Category Archives: Cannabis Legalization

ManifestSeven Reports Second Quarter 2020 Financial Results

ManifestSeven Reports Second Quarter 2020 Financial Results

ManifestSeven, California’s first integrated omnichannel platform for legal cannabis, today announced its financial results for the second quarter ended May 31, 2020. The results follow the Company’s receipt last month of conditional approval for the listing of its common shares on the Canadian Securities Exchange (“CSE”). All financial information in this press release is provided in U.S. dollars unless otherwise indicated.

Financial Highlights:

  • Revenue increased 116% year-over-year and 23% sequentially to $5.0 million.
  • Gross profit increased 216% year-over-year and 40% sequentially to $1.8 million.
  • Gross margin was 35.1% of revenue, up from 24.0% of revenue for the second quarter ended May 31, 2019, and 30.8% of revenue for the first quarter ended February 29, 2020.
  • Net loss decreased 64% year-over-year and 79% sequentially to ($1.1) million.

Operational Highlights:

  • The Company achieved robust growth across all of its core operating segments, demonstrating growing demand for M7’s distribution, delivery, and retail services despite the impact of COVID-19.
  • M7 significantly expanded the scope of its distribution coverage of California, with the number of licensed retailer accounts serviced by the Company’s distribution division totaling 211 as of May 31, 2020.
  • The Company increased its retail presence in core markets throughout California, with the number of customers in California serviced by M7’s delivery and retail division increasing 268% year-over-year.
  • M7 successfully implemented a targeted cost reduction program focused on non-core assets and operations without materially impacting its ability to generate revenue, resulting in a 31% sequential reduction in operating expenses and advancing the Company on its pathway to net profitability.

Management Commentary:

“We embarked upon a new quarter just as the COVID-19 crisis began to express itself around the world and seemingly without any warning, bringing with it an unprecedented operating environment and capital markets landscape,” said Sturges Karban, M7’s Chief Executive Officer. “We focused our efforts during the quarter primarily on two core missions: preserving our longstanding trend of sequential top-line growth, while also aligning our cost structure to accelerate the Company’s efforts to achieve net profitability.”

Mr. Karban added, “We are proud to announce that, as borne out by this quarter’s financial results, we have successfully delivered on both of these critical objectives as we look toward our impending public listing on the CSE later this summer. In particular, we achieved significant growth in our delivery operations during this three-month period, as consumers adjusted their buying behavior to comply with statewide shelter-in-place orders, resulting in the acquisition of a considerable number of new customers who discovered and utilized our delivery services during the COVID-19 crisis for the first time.”

“While the extraordinary global events that shaped the first half of this calendar year have presented new and unexpected challenges, it is impossible to ignore how the same events have also energized and validated the cannabis industry at large, for example, by reminding legislators at every level that legal cannabis constitutes a growing force within state and local economies, a robust engine for legitimate job creation, and a product category that will sustain consumer demand even in the face of the most economically constraining contexts. In many ways, COVID-19 has proven that legal cannabis is here to stay—and, after successfully persevering through the last several months, so is M7,” concluded Mr. Karban.

Summary Financial Results:

Three Months Ended

% Change

May 31,
2020

February 29,
2020

May 31,
2019

Sequential

Year-Over-
Year

Revenue

$

4,994,711

$

4,064,655

$

2,310,484

23

%

116

%

Gross Profit

$

1,753,884

$

1,252,182

$

554,969

40

%

216

%

Gross Margin

35.1

%

30.8

%

24.0

%

14

%

46

%

Operating Expenses

$

3,783,003

$

5,452,383

$

4,328,065

(31

%)

(13

%)

Net Income (Loss)

($

1,080,924

)

($

5,095,913

)

($

3,025,975

)

(79

%)

(64

%)

ABOUT MANIFESTSEVEN:

ManifestSeven is the first integrated omnichannel platform for legal cannabis, merging compliant distribution with a retail superhighway. M7, with offices in Commerce and Irvine, California, services the needs of lawful operators across the supply chain, from the cultivator to the consumer, through an expansive network of four facilities stretching from the San Francisco Bay Area to San Diego. M7 further augments its business-to-business value proposition with a growing portfolio of owned and operated retail operations located in major metro markets, including brick-and-mortar dispensaries, local on-demand delivery services, e-commerce, and subscription offerings.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION AND STATEMENTS:

This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only the Company’s beliefs and assumptions regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the Company’s control. This forward-looking information is based on certain assumptions made by management and other factors used by management in developing such information. Although the Company believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to the Company or persons acting on its behalf are expressly qualified in its entirety by this notice.

Copyright Business Wire 2020

Source: Business Wire (August 5, 2020 – 9:14 AM EDT)

News by QuoteMedia
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Published at Wed, 05 Aug 2020 14:05:59 +0000

Emerald Health Therapeutics and Quinto Resources Enter into Share Purchase Agreement for Sale of Quebec Cannabis Business

Emerald Health Therapeutics and Quinto Resources Enter into Share Purchase Agreement for Sale of Quebec Cannabis Business

Emerald Health Therapeutics, Inc. (TSXV: EMH)  (“Emerald”) and Quinto Resources Inc. (“Quinto”) (TSXV: QIT) today announced that they have entered into a share purchase agreement dated July 30, 2020 (the “Agreement”) in respect of the sale of Emerald’s wholly-owned subsidiaries, Verdélite Sciences, Inc. (“Verdélite Sciences”) and Verdélite Property Holdings, Inc. (“Verdélite Property” and, together with Verdélite Sciences, the “Subsidiaries”). The Subsidiaries together own and operate a premium 88,000 square foot craft cannabis production indoor facility (the “Facility”) in St. Eustache, Québec.

Pursuant to the Agreement, Quinto will purchase all of the issued and outstanding shares of the Subsidiaries in consideration for a cash purchase price of $21,000,000, subject to a 90-day working capital adjustment and certain other adjustments (the “Transaction”). The Agreement was negotiated at arm’s-length. Closing of the Transaction is anticipated to occur on or before August 31, 2020.

