It seems that recent twitter comments from the #potstocks community on Twitter may reach Dan Bilzerian, if only marginally. Ignite International (CSE: BILZ) released a press release this morning entitled “Chairman of the Board of Directors Intends to Acquire IGNITE Shares for $ 25 million”. While it may sound exciting at first, Bilzerian will essentially buy certain outstanding debt and settle it with equity while underwriting a private placement of $ 5.0 million.

In the first transaction, Bilzerian will acquire 50,000 pro-rated voting shares in the company at a price of $ 0.50 per subordinated voting share. The transaction will have a total subscription value of $ 5.0 million with the shares effectively being bought at a 39% premium to market price.

Second, Bilzerian will enter into agreements with one of the company’s creditors to purchase Canadian $ 20 million of currently outstanding convertible bonds, which will then be settled with the company through stock offerings. A total of 200,000 voting shares are to be issued to Bilzerian in return for the settlement of debts.

Proportional voting shares issued to Bilzerian can be exchanged for subordinated voting shares on the basis of 1 to 200. The shares for debt transactions will also use a price per share of $ 0.50 per subordinated share.

The debt transfer transaction is expected to occur on October 26th with final closing of the debt stake and financing subject to CSE approval.

Ignite International was last traded at $ 0.36 on the CSE.

Information for this briefing was found through Sedar, Namaste Technologies and Ignite International Brands. The author has no securities or ties to this organization. No buy or sell recommendation. Always do additional research and consult a professional before buying any security. The author has no licenses.

As the founder of The deep dive, Jay focuses on all aspects of the business. This includes operating as well as being the lead author of The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay freelances for a number of companies and has been on. released Stockhouse.com and CannaInvestor magazine among other.