Avidus Management Group Inc. (TSXV:AVD) signed an asset purchase agreement to acquire Akea, LLC for CAD 2.3 million on February 17, 2014. Under the terms of the agreement, Avidus Management will pay CAD 0.5 million at the effective date of the acquisition, post-closing payments of CAD 0.4 million four weeks from the effective date of the acquisition and CAD 1.5 million paid through royalties based on a percentage of monthly revenues. Avidus Management will also pay CAD 0.27 million for the physical assets, including inventory; in two equal payments for the physical assets to occur on August 1, 2014 and February 1, 2015. Akea, LLC generated revenues of $2.2 million (CAD 2.35 million). The net proceeds of the private placement of 8 million units to raise CAD 0.8 million will be used primarily to fund the post-closing payments and costs associated with the acquisition. The transaction is subject to approval of the TSXV. James Beesley of Sequoia Partners Inc. managed investor relations for Avidus Management.

Avidus Management Group Inc. (TSXV:AVD) completed the acquisition of Akea, LLC on February 17, 2014.