As a result of the Transaction, the Subsidiaries will become wholly-owned subsidiaries of Quinto and Quinto will continue the business of the Subsidiaries. Following closing of the Transaction, Emerald will continue to sell its own products into the Québec market, subject to certain limited restrictions, and retains exclusive rights to its recently launched SouvenirTM brand.

“We are proud of what we built in Québec, which is a sophisticated cannabis growing operation with a competent and motivated team. However, in alignment with our strategic plan, we see benefits in consolidating our asset base and are pleased to have the opportunity to sell this facility and to see a continuing opportunity for our staff at Verdélite,” said Riaz Bandali, CEO, Emerald Health Therapeutics. “Upon closing this transaction, the resulting capital will significantly improve our balance sheet and still leave us with a British Columbia operational base with an excellent premium growing facility in Richmond, which recently completed its first full quarter of full production and sales, our R&D, processing and medical focused facility in Victoria, and a 41.3% stake in our Delta-based Pure Sunfarms joint venture, one of the best performing cannabis production assets in Canada.”

Quinto is a Canadian public company with its common shares listed for trading on the TSX Venture Exchange (the “TSXV”) under the symbol “QIT”. The Transaction will constitute a change of business for Quinto under the rules of the TSXV – please see “The Transaction“, below. As a result, Quinto will require the approval of its shareholders to complete the Transaction, and has called a shareholder meeting for August 31, 2020.

The Subsidiaries

Verdélite Sciences is a company incorporated under the Canada Business Corporations Act. Verdélite Sciences became a licensed producer on January 12, 2018. Verdélite Property is a company incorporated under the Québec Business Corporations Act, which acquired the Facility on February 9, 2017. On May 1, 2018, Emerald acquired 100% of the issued and outstanding shares of the Subsidiaries from the founding group.

Verdélite Sciences holds a standard processing licence from Health Canada with respect to the complete growing and processing area at the Facility permitting it to sell and distribute packaged, branded dried cannabis products directly to provincial/territorial wholesalers and authorized private retailers. Cultivation commenced at the Facility in late 2019 and the Facility is now in full production.

The Agreement

Pursuant to the Agreement, Quinto will purchase all of the issued and outstanding shares of the Subsidiaries at closing in consideration for a cash purchase price of $21,000,000. The purchase price will be adjusted for cash and long-term debt of the Subsidiaries and for working capital of the Subsidiaries at closing above or below a target amount. The purchase price will be subject to a $750,000 holdback for the working capital adjustment and as an indemnity for certain pre-existing litigation. The Agreement contains representations and warranties, covenants, conditions and indemnities for the benefit of each of the parties as are customary for transactions of this nature. A copy of the Agreement will be posted on the parties’ respective profiles at www.sedar.com.

The Transaction

The Transaction, if completed, will constitute a “Change of Business” of Quinto pursuant to Policy 5.2 – Changes of Business and Reverse Takeovers of the TSXV. Trading in the common shares of Quinto will be halted as a result of this announcement and will remain halted until the resumption of trading is approved by the TSXV. Completion of the Transaction is subject to completion of a number of conditions, including obtaining applicable consents and approval of Quinto’s shareholders.

Quinto expects to finance the acquisition through a combination of private placements and bridge financing.

A further press release will be disseminated upon closing of the Transaction in accordance with the policies of the TSXV.

About Emerald Health Therapeutics

Emerald Health Therapeutics, Inc. is committed to cutting-edge cannabis science to create new consumer experiences with distinct recreational, medical and wellness-oriented cannabis and non-cannabis products. With an emphasis on innovation and production excellence, Emerald’s three distinct operating assets are designed to uniquely serve the Canadian marketplace and international opportunities. These assets, all in full production, include: its Metro Vancouver, BC-based greenhouse operation (78,000 square feet) capable of producing organic-certified product; Verdélite, its premium craft cannabis production indoor facility in St. Eustache, Québec (88,000 square foot); and Pure Sunfarms, its 41.3%-owned joint venture in Delta, BC, producing high quality, affordably priced products (1.1 M square feet). Its Emerald Naturals subsidiary has launched a new natural wellness product category with its non-cannabis endocannabinoid-supporting product line and is expanding distribution across Canada.

Please visit www.emeraldhealth.ca for more information or contact:

Jenn Hepburn, Chief Financial Officer
(800) 757 3536 Ext. #5

Emerald Investor Relations

(800) 757 3536 Ext. #5

invest@emeraldhealth.ca

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed Transaction and has neither approved nor disapproved the contents of this news release.

Cautionary Note Regarding Forward-Looking Statements: Certain statements made in this press release that are not historical facts are forward-looking statements and are subject to important risks, uncertainties and assumptions, both general and specific, which give rise to the possibility that actual results or events could differ materially from our expectations expressed in or implied by such forward-looking statements. Such statements include: the completion of the Transaction and the timing thereof. Completion of the Transaction is subject to a number of conditions, including but not limited to, TSXV acceptance and if applicable, disinterested shareholder approval. Where applicable, the Transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the Transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the management information circular or filing statement to be prepared by Quinto in connection with the Transaction, any information released or received with respect to the Transaction may not be accurate or complete and should not be relied upon. Trading in the securities of Quinto should be considered highly speculative.

We cannot guarantee that any forward-looking statement herein will materialize, and readers are cautioned not to place undue reliance on these forward-looking statements. These forward-looking statements involve risks and uncertainties related to, among other things, changes of law and regulations; changes of government; failure to obtain regulatory approvals or Quinto shareholder approval; failure of Quinto to obtain necessary financing; failure to obtain third party consents; results of production and sale activities; regulatory changes; changes in prices and costs of inputs; demand for products; failure of counter-parties to perform contractual obligations; as well as the risk factors described in Emerald’s annual information form and other regulatory filings. The forward-looking statements contained in this press release represent our expectations as of the date hereof. Forward-looking statements are presented for the purpose of providing information about management’s current expectations and plans and allowing investors and others to obtain a better understanding of our anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes. Emerald undertakes no obligations to update or revise such statements to reflect new circumstances or unanticipated events as they occur, unless required by applicable law.

