Category Archives: Cannabis Legalization

Namaste Announces CannMart Success with IGNITE International Exclusivity Agreement and Listing of Cannabis 2.0 Products in Alberta and Ontario

Namaste Announces CannMart Success with IGNITE International Exclusivity Agreement and Listing of Cannabis 2.0 Products in Alberta and Ontario

Namaste Technologies Inc. (“Namaste” or the “Company”) (TSXV: N) (FRANKFURT: M5BQ) (OTCMKTS: NXTTF), a leading platform for cannabis products, accessories, and education, today announced CannMart Inc. (“CannMart”), a wholly owned subsidiary, has been granted an exclusive license by IGNITE International Brands, Ltd. (“IGNITE”) (CSE: BILZ) (OTCQX: BILZF) to utilize certain brand trademarks on cannabis-based products for sale in the legal Canadian marketplace. In addition, CannMart has received approval from Alberta Gaming, Liquor & Cannabis (“AGLC”) and the Ontario Cannabis Retail Corporation operating as the Ontario Cannabis Store (“OCS”) to begin offering Cannabis 2.0 products.

Namaste Technologies Inc. (TSXV: N) (FRANKFURT: M5BQ) (OTCMKTS: NXTTF) (CNW Group/Namaste Technologies Inc.)

“Our agreement to become the exclusive distributor of IGNITE products in Canada is an important milestone for the company and positively reflects on our value proposition,” said Meni Morim, CEO of Namaste Technologies. “CannMart continues to demonstrate its ability to grow its sales distribution channels in the Canadian market and this is attracting the attention of well-established brands like IGNITE. We place a high value on our relationships with these brands as it is our belief that brand recognition will be a major driver of growth as the legal industry matures and transitions to consumer-packaged goods. The opportunity for CannMart to be the exclusive distributor for IGNITE in Canada reinforces our position in the competitive cannabis market as consumers gravitate towards brands that are well known and trusted for their quality.”

“The listing of Cannabis 2.0 products for the provinces of Ontario and Alberta is an important achievement and opens meaningful additional revenue channels. The Cannabis 2.0 market is a large addressable market and the approval to list our products in Alberta and Ontario, with more than 450 and 90 cannabis stores respectively, represents a substantial increase in the addressable market for CannMart. We expect to continue our recent sales success of cannabis products from premium brands, like IGNITE, through CannMart.com and throughout our network of government partners and retailers.”

Canada is an important market for IGNITE International Brands and CannMart has shown its ability to deliver high quality products to our target market,” said Lester Lee, President of IGNITE. “The awareness of the IGNITE brand continues to build throughout Canada and our product sales continue to grow. The team at CannMart has been instrumental and has proven their competency to navigate the regulations within the legal market. We trust that our brand can be nurtured in accordance with our high standards and together we can continue to build on our early success as we look to grow market share.”

Further to the news release of March 20, 2020, CannMart and IGNITE have amended the licensing agreement to add exclusivity to the markets in Canada. The revised agreement grants CannMart an exclusive licence to use certain IGNITE brand trademarks on legal cannabis-based products (the “IGNITE Products”) in consideration for certain royalty payments. CannMart’s introduction of IGNITE cannabis products has been welcomed by its customers and demand has continued to grow.

CannMart’s listing of its first Cannabis 2.0 products in the provinces of Alberta and Ontario are now approved by both jurisdictions. CannMart’s first offering will be a variety of vape cartridges. The AGLC is responsible for regulating and distributing cannabis to Alberta’s licensed retailers and the sole legal online retailer for recreational cannabis at www.albertacannabis.org. The OCS is the sole legal online retailer and wholesaler for recreational cannabis for Canada’s most populous province.

About Ignite International Brands Ltd.
IGNITE is a global consumer brand, operating in the premium product segment of the market. Founded by Dan Bilzerian, IGNITEs ‘quality-first’ approach is fundamental to the brand and its products. Originally operating in the cannabis and hemp-derived cannabidiol (CBD) wellness space, IGNITE was able to establish its brand awareness. IGNITE product categories now include a full line of CBD oil tinctures, CBD topicals, CBD pet products and CBD vape devices, produced by various partners and sold through select distributors, brick and mortar retailers, and online through IGNITE’s website, ignite.co. The IGNITE THC product line, which was launched subsequent to the CBD product line, incorporates quality, locally sourced, cannabis products.

