Canadian Cannabis Corp. (OTCBB:CCAN) entered into a binding letter of intent to acquire 61% stake in Novo Healthnet Limited for $9.6 million in stock on January 5, 2015. Following the transaction, Canadian Cannabis will be able to appoint 3 directors to the Board and one officer in an operations role and one officer in the Secretary/Treasurer of Novo Healthnet.

The transaction is subject to execution of definitive agreement, third party approval, consummation of due diligence investigation, necessary board approvals and shareholder approvals and all necessary regulatory approvals. Novo Healthnet shall have discharged the entire current balance of debenture debt on the Novo Healthnet balance sheet to ICC Healthnet Canada Inc., in the approximate amount of $3 million. The transaction is expected to be terminated if the definitive agreement is not negotiated and executed on or before February 12, 2015.