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copyright (c) newsfile corp. 2020

Published at Fri, 31 Jul 2020 11:39:19 +0000

Aleafia Health Launches Same-Day, Direct-to-Door Medical Cannabis Delivery

Aleafia Health Launches Same-Day, Direct-to-Door Medical Cannabis Delivery

Aleafia Health Inc.’s (TSX: AH, OTC: ALEAF) (“Aleafia Health” or the “Company”) AssureHome Delivery, the industry-leading direct-to-door medical cannabis service, has now launched same-day delivery. Previously, the service offered next-day delivery only. Highlights include:

  • Medical cannabis orders received before noon on any business day will be shipped and delivered the same day.
  • Available to patients in the Greater Toronto Area and surrounding communities, home to over nine million people.
  • Offered exclusively to medical cannabis patients registered with the Company’s wholly owned subsidiary, Emblem Cannabis Corporation.
  • Patients receive a shipment tracking number and phone call 15 minutes prior to the driver’s arrival.
  • Further expansion planned to other major metropolitan areas including Calgary and Edmonton

“Aleafia Health’s same-day medical cannabis delivery is based on our commitment to ensuring our patients receive their medicine in a safe, secure and convenient direct-to-door delivery,” said Aleafia Health CEO Geoffrey Benic. “We are proud to offer our patients a product experience that combines value, convenience, and, most importantly, quality.”

Aleafia Health’s home delivery benefits from the supply chain logistics experience of Benic and COO Greg Rossi, who were among the founding partners of the award-winning online grocery fulfillment and delivery service, GroceryGateway.com. The pair have also worked as executive consultants on supply chain logistics projects for some of the world’s largest companies including Walmart Inc., Nestlé S.A., Kraft Heinz Company, Campbell Soup Company and Mondelez International. Benic and Rossi were also the architects of Trust Delivery, the first and only same-day Canadian medical cannabis delivery service.

For Investor & Media Relations

Nicholas Bergamini
VP Investor Relations
1-833-879-2533
IR@AleafiaHealth.com

Learn More: www.AleafiaHealth.com

About Aleafia Health

Aleafia Health is a vertically integrated and federally licensed Canadian cannabis company offering cannabis health and wellness services and products in Canada and in international markets. The Company operates medical clinics, education centres and production facilities for the production and sale of cannabis.

Aleafia Health owns three significant licensed cannabis production facilities, including the first large-scale, legal outdoor cultivation facility in Canadian history. The Company produces a diverse portfolio of commercially proven, high-margin derivative products including oils, capsules and sprays. Aleafia Health operates the largest national network of medical cannabis clinics and education centres staffed by MDs, nurse practitioners and educators and operates internationally in three continents.

Innovation, the heart of Aleafia Health’s competitive advantage, has led to the Company maintaining a medical cannabis dataset with over 10 million data points to inform proprietary illness-specific product development and its highly differentiated education platform FoliEdge Academy. The Company is committed to creating sustainable shareholder value; the TSX Venture Exchange named Aleafia the 2019 top performing company prior to its graduation to the TSX.

Forward Looking Information

This news release contains forward-looking information within the meaning of applicable Canadian and United States securities laws and are expressly qualified by this cautionary statement. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes” or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements in this news release include, but are not limited to, statements with respect to injection of value this settlement brings to the Company’s business. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information, including risks contained in the Company’s annual information form dated March 18, 2020 which is available on the Company’s SEDAR profile at www.sedar.com. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release is made as of the date of this news release and the Company does not undertake any obligation to publicly update such forward-looking information to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.

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Published at Thu, 30 Jul 2020 11:46:26 +0000

Zenabis Provides Corporate Update

Zenabis Provides Corporate Update

Zenabis Global Inc. (TSX: ZENA) (“Zenabis” or the “Company“) today provided a corporate update on its recent activities.

Highlights

  • The Company has entered into multiple international supply arrangements and expects to ship 550 kg of dried cannabis in July and August under these arrangements. Ongoing demand under these arrangements is expected to be 750 kg per month by the start of the fourth quarter of 2020.
  • Zenabis Atholville remains in steady state production, with June harvest volumes within 1% of design capacity. Through a combination cultivation output from Zenabis Atholville and Zenabis Langley, Zenabis does not expect to require any further expansion of cultivation capacity at this time.
  • First shipments of Re-Up 510-Threaded Vaporizer cartridges (“510 vapes”) occurred in July.

Kevin Coft, Interim Chief Executive Officer of Zenabis, stated, “Zenabis continues to make significant strides in controlling operational costs, increasing our SKU and product-line distribution across all provincial distributors, and expanding our international bulk sales channel. Zenabis has reduced prices of flower products across all provincial distributors to provide best-in-class, or close to best-in-class, pricing in all categories.  The business continues to experience growth in shipments as a result of price, format, and cultivar variety in domestic flower, the addition of new products including 510 vapes, and international distribution expansion.”

Facilities Update

Zenabis Atholville

Cultivation

Zenabis Atholville remains in steady-state production from a cultivation standpoint. While May cultivation output remained slightly below design capacity, June harvest volumes were within 1% of design capacity. Zenabis has commenced commercial rollout of three new cultivars in July, with an additional nine cultivars to commence distribution over the remainder of the third and fourth quarter. The Company anticipates that the continued addition of high THC cultivars, together with a more diverse range of SKUs, will continue to increase overall throughput of Zenabis flower and pre-roll products.

Extraction

Zenabis Atholville is currently operating extraction activities for production in line with the below “Cannabis 2.0 Update” including PAX cartridges, oil-derivative concentrates, and 510 vapes.

Zenabis Langley

Zenabis Langley cultivation remains in steady state for the summer months at this time. In conjunction with production from Zenabis Atholville, cultivation output remains sufficient to meet current market demand without further expansion of Zenabis Langley.

Zenabis Stellarton

Zenabis Stellarton is currently operating as the Company’s center of excellence for Cannabis 2.0 products, including beverages, products derived from trichome extraction, edibles, and hashish products. The facility is also completing pre-roll production and distribution for Namaste and Re-Up pre-rolls.

Business Development Update

Cannabis 2.0 Update

Activity

Facility

Applicable Updates

PAX

Atholville

Zenabis launched two new SKUs, including a balanced format, in June.