Since the launching of its THC and CBD products, IGNITE has expanded into the beverage space, launching a full line of functional performance enhancing drinks. The IGNITE beverage line currently consists of PH-alkaline balanced water, a line of premium performance drinks, named Z-RO as well as a gluten-free, seven-time distilled Vodka. IGNITE beverages will be distributed nationally within the United States and available to purchase on the IGNITE beverages website, IgniteBeverages.co.

IGNITE is a socially responsible company and is committed to using its marketing and brand power as a positive catalyst for a healthy lifestyle. The IGNITE management team believes that socially responsible oriented actions have a positive impact on IGNITE, its employees and its shareholders.

Shares of IGNITE are listed on the Canadian Securities Exchange (CSE) under the symbol “BILZ” and in the United States on the OTCQX under the symbol “BILZF”.

About Namaste Technologies Inc.

With headquarters in Toronto, ON, and offices in both B.C. and around the globe, Namaste Technologies is a leading online platform for cannabis products, accessories, and responsible education. The company’s ‘everything cannabis store’, CannMart.com, provides customers with a diverse selection of hand-picked products from a multitude of federally-licensed cultivators, all on one convenient site. Namaste’s global technology and continuous innovation address local needs in a burgeoning cannabis industry requiring smart solutions.

Information on the Company and its many products can be accessed through the links below:

NamasteTechnologies.com
NamasteMD.com
Cannmart.com
NamasteVapes.ca
Everyonedoesit.ca

FORWARD-LOOKING INFORMATION – This news release contains “forward-looking information” within the meaning of applicable securities laws. All statements contained herein that are not historical in nature contain forward-looking information. Forward-looking information can be identified by words or phrases such as “may”, “expect”, “likely”, “should”, “would”, “plan”, “anticipate”, “intend”, “potential”, “proposed”, “estimate”, “believe” or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions “may” or “will” happen. The forward-looking information contained herein is made as of the date of this press release and is based on assumptions management believed to be reasonable at the time such statements were made, including management’s perceptions of Namaste’s standing in the online marketplace for cannabis products and its ability to increase revenue in the Canadian marketplace through the sale of recognized, high quality and premium brands, the size and importance of the Cannabis 2.0 market as a revenue generator for CannMart, and the Company as a whole, the importance of being licensed to sell products throughout the Company’s network of government partners and retailers management’s perceptions of IGNITE and its standing in the cannabis industry, the expectation by management that IGNITE’s brand awareness among Namaste’s existing and new customer base will driver sales, future growth, results of operations, operational matters, historical trends, current conditions and expected future developments, as well as other considerations that are believed to be appropriate in the circumstances. While we consider these assumptions to be reasonable based on information currently available to management, there is no assurance that such expectations will prove to be correct. By their nature, forward-looking information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. A variety of factors, including known and unknown risks, many of which are beyond our control, could cause actual results to differ materially from the forward-looking information in this press release. Such factors include, without limitation: risks relating to the Company’s ability to execute its business strategy and the benefits realizable therefrom, the Company’s inability to achieve anticipated sales results through its exclusive relationship with IGNITE, the failure of the Cannabis 2.0 market to develop as anticipated, consumer reception to premium brands and recognition of trademarks being lesser than expected, risks related to the Cannabis industry in general, and risks relating to the market price of Namaste common shares. Additional risk factors can also be found in the Company’s current MD&A which has been filed under the Company’s SEDAR profile at www.sedar.com. Readers are cautioned not to put undue reliance on forward-looking information. The Company undertakes no obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable law. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

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 or has in any way approved or disapproved of the contents of this press release.

Cision

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SOURCE Namaste Technologies Inc.

Cision View original content to download multimedia: http://www.newswire.ca/en/releases/archive/June2020/22/c0635.html

Incite Capital Markets, Eric Negraeff / Darren Seed, Ph: 604.493.2004, For Meni Morim, CEO, Email: ir@namastetechnologies.comCopyright CNW Group 2020

Published at Mon, 22 Jun 2020 12:02:58 +0000

WeedMD Completes Planting Cannabis on its 27-Acre Outdoor Field and Provides Operational Update on CX Industries

WeedMD Completes Planting Cannabis on its 27-Acre Outdoor Field and Provides Operational Update on CX Industries

WeedMD Inc. (TSX-V:WMD) (OTCQX:WDDMF) (FSE:4WE) (“WeedMD” or the “Company”), a federally-licensed producer and distributor of medical-grade cannabis, announced today it completed planting more than 18,000 fully-rooted cannabis plants at its 27-acre outdoor field located adjacent to its modern greenhouse in Strathroy, Ontario. As one of only a handful of licensed-producers entering its second year of outdoor operations, WeedMD also confirmed that its CX Industries extraction hub in Aylmer is now fully operational and extracting cannabinoid-rich, indoor and outdoor-harvested biomass into new cannabis formats.

