expenses, from this
offering for general corporate purposes which may include, without limitation,
funding of product development, sales and marketing activities, increasing the
Company’s working capital and investment in its products and intellectual
property in order to accelerate growth.

The securities in this initial offering are being offered pursuant to an
effective shelf registration statement on Form S-3 (File No. 333-237772) that
the Company previously filed with the U.S. Securities and Exchange Commission
(“SEC”). The offering will be made only by means of a written prospectus
supplement and the accompanying prospectus that form a part of the
registration statement. An electronic prospectus supplement and the
accompanying prospectus relating to the offering will be filed with the SEC.
Copies of the prospectus supplement and the accompanying base prospectus
relating to these securities will be available on the SEC’s website at
www.sec.gov.

This press release shall not constitute an offer to sell or the solicitation
of an offer to buy nor shall there be any sale of these securities in any
state or jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such state or jurisdiction.

About CV Sciences, Inc.
CV Sciences, Inc. (OTCQB:CVSI) operates two distinct business segments: a
consumer product division focused on manufacturing, marketing and selling
plant-based dietary supplements and CBD products to a range of market sectors;
and a drug development division focused on developing and commercializing
CBD-based novel therapeutics. The Company’s PlusCBD™ products are sold at
more than 7,700 retail locations throughout the U.S. and it is one of the
top-selling brands of hemp-derived CBD in the natural products market,
according to SPINS, the leading provider of syndicated data and insights for
the natural, organic and specialty products industry.  CV Sciences follows
all guidelines for Good Manufacturing Practices (GMP) and the Company’s
products are processed, produced, and tested throughout the manufacturing
process to confirm strict compliance with company standards and
specifications.  With a commitment to science, PlusCBD™ product benefits in
healthy people are supported by human clinical research data, in addition to
three published clinical case studies available on PubMed.gov.  PlusCBD™
was the first hemp CBD supplement brand to invest in the scientific evidence
necessary to receive self-affirmed Generally Recognized as Safe (GRAS) status.
CV Sciences, Inc. has primary offices and facilities in San Diego, California.
 Additional information is available from OTCMarkets.com or by visiting
www.cvsciences.com.

Forward Looking Statements
This press release may contain certain forward-looking statements and
information, as defined within the meaning of Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is
subject to the Safe Harbor created by those sections. This material contains
statements about expected future events and/or financial results that are
forward-looking in nature and subject to risks and uncertainties. Such
forward-looking statements by definition involve risk and uncertainties.

Contact Information

Investor Contact:
ICR
Reed Anderson
646-277-1260
reed.anderson@icrinc.com

Media Contact:
ICR
Cory Ziskind
646-277-1232
cory.ziskind@icrinc.com

(https://www.globenewswire.com/NewsRoom/AttachmentNg/b6d24907-4648-4d59-b927-204cc32d3b67)



GlobeNewswire, Inc. 2021
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