Additional Oil-derivative Concentrates

Atholville

The commercial production of additional oil-derivative concentrate products commenced in July.

Trichome Concentrate Product Production

Stellarton

The commercial production of hash products commenced in July. Zenabis anticipates achieving hash product listings in August, with distribution no later than September.

HYTN Beverages

Stellarton

Installation of the HYTN beverage line has taken place; however, commercialization has been delayed due to USA/Canada border crossing closures and quarantine issues for certain HYTN-related personnel as a result of the COVID-19 pandemic. Final commercialization is now expected in September as a result of such delays restricting the physical presence on-site of certain essential personnel.

Edible Production

External

First processing and testing of edible products has taken place. Commercial production is expected to commence this quarter.

510 Vapes

Atholville

The first shipments of 510 vapes took place in July. The current product line includes two high-THC products and one CBD product, with these products currently listed in five provinces, with listings in an additional three provinces anticipated by the end of August.

Recreational Cannabis

Recreational cannabis shipments continue to increase month over month as the Company has continued to launch additional recreational cannabis SKUs and act as necessary to remain price competitive. In response to consumer demand, the Company has continued to increase listings of larger format offerings within its Re-Up brand. While the Company originally focused solely on strain-specific Re-Up listings, the Company has now secured listings with several provinces for non-strain specific Re-Up Indica and Re-Up Sativa 28 g formats.

The Company has also increased the availability of oil products, including soft gels and sprays, to meet growing consumer demand. The recent increase in extraction capacity at Zenabis Atholville has allowed the Company to expand availability of oil products, and expects increased availability in various provincial markets commencing in Q3 2020.

Supply Agreements, Contract Cultivation Agreements, International Agreements, and Bulk Market Cannabis Sales

The following is a summary of the status of the various relations by contract or relationship type:

Contract or Arrangement Type

Number of contracts or counterparties, status and current or expected volume

Bulk – Current Pay – Canada

Two ongoing arrangements, with both currently shipping; volume of up to 200 kg per month.

Bulk – Current Pay – International

Two ongoing arrangements exist with counterparties in Israel, with anticipated combined volume of up to 750 kg per month, and scheduled shipments ongoing.

Packaged – Current Pay – International

One ongoing arrangement with a counterparty in Australia, with first shipments expected in August subject to export license receipt.

Bulk – Current Pay – EU GMP

One executed contract for a minimum volume of 500 kg per year with shipments awaiting EU GMP certification of ZenPharm facility in Malta.

Contract Cultivation – Canada

Two executed contracts for a potential volume of 200 kg per month, with one ongoing and one on hold.

Prepaid Supply – Canada

Two executed contracts with potential volume of more than 2,000 kg per month, with one operating in accordance with the contract, and one subject to dispute.

The Company expects to complete its first two shipments to Australia in August, with this shipment being of packaged cannabis, rather than bulk cannabis.

Zenabis is currently in various stages of discussions with potential counterparties for additional agreements for bulk, contract cultivation and other commercial agreements.

ZenPharm

There are have been no changes to the status of Zenabis’ ZenPharm joint venture since the most recent operational update.

About Zenabis

Zenabis is a significant Canadian licensed cultivator of medical and recreational cannabis, and a propagator and cultivator of floral and vegetable products. Zenabis employs staff coast-to-coast, across facilities in Atholville, New Brunswick; Aldergrove, Pitt Meadows and Langley, British Columbia; and Stellarton, Nova Scotia. Zenabis currently has 111,200 kg of licensed cannabis cultivation space across four licensed facilities. Zenabis has 3.5 million square feet of total facility space dedicated to a mix of cannabis production and cultivation and its propagation and floral business.

Zenabis expects Zenabis Stellarton and Zenabis Langley facilities to join Zenabis Atholville in steady state production in 2020. The Zenabisbrand name is used in the cannabis medical market, the Namaste, Blazery, and Re-Up brand names are used in the cannabis adult-use recreational market.

Forward Looking Information

This news release contains statements that may constitute “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information may include, among others, statements regarding the future plans, costs, objectives or performance of Zenabis, or the assumptions underlying any of the foregoing. In this news release, words such as “may”, “would”, “could”, “will”, “likely”, “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate” and similar words and the negative form thereof are used to identify forward-looking statements. In this news release, forward-looking statements relate, among other things, to: ongoing demand under these arrangements is expected to be 750 kg per month by the start of the fourth quarter of 2020; an additional nine cultivars to commence distribution over the remainder of the third and fourth quarter; the Company anticipates that the continued addition of high THC cultivars, together with a more diverse range of SKUs, will continue to increase overall throughput of Zenabis flower and pre-roll products;  final commercialization is now expected in September as a result of such delays restricting the physical presence on-site of certain essential personnel; commercial production is expected to commence this quarter; the current product line includes two high-THC products and one CBD product, with these products currently listed in five provinces, with listings in an additional three provinces anticipated by the end of August; the recent increase in extraction capacity at Zenabis Atholville has allowed the Company to expand availability of oil products, and expects increased availability in various provincial markets commencing in Q3 2020; two ongoing arrangements exist with counterparties in Israel, with anticipated combined volume of up to 750 kg per month, with scheduled shipments ongoing; one ongoing arrangement with a counterparty in Australia, with first shipments expected in July or August subject to export license receipt; the Company expects to complete its first two shipments to Australia in either July or August, with this shipment being of packaged cannabis, rather than bulk cannabis; and the expected content of future operational updates. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur. Forward-looking information is based on information available at the time and/or management’s good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond Zenabis’ control. These risks, uncertainties and assumptions include, but are not limited to, those described in the shelf prospectus dated April 9, 2019 as supplemented by a prospectus supplement dated June 19, 2020 and the annual information form dated March 30, 2020, copies of which are available on SEDAR at www.sedar.com and could cause actual events or results to differ materially from those projected in any forward-looking statements. Furthermore, any forward-looking information with respect to available space for cannabis production is subject to the qualification that management of Zenabis may decide not to use all available space for cannabis production, and the assumptions that any construction or conversion would not be cost prohibitive, required permits will be obtained and the labour, materials and equipment necessary to complete such construction or conversion will be available. Forward-looking statements or information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements or information contained in this news release. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Zenabis does not intend, nor undertake any obligation, to update or revise any forward-looking information contained in this news release to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws.