The Company is producing vapourization (“vape”) cartridges for initial launch this month to WeedMD and Starseed’s medical channels. Additional details will be released about the vape product during its launch week, June 22, 2020. The new products will expand into the adult-use markets by Q3 2020 under WeedMD’s Color Cannabis brand.

“The ability to effectively cultivate cannabis outdoors optimizes our yields for cost-efficient production to develop products with greater commercial sales value,” said Angelo Tsebelis, CEO of WeedMD. “Over the past few months, our cultivation team has made significant headway in boosting outdoor efficiencies, selecting seven optimal outdoor strains and propagating over 18,000 cannabis clones now fully rooted and planted. Additionally, with the ramp up of CX Industries, we are now commercializing our extraction-grade, cannabinoid-rich biomass harvested indoors and outdoors into new cannabis formats starting with vapes to meet our production targets.”

CX Industries Inc. (“CX Industries” or “CX”) is a WeedMD business unit specializing in extraction, toll processing and third-party product formulation from its fully-licensed Aylmer site. With plans to process over 50,000 kgs of biomass annually at peak production, CX offers tolling and white labelling services to other LPs and brands. Two Vitalis Q90 extractors commissioned in late 2019 moved CX Industries into commercial operation in 2020.

WeedMD’s Outdoor Cultivation Highlights

  • Over 18,000 fully-rooted cannabis plants comprised from seven strains selected from mother plants shown to excel outdoors in southwestern Ontario.
  • Planted in nutrient-rich, natural loamy soil on 27-acre field with irrigation system installed, located directly adjacent to WeedMD’s fully-licensed greenhouse.
  • Utilized fertigation formulas prepared by award-winning fertigation supplier Emerald Harvest.
  • Optimizing planting methods for this second season, using precision agriculture methods which include crews of under 10 people and a high-performance mechanical planter.
  • Planting completed in one-third of the time, with one-third of staffing required compared to 2019.
  • All infrastructure and staffing resources onsite with an experienced outdoor-dedicated team.
  • A newly-built 50,000 square foot, fully-licensed processing facility strictly for processing and storing outdoor-cultivated biomass in now fully operational processing biomass for CX Industries.

Check here for upcoming corporate events and to access WeedMD’s latest Investor Presentation and latest Corporate Update Video.

About WeedMD Inc.
WeedMD Inc. is the publicly-traded parent company of WeedMD RX Inc. and Starseed Medicinal Inc., federally-licensed producers of cannabis products for both the medical and adult-use markets. The Company owns and operates a 158-acre state-of-the-art greenhouse, outdoor and processing facility located in Strathroy, Ontario as well as CX Industries Inc., a wholly-owned subsidiary which specializes in cannabis extraction from the Company’s fully-licensed 26,000 sq. ft. Aylmer, Ontario processing facility. With the addition of Starseed, a medical-centric operator based in Bowmanville, Ontario, WeedMD has expanded its multi-channeled distribution strategy. Starseed’s industry-first, exclusive partnership with LiUNA, the largest construction union in Canada, along with other employers and union groups complements WeedMD’s direct sales to medical patients. The Company maintains strategic relationships in the seniors’ market and supply agreements with Shoppers Drug Mart as well as six provincial distribution agencies where adult-use brands Color Cannabis and Saturday are sold.

Follow WeedMD, Color Cannabis & Starseed: 

LinkedIn: https://ca.linkedin.com/company/weedmd
Twitter: https://twitter.com/WeedMD
Instagram: https://www.instagram.com/weedmd/

Instagram: https://www.instagram.com/callitcolor/
&
Instagram: https://www.instagram.com/starseedca/

For further information, please contact:

For Investor Enquiries:
Valter Pinto
Managing Director
KCSA Strategic Communications
1-212-896-1254
weedmd@kcsa.com

For Media Enquiries:
Marianella delaBarrera
VP, Communications & Corporate Affairs
416-897-6644
marianella@weedmd.com

Forward Looking Information This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation which are based upon WeedMD’s current internal expectations, estimates, projections, assumptions and beliefs and views of future events. Forward-looking information can be identified by the use of forward-looking terminology such as “expect”, “likely”, “may”, “will”, “should”, “intend”, “anticipate”, “potential”, “proposed”, “estimate” and other similar words, including negative and grammatical variations thereof, or statements that certain events or conditions “may”, “would” or “will” happen, or by discussions of strategy.