For more information, visit: https://www.zenabis.com.

SOURCE Zenabis Global Inc.

Cision View original content: http://www.newswire.ca/en/releases/archive/July2020/28/c8098.html

Media Relations, Email: media@zenabis.com, Phone: 1-855-936-2247; Investor Relations, E-mail: invest@zenabis.com, Phone: 1-855-936-2247Copyright CNW Group 2020

Published at Tue, 28 Jul 2020 11:33:58 +0000

Pat McCutcheon, CEO of MediPharm Labs to Present at the Avicanna Hosted Virtual Symposium Titled “Medical Cannabis 2.0” in Partnership with Medical Cannabis by Shoppers™

Pat McCutcheon, CEO of MediPharm Labs to Present at the Avicanna Hosted Virtual Symposium Titled “Medical Cannabis 2.0” in Partnership with Medical Cannabis by Shoppers™

MediPharm Labs Corp., (TSX: LABS) (OTCQX: MEDIF) (FSE: MLZ) (“MediPharm Labs” or the “Company”) a global leader in specialized, research-driven pharmaceutical-quality cannabis extraction, distillation and derivative products, is pleased to announce that Pat McCutcheon, CEO & Co-Founder of MediPharm Labs will be participating at the Avicanna Hosted Virtual Symposium Titled “Medical Cannabis 2.0 in Partnership with Medical Cannabis By Shoppers™.

Patients and health care practitioners globally can join the virtual symposium to learn more about the potential advantages of medical cannabis and the advancement of product offerings including MediPharm Labs manufactured products such as Avicanna’ s RHO Phyto product offerings. In addition, experts will discuss the pharmacology, safety, and dosing guidelines of medical cannabis for therapeutic conditions. This includes presentations on the, efficacy of cannabinoids for chronic pain, anxiety, depression, and comorbidities as well as an overview of the patient pathway to Medical Cannabis by Shoppers.

The webcast presentation will begin at 10:00am Eastern Time, and Pat McCutcheon, CEO of MediPharm Labs will be presenting on a panel at 12:50pm Eastern Time. Participants may view the full agenda and access the webcast using the following link: https://www.avicanna.com/symposium/ or through the events section of MediPharm Labs Investor Relations website at https://ir.medipharmlabs.com/ir-calendar.

About MediPharm Labs

Founded in 2015, MediPharm Labs specializes in the production of purified, pharmaceutical-quality cannabis oil and concentrates and advanced derivative products utilizing a Good Manufacturing Practices certified facility with ISO standard-built clean rooms. MediPharm Labs has invested in an expert, research driven team, state-of-the-art technology, downstream purification methodologies and purpose-built facilities with five primary extraction lines for delivery of pure, trusted and precision-dosed cannabis products for its customers. Through its wholesale and white label platforms, MediPharm Labs formulates, develops (including through sensory testing), processes, packages and distributes cannabis extracts and advanced cannabinoid-based products to domestic and international markets. As a global leader, MediPharm Labs has completed commercial exports to Australia and is nearing commercialization of its Australian extraction facility. MediPharm Labs Australia was established in 2017.

For further information, please contact:
Laura Lepore, VP, Investor Relations and Communications
Telephone: 416-913-7425 ext. 1525
Email: investors@medipharmlabs.com
Website: www.medipharmlabs.com

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION:

This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; the inability of MediPharm Labs to obtain adequate financing; the delay or failure to receive regulatory approvals; and other factors discussed in MediPharm Labs’ filings, available on the SEDAR website at www.sedar.com. There can be no assurance that such statements 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 the forward-looking statements and information contained in this news release. Except as required by law, MediPharm Labs assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change.

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Published at Tue, 21 Jul 2020 11:44:17 +0000

Rapid Dose Therapeutics and McMaster University Initiate QuickStrip™ COVID-19 Vaccine Research With Immediate Impact

Rapid Dose Therapeutics and McMaster University Initiate QuickStrip™ COVID-19 Vaccine Research With Immediate Impact

Rapid Dose Therapeutics Corp. (“RDT” or the “Company”) (CSE: DOSE), a Canadian Life Sciences company focused on innovative drug and active ingredient delivery solutions, is pleased to announce it has begun COVID-19 vaccine research in conjunction with McMaster University and the team lead by Drs. Alex Adronov, James Mahony, and Mark Larché. The federally-funded project tests the use of QuickStrip™ for administering vaccines orally as a convenient and safe alternative to injection with needles, the currently accepted delivery format for most vaccines.

Dr. Adronov is a recognized Canadian expert in synthetic polymer chemistry and the development of novel polymer architectures, Dr. Mahony has extensive experience in virology and vaccine development, and Dr. Larché is an immunologist with expertise in vaccine research geared toward treatment of common allergies. The combined expertise of this research team will enable development and evaluation of oral vaccine delivery strategies.

Jason Lewis, RDT SVP said “RDT is focused on novel research through collaboration with the experts at McMaster. We see QuickStrip™, oral mucosa thin film delivery, as an efficient solution for distributing vaccines globally. Experts believe that antigens to COVID and other viruses can be delivered sublingually, a much easier and less expensive process than the current single or multidose vial methods.  Imagine the significance of creating a vaccine that can be sent in an envelope, by mail.”

“Our combined experience indicates that this is very feasible” said Dr. Adronov a recognized polymer expert leading the research project. “Our past collaborations with RDT in developing polymeric delivery innovations have resulted in solutions we are proud of, and continue to be involved with. Globally, we are seeing the development of many vaccines that we believe can be applied using sublingual delivery. Our project focuses on producing a polymer strip that delivers viral antigens by a transmucosal approach rather than injection. This funding will allow us to quickly get started, and we expect to generate positive results in the near future.”