The forward-looking information in this news release is based upon the expectations, estimates, projections, assumptions and views of future events which management believes to be reasonable in the circumstances. Forward-looking information includes estimates, plans, expectations, opinions, forecasts, projections, targets, guidance or other statements that are not statements of fact. Forward-looking information in this news release include, but are not limited to, statements with respect to internal expectations, expectations with respect to actual production volumes, expectations for future growing capacity and the completion of any capital project or expansions. Forward-looking information necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; loss of markets; future legislative and regulatory developments; 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; the ability of WeedMD to implement its business strategies; competition; crop failure; and other risks.

Any forward-looking information speaks only as of the date on which it is made, and, except as required by law, WeedMD does not undertake any obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for WeedMD to predict all such factors. When considering this forward-looking information, readers should keep in mind the risk factors and other cautionary statements in WeedMD’s Annual Information Form dated June 21, 2019 (the “AIF”) and other disclosure documents of WeedMD filed with the applicable Canadian securities regulatory authorities on SEDAR at www.sedar.com. The risk factors and other factors noted in the AIF and other disclosure documents could cause actual events or results to differ materially from those described in any forward-looking information.

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

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Published at Fri, 12 Jun 2020 13:20:22 +0000

Investors Should Be Paying Attention To This Overlooked Ancillary Cannabis Stock

Investors Should Be Paying Attention To This Overlooked Ancillary Cannabis Stock

Although the market tends to focus on the leading cannabis producers and retailers in the US and Canada, the ancillary side of the business represents a burgeoning opportunity, and this is a vertical that tends to get overlooked.

Earlier this week, The Scotts Miracle-Gro Company (SMG) reported an important development and raised sales and earnings guidance based on higher demand in both its US consumer and Hawthorne segments. The stronger guidance provides favorable insight on the strength of the cannabis industry as Hawthorne is highly focused on selling the necessary cultivation equipment to cannabis businesses.

For the fiscal year that ends on September 30th, Scotts expects company-wide sales growth of 16% to 18%. Last month, Scotts provided company-wide sales guidance of 6% to 8% growth for the year. Hawthorne is expected to play an important role in the growth of the business, and we are bullish on this vertical. After initially announcing that it expects Hawthorne to record 30% to 35% growth, the company raised expectations to growth of 45% to 50% for the year.

Scotts’ better-than-expected guidance on Hawthorne supports our view of how the cannabis industry has been growing and we find this to be of importance. If cannabis companies are purchasing more equipment than before, then we expect to see an increase in the amount of cannabis that is being produced.

Although many analysts have cited concerns that are related to an oversupply of cannabis in Canada, many Licensed Producers (LPs) have already shut down large-scale cultivation facilities and we believe that our readers need to be aware of this. From the US to the European Union (EU), we are seeing increasing demand for legal cannabis and this is a trend that we expect to become more significant on a year-over-year basis.

When compared to the first half of 2019, the cannabis industry has recorded impressive growth so far this year. We expect to see companies that are focused on the production and the sale of cannabis benefit from the increase in the amount of cannabis that is being sold. This increase has taken place while the global economy has been trying to recover from COVID-19 and we find this to be an important data point.

Following Scotts’ decision to raise guidance, we conducted analysis on the companies that have recently reported earnings to better understand the businesses that could be beneficiaries of this trend.w

  1. Aurora Cannabis Inc. (ACB.TO) (ACB) is a leading Canadian cannabis producer that recently reported stronger-than-expected quarterly financial results and is an opportunity that we are closely following. With leverage to several burgeoning international markets, the company is highly focused on the global cannabis opportunity. Over the next year, we expect to see an increase in the amount of cannabis that is being produced by Aurora Cannabis and is a business that is expected to benefit from current market trends.
  2. HEXO Corporation (HEXO.TO) (HEXO) is another company that could have benefited from the increasing interest in cannabis. The company has a strategic relationship with Molson Coors and this an attractive aspect of the story. Although HEXO has not lived up to expectations, the recent trend has been to the upside and this is an opportunity that caught our attention. Despite the closing down of a Canadian cultivation facility, we expect HEXO to produce more cannabis in 2020 than it did in 2019. We are cautiously optimistic with HEXO and will monitor how the story evolves from here.
  3. Aleafia Health Inc. (ALEF.TO) (ALEF) has been a clear beneficiary of the rising demand for cannabis in Canada. During the last two quarters, the company has reported positive adjusted EBITDA and we are bullish on this trend. For five consecutive quarters, Aleafia Health has reported revenue growth and we believe the business has reached an inflection point. The company has recently received license amendments to significant increase the amount of cannabis that it can produce, and we are bullish on this. Going forward, Aleafia Health also plans to develop cannabis 2.0 products and we believe that the business has substantial potential catalysts for growth. When compared to leading Canadian LPs, Aleafia Health has been growing at a faster rate and has been doing so in a cost-effective manner. We believe that this is a testament to the strength of the management team and is an opportunity with an attractive risk-reward profile.