Mark Upsdell, RDT CEO, said “The current COVID situation requires everyone to think outside of the box as to how we might deliver safe, effective and timely solutions for combating COVID-19 and other viruses that require serum-based defenses. RDT remains committed to its research and innovation strategy which is highlighted now by our work on the COVID-19 project’s unique delivery format. RDT provides scale-up testing and bench strength support for the McMaster research team in the race to provide an effective product that can be produced and delivered on a world-wide scale. A successful outcome of this project and its application with our QuickStrip™ delivery system will create exciting new opportunities for RDT.”

About Rapid Dose Therapeutics

Rapid Dose Therapeutics Corp. is a publicly-traded Canadian Life Sciences company providing innovative, proprietary drug delivery technologies designed to improve outcomes and quality of lives. RDT offers Quick, Convenient, Precise and Discreet™ choices to consumers. RDT is focused and committed to clinical research and product development for the healthcare manufacturing industry — including nutraceutical, pharmaceutical and cannabis industries. Within the cannabis sector, RDT also provides a turn-key Managed Strip Service Program enabling RDT’s QuickStrip™ proprietary cannabis delivery technology to be licensed to select operators in identified markets. RDT’s service-based annuity contracts drive recurring revenue and facilitate rapid expansion into emerging markets across multiple consumer segments. RDT is committed to continually create innovative solutions for humans, animals and plants.

For more information, visit: www.rapiddose.ca

For inquiries please contact:

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:
Certain information in this news release may contain forward-looking information within the meaning of applicable securities laws.

Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as “may”, “should”, “anticipate”, “expect”, “potential”, “believe”, “intend”, “will”, “could”, “are planned to”, “are expected to” or the negative of these terms and similar expressions. Statements containing forward-looking information, including, without limitation, in respect of the delivery of equipment and products using the QuickStrip™ product delivery method, the generation of recurring revenues and the dismissal of the CTT lawsuit, express, as at the date of this news release, the plans, estimates, forecasts, projections, expectations or beliefs of RDT management as to future events or results and are believed to be reasonable based on information currently available to RDT management. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; termination of WLM agreements; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the cannabis industry in Canada generally, income tax and regulatory matters; the ability to implement its business strategies; competition; currency and interest rate fluctuations and other risks.  Readers are cautioned that the foregoing list is not exhaustive. There can be no assurance that statements of forward-looking information, although considered reasonable by RDT management at the time of preparation, will prove to be accurate as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. Actual results and future events could differ materially from those anticipated in such forward-looking statements. Readers should not place undue reliance on forward-looking statements. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

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Published at Tue, 21 Jul 2020 11:47:51 +0000

Aleafia Health Provides Update on Strategic Growth Initiatives

Aleafia Health Provides Update on Strategic Growth Initiatives

Aleafia Health Inc. (TSX: AH) (OTC: ALEAF) (“Aleafia Health” or the “Company”), a global cannabis health and wellness company, is pleased to provide a corporate update on strategic growth initiatives.

“Commencing the production of our first Cannabis 2.0 product formats represents a major milestone for Aleafia Health, as we scale our business,” said Aleafia Health CEO Geoffrey Benic. “Likewise, a successful outdoor planting and the ramp-up of our Niagara Facility provides us with a diversified production ecosystem that allows us to expand our distribution in Canada, through new provinces and globally.”

  • Expanding Product Portfolio with Cannabis 2.0: The Company is nearing the launch of new Cannabis 2.0 products to broaden its product portfolio in both the medical and adult-use markets. Following quality assurance testing of formulations and packaging design, the first production run of Kin Slips, the award-winning, cannabis infused sublingual strips, is expected to commence this month. The category market leader in California, Kin Slips provides health and wellness conscious consumers with a consistent, smoke-free cannabis experience, with formulas targeting specific need states, and an expected onset of 10-15 minutes. The Company also expects to commence the sale of universal 510 vape cartridges in the next two to three months, followed by confectionery edibles in the form of soft chews & lozenges, and other new formats.
  • Growth in Registered Patients: At June 30, 2020, active, registered patients with the Company’s wholly owned subsidiary, Emblem Cannabis Corporation (“Emblem”), increased to 13,285, from 10,983 patients at March 31, 2020. During Covid-19, the Company has continued to improve and scale its contactless, patient ecosystem. Patients are able to see their physician virtually, order products and have them delivered to their home in the same day, utilizing the direct-to-door AssureHome Delivery (where locally available) offered exclusively to Emblem patients.
  • Completion of Outdoor Planting: Planting at the Port Perry outdoor cultivation site is completed, utilizing the entire crop of starter plants originally propagated at the Niagara Facility. The Company expects to benefit from a significantly larger cultivation footprint along with improved infrastructure relative to the 2019 season. The site now has 66 fully planted acres, relative to 13 acres planted in 2019. Drying and irrigation infrastructure, a critical component of outdoor cultivation, has also significantly scaled up. Construction of an additional 30,000 sq. ft. of indoor drying and storage buildings and site-wide underground irrigation has been completed. In 2019, the Company produced 12,747 kgs of outdoor dried flower at an all-in cash cost to harvest of $0.10 per gram.
  • Niagara Greenhouse Scaling Up: Upon licensing in March, the Niagara Facility was primarily utilized for the propagation of starter plants destined for the Port Perry outdoor cultivation site. Since the completion of the outdoor propagation crop, the Niagara Facility is now being used for normal course cannabis production, with the first of what will be perpetual, daily harvests expected in approximately eight weeks. The Niagara Facility provides the Company with a stable, consistent inventory of high-quality dried flower products.

For Investor & Media Relations

Nicholas Bergamini
VP Investor Relations
1-833-879-2533
IR@AleafiaHealth.com

Learn More: www.AleafiaHealth.com

About Aleafia Health

Aleafia Health is a vertically integrated and federally licensed Canadian cannabis company offering cannabis health and wellness services and products in Canada and in international markets. The Company operates medical clinics, education centres and production facilities for the production and sale of cannabis.

Aleafia Health owns three significant licensed cannabis production facilities, including the first large-scale, legal outdoor cultivation facility in Canadian history. The Company produces a diverse portfolio of commercially proven, high-margin derivative products including oils, capsules and sprays. Aleafia Health operates the largest national network of medical cannabis clinics and education centres staffed by MDs, nurse practitioners and educators and operates internationally in three continents.