Pursuant to an agreement between StoneBridge Partners LLC and Aleafia Health Inc. (ALEF) we have been hired for a period of 90 days beginning February 15, 2020 and ending June 15, 2020 to publicly disseminate information about (ALEF) including on the Website and other media including Facebook and Twitter. We are being paid $8,000 per month (ALEF) for or were paid “ZERO” shares of unrestricted or restricted common shares. We own zero shares of (ALEF), which we purchased in the open market. We plan to sell the “ZERO” shares of (ALEF) that we hold during the time the Website and/or Facebook and Twitter Information recommends that investors or visitors to the website purchase without further notice to you. We may buy or sell additional shares of (ALEF) in the open market at any time, including before, during or after the Website and Information, provide public dissemination of favorable Information.

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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 Thu, 11 Jun 2020 11:47:32 +0000

Aleafia Health to Commence Cultivation in Entire 160,000 sq. ft. Niagara Greenhouse Facility

Aleafia Health to Commence Cultivation in Entire 160,000 sq. ft. Niagara Greenhouse Facility

Aleafia Health Inc. (TSX: AH, OTC: ALEAF) (“Aleafia Health” or the “Company”) will now commence operations in the entirety of its 160,000 sq. ft. Niagara Facility.

On March 13, 2020, the Company secured its initial cultivation licence authorizing operations in 70,000 sq. ft. of the Niagara Facility. The Company may now commence operations in the remaining 90,000 sq. ft. of the facility following changes to site plan approval requirements announced by Health Canada on May 12, 2020. Health Canada no longer requires licence amendment applications for certain site plan changes, as long as they are within an approved building that already appears on the previously issued licence.

“This is an incredibly important breakthrough for Aleafia Health. We can now fully leverage the advanced automation built into the Niagara Facility, including automated moving container benches which allow for a perpetual, year-round harvest,” said Aleafia Health CEO Geoffrey Benic. “The Niagara Facility provides both near term, stable inventory for our health and wellness sales channels, and the inputs needed for the 2020 outdoor cultivation season.”

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. 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 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 filed with Canadian securities regulators 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 are 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 Mon, 08 Jun 2020 11:38:35 +0000

All Eyes Are On Canadian Cannabis Retail As It Begins To Reopen Post Covid-19

All Eyes Are On Canadian Cannabis Retail As It Begins To Reopen Post Covid-19

So far, the Canadian cannabis retail market has not lived up to expectations and is a vertical that we believe is flying under the radar.

Due to COVID-19, the Canadian cannabis retail market has faced significant headwinds and companies that are levered to the vertical have come under heavy pressure. In late May, Canopy Growth (WEED.TO) (CGC) reported quarterly financial results that missed expectations and the business was impacted by the shutting down of its retail stores in mid-March.

As concerns about COVID-19 have diminished, there has been a substantial increase in the number of cannabis retail outlets that have re-opened. The re-opening of retail stores should prove to be a catalyst for the companies that are focused on this opportunity and we believe that the vertical is under-appreciated.

Canopy Growth Re-Opens 20 Retail Locations

When Canopy Growth reported quarterly financial results, it announced that 20 company owned retail stores had re-opened with reduced operating hours. The closing of the stores had a significant impact on the business and the market responded negatively to the company’s quarterly financial results.

Through a series of investments and acquisitions, Canopy Growth has significantly advanced its fundamental story and has substantial growth prospects. We believe that the long-term story is intact and that the business will be a leader in the global cannabis market.

Several broker-dealers that are focused on the cannabis industry downgraded Canopy Growth after it released its quarterly financial results and we believe that our readers need to be aware of this trend. We expect the business to report improvements in the current quarter as operations come back on-line and will monitor the trend on a going forward basis.

Wildflower Reports Quarterly Financial Results

Last week, Wildflower Brands Inc. (SUN.CN) (WLDFF) released third quarter financial results and reported to have generated $5.3 million of revenue. When compared to the prior quarter, the business generated less revenue as it was impacted by COVID-19.

If you were to compare Wildflower’s quarter to the same period last year, the business recorded significant growth. During this period, revenue grew by more than 100% and the business benefited from selling products in British Columbia, in California, and through its e-commerce platform.

We visited the dispensaries that are owned by Wildflower in Vancouver last year and were impressed with the operation. The locations of the dispensaries are strategic and we are bullish on the growth prospects that are associated with this facet of the business. Once the COVID-19 crisis becomes more under control, we expect Wildflower to see a spike in business.

Choom: A Burgeoning Opportunity that is Flying Under the Radar

A few weeks ago, we spoke with Choom Holdings (CHOO.CN) (CHOOF) CEO Chris Bogart and left the conversation with a much higher conviction level in the business. The Canadian cannabis retailer has been highly focused on the opportunity in Ontario and Alberta and we are favorable on the leverage to these markets.

Choom is a business that has substantial catalysts for growth and we are favorable on its planned expansion in British Columbia. The company will open a dispensary in a strategic location in Vancouver and we find this to be an important aspect of the story. The Choom dispensary will be located in Olympic Village and will be the only cannabis retail store located in the area.

During the last year, Choom has been nothing short of an execution story and has been expanding into new markets across Canada. From Niagara Falls to Vancouver, the Canadian cannabis retailer is focused on strategic markets and we find this to be an attractive aspect of the story.

At current levels, we believe that Choom has a compelling valuation and a favorable risk-reward profile. In the back half of 2020, many economists and politicians expect the market to return to sense of normalcy. In a post-COVID world, we would not be surprised to see consumers do a majority of their shopping in the areas that are near their home. This trend could prove to be a catalyst for Choom as we expect to see a good portion of customers remain loyal to businesses located nearby.

Over the long-term, we are favorable on the Canadian cannabis retail market and believe that Choom is positioned to survive the current market environment. The company is led by a management team that has been able to navigate the choppy waters of the Canadian cannabis market and we find this to be a key aspect of the story.

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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, 05 Jun 2020 11:51:44 +0000

Cardiol Therapeutics Closes $17.25 Million Bought Deal Offering, Including Full Exercise of the Over-Allotment Option

Cardiol Therapeutics Closes $17.25 Million Bought Deal Offering, Including Full Exercise of the Over-Allotment Option

Cardiol Therapeutics Inc. (TSX: CRDL) (“Cardiol” or the “Company“), a leader in the production of pharmaceutical cannabidiol (CBD) and the development of innovative cannabidiol products for heart diseases, is pleased to announce the closing of its previously announced “bought deal” short form prospectus offering (the “Offering“) of units of the Company (“Units“) for aggregate gross proceeds of $17,250,000 which includes the full exercise of the over-allotment option.

“The closing of our financing today positions Cardiol to execute on a strategy designed to address significant opportunities in healthcare,” said David Elsley, President and CEO of Cardiol Therapeutics. “As we all adjust to the new reality of operating during a global pandemic, Cardiol is fortunate to have the opportunity to collaborate with leading international researchers to develop new therapies to address inflammation in heart failure and in other cardiovascular abnormalities, and through this work explore the possibility of improving outcomes in high-risk COVID-19 patients. There is increasing recognition that COVID-19 involves the heart and blood vessels, with excessive levels of inflammation. We also look forward to the commercial introduction of our lead product through our national supplier agreement with Medical Cannabis by Shoppers, a subsidiary of Shoppers Drug Mart.”

Under the Offering, the Company sold a total of 6,900,000 Units at a price of $2.50 per Unit. Each Unit is comprised of one Class A common share of the Company (a “Unit Share” and each Class A common share, a “Common Share“) and one-half of one Common Share purchase warrant of the Company (each full warrant, a “Warrant“). Each Warrant entitles the holder thereof to acquire one Common Share (a “Warrant Share“) at a price of $3.25 per Warrant Share for a period of 24 months from issuance, subject to a Warrant acceleration right exercisable by the Company if the daily volume weighted average trading price of the Common Shares on the Toronto Stock Exchange (the “TSX“) is greater than $4.50 per Common Share for the preceding ten consecutive trading days.

Cardiol intends to use the proceeds of the Offering to support the commercialization of its pharmaceutical cannabidiol products, its ongoing research and clinical development programs focused on heart failure, additional product development, and for general corporate purposes.

The Offering was completed by a syndicate of underwriters led by Canaccord Genuity Corp. and included Raymond James