Innovation, the heart of Aleafia Health’s competitive advantage, has led to the Company maintaining a medical cannabis dataset with over 10 million data points to inform proprietary illness-specific product development and its highly differentiated education platform FoliEdge Academy. The Company is committed to creating sustainable shareholder value; the TSX Venture Exchange named Aleafia the 2019 top performing company prior to its graduation to the TSX.

Forward Looking Information

This news release contains forward-looking information within the meaning of applicable Canadian and United States securities laws and are expressly qualified by this cautionary statement. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes” or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements in this news release include, but are not limited to, statements with respect to injection of value this settlement brings to the Company’s business. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information, including risks contained in the Company’s annual information form dated March 18, 2020 which is available on the Company’s SEDAR profile at www.sedar.com. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release is made as of the date of this news release and the Company does not undertake any obligation to publicly update such forward-looking information to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.

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Source: GlobeNewswire (July 10, 2020 – 8:00 AM EDT)

News by QuoteMedia
www.quotemedia.com

Published at Fri, 10 Jul 2020 12:02:09 +0000

Canopy Rivers Portfolio Companies Look to Expand Retail and Brand Presence in North American Markets

Canopy Rivers Portfolio Companies Look to Expand Retail and Brand Presence in North American Markets

Three of Canopy Rivers Inc.’s (“Canopy Rivers“) (TSX: RIV) (OTC: CNPOF) portfolio companies have made recent announcements as they aim to introduce new or expanded choices for cannabis consumers and medical patients in Canada and the U.S.

“We continue to be impressed with the ability of our portfolio companies to respond to shifting consumer demands in the cannabis space while executing on their long-term strategies,” said Narbé Alexandrian, President and CEO, Canopy Rivers. “We still see greenfield in the Canadian brand market, and we are excited to see both Agripharm and Dynaleo taking steps to introduce Canadians to brands that have proven track records in U.S. markets.”

More details on these developments are included below:

  • Dynaleo Inc. (“Dynaleo“), an Edmonton-based manufacturer of cannabis-infused gummies, signed its first letter of intent (“LOI“) with Pantry, a California-based edibles brand that says it has bridged the worlds of culinary arts, cannabis, and wellness. The agreement follows Dynaleo’s receipt of its processing licence from Health Canada and marks Pantry’s first international expansion beyond the U.S. where it distributes cannabis-infused food brands for the recreational market. Dynaleo hopes that the LOI will be a first step in the company’s goal to close the gap between supply and consumer demand for gummies in Canada.
  • Agripharm Corp. (“Agripharm“) received a licence amendment from Health Canada to allow for the sale of dried cannabis, extracts, edibles, and topicals. The amendment enables Agripharm to exercise its exclusive rights to introduce brands from SLANG Worldwide Inc. (“SLANG“) and Green House Seed Co. to the Canadian market. Agripharm plans to initially launch three products from SLANG’s portfolio, including the Firefly Mini vapourizer, O.penVAPE, and Bakked Dabaratus, a one-click dabbing solution that delivers a dose of extract.
  • TerrAscend Corp. (“TerrAscend“) opened its third retail dispensary location in Pennsylvania. Jason Ackerman, TerrAscend’s CEO, noted that this third Apothecarium location signals the company’s commitment to local patients as the state’s medical program continues to grow. The newly renovated, 5,000 square foot medical dispensary is designed to enhance patient experiences and features private consultation rooms, highly trained staff, a wide variety of products, and options for online ordering.

About Canopy Rivers
Canopy Rivers is a venture capital firm specializing in cannabis with a portfolio of 18 companies across various segments of the cannabis value chain. We believe that bringing together people, capital, and ideas raises the potential of the entire cannabis industry. By leveraging our industry insights, in-house expertise, and thesis-driven approach to investing, we aim to provide shareholders with exposure to specialized and disruptive cannabis companies. Our mission is to invest in innovators across the cannabis value chain, help them grow, and ultimately create value by guiding these companies towards a monetization event. Together with our portfolio, we are helping build the cannabis industry of tomorrow, today.

Forward Looking Statements

This news release contains statements which constitute “forward-looking information” within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of Canopy Rivers and its portfolio companies with respect to future business activities and operating performance. Forward-looking information is often identified by the words “may”, “would”, “could”, “should”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” or similar expressions and includes information regarding: the aim of certain Canopy Rivers portfolio companies to introduce new or expanded choices for cannabis consumers and medical patients in Canada and the U.S.; the ability of Canopy Rivers’ portfolio companies to respond to consumer demand while executing on their long-term strategies; management’s belief that there is greenfield in the Canadian brand market; Dynaleo’s goal of closing the gap between supply and demand for gummies in Canada; Agripharm’s plan to launch three products from SLANG’s portfolio; the continued growth of the medical program in Pennsylvania; and expectations for other economic, regulatory, business, and/or competitive factors.

Investors are cautioned that forward-looking information is not based on historical fact but instead reflects management’s expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although Canopy Rivers believes that the expectations reflected in such forward-looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of Canopy Rivers. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking information are the following: regulatory and licensing risks; changes in the plans, goals and business activities of Canopy Rivers’ portfolio companies; changes in cannabis industry growth and trends; changes in consumer preferences and demands and the ability of Canopy Rivers’ portfolio companies to respond thereto; changes in general economic, business and political conditions, including challenging global financial conditions and the impact of the novel coronavirus pandemic; potential conflicts of interest; the regulatory landscape and enforcement related to cannabis, including political risks and risks relating to regulatory change; changes in Canopy Rivers’ relationship with its portfolio companies; risks associated with the termination, renegotiation and enforcement of material contracts; credit, liquidity and additional financing risks; changes in applicable laws; compliance with extensive government regulation, including Canopy Rivers’ interpretation of such regulation; public opinion and perception of the cannabis industry; divestiture risks; competition risks; and the risk factors set out in Canopy Rivers’ annual information form dated June 2, 2020, filed with the Canadian securities regulators and available on Canopy Rivers’ profile on SEDAR at www.sedar.com.

Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although Canopy Rivers has attempted to identify important risks, uncertainties and factors that could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. Canopy Rivers does not intend, and does not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.

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SOURCE Canopy Rivers Inc.

Published at Fri, 10 Jul 2020 11:10:42 +0000

MediPharm Labs Sets Date to Release Second Quarter 2020 Financial Results

MediPharm Labs Sets Date to Release Second Quarter 2020 Financial Results

MediPharm Labs Corp., (TSX: LABS) (OTCQX: MEDIF) (FSE: MLZ) (“MediPharm Labs” or the “Company”) a global leader in specialized, research-driven pharmaceutical-quality cannabis extraction, distillation and derivative products, is pleased to announce it will release its second quarter financial results for the three and six month period ended June 30, 2020 before markets open on Thursday, August 13, 2020.

MediPharm Labs executive management team will also host a conference call and audio webcast on Thursday, August 13, 2020, at 8:30 a.m. eastern time to discuss its financial results and outlook.

Conference Call Information:
Toll-free number: 833-502-0471 / International number: 236-714-2179 / Conference ID: 7466989
Due to higher than normal volumes, participants are asked to dial in approximately 15 minutes before the start of the call.

Audio Webcast:
An audio webcast will be available in the Events section of the MediPharm Labs’ Investor Relations website https://ir.medipharmlabs.com/news-events or by visiting the following link: https://event.on24.com/wcc/r/2396284/F4C00F984F456423A382BAA28AAD1997

For those who are unable to participate on the live conference call and webcast, a replay will be available approximately one hour after completion of the call.

Replay Information:
Replay number: 800-585-8367 / International replay number: 416-621-4642/ Conference ID: 7466989

About MediPharm Labs
Founded in 2015, MediPharm Labs specializes in the production of purified, pharmaceutical-quality cannabis oil and concentrates and advanced derivative products utilizing a Good Manufacturing Practices certified facilities with ISO standard-built clean rooms. MediPharm Labs has invested in an expert, research driven team, state-of-the-art technology, downstream purification methodologies and purpose-built facilities with five primary extraction lines for delivery of pure, trusted and precision-dosed cannabis products for its customers. Through its wholesale and white label platforms, MediPharm Labs formulates, develops (including through sensory testing), processes, packages and distributes cannabis extracts and advanced cannabinoid-based products to domestic and international markets. As a global leader, MediPharm Labs has completed commercial exports to Australia and is nearing commercialization of its Australian extraction facility. MediPharm Labs Australia was established in 2017.

For further information, please contact:
Laura Lepore, VP, Investor Relations and Communications
Telephone: 416-913-7425 ext. 1525
Email: investors@medipharmlabs.com
Website: www.medipharmlabs.com

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION:

This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; the inability of MediPharm Labs to obtain adequate financing; the delay or failure to receive regulatory approvals; and other factors discussed in MediPharm Labs’ filings, available on the SEDAR website at www.sedar.com. There can be no assurance that such statements 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 the forward-looking statements and information contained in this news release. Except as required by law, MediPharm Labs assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change.

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Published at Thu, 02 Jul 2020 11:36:35 +0000

Aurora Cannabis’ Plan To Restructure and Actually Turn A Profit Is Underway

Aurora Cannabis’ Plan To Restructure and Actually Turn A Profit Is Underway

Earlier this week, Aurora Cannabis Inc. (ACB.TO) (ACB) issued a progress update on its business transformation plan and the announcement included a number of developments caught our attention.

The Canadian cannabis producer has been in the middle of a transformation and is highly focused on cutting costs and improving efficiencies. The market has not responded too favorably to the recent developments and we will monitor how the company continues to execute on this strategy.

As part of the transformation, Aurora Cannabis has undertaken a strategic realignment of its operations to protect its position as a leader in key cannabis markets. Through this initiative, the company expects to generate positive cash flow and for gross margins to significantly improve.

During the last few months, Aurora Cannabis has executed a material reduction in both corporate and production level employees as well as third-party consulting and professional spending across the organization. After these cuts, the company expects to have a run-rate of approximately $42 million and expects to be able to support significantly higher levels of revenue.

Aurora Cannabis has initiated a plan to close operations at five facilities over the next two quarters in order to focus production and manufacturing at its larger scale and highly efficient sites. The affected facilities are the smaller scale facilities and Aurora Cannabis expects that part of the Aurora Vie facility in Quebec to remain operational to allow for the manufacturing of certain higher margin products.

By the end of the fiscal second quarter of 2021, Aurora Cannabis intends to consolidate Canadian production and manufacturing at Aurora Sky, Aurora River (EU-GMP certified), Whistler Pemberton, and Polaris. As part of the transition, the company also intends to immediately ramp up cannabis production at its Nordic facility in Europe from which it believes can adequately service the European market with EU-GMP certified product.

Aurora Cannabis’ production and manufacturing consolidation plan represents a new, incremental cost reduction opportunity that was not previously considered in the original SG&A target and we find this to be of importance. In the fourth quarter of 2020, the company expects to record production asset impairment charges of up to $60 million. Aurora also expects to record a charge of up to $140 million in the carrying value of certain inventory in order to align inventory on hand with near term expectations for demand.

Going forward, Aurora Cannabis expects the production facility closures to be accretive to gross margin as the move to large scale operations is expected to result in a material reduction in per unit cost of goods by the third quarter of 2021. The reduction in inventory carrying value is also expected to be modestly accretive to future gross margins and we will monitor how the management team is able to execute on this transformation.

Following the reverse stock split, Aurora Cannabis has been under pressure and this is a trend that we continue to closely follow. The company has been pretty active since the split and we will monitor how the story continues to evolve.

If you are interested in learning more about the Canadian cannabis producer, please send an email to support@technical420.com to be added to our distribution list.

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Authored By

Anthony Varrell

Anthony Varrell is Managing Director of StoneBridge Partners LLC. SBP continues to drive market awareness for leading firms in the cannabis industry throughout the U.S. and abroad.

Published at Fri, 26 Jun 2020 11:44:49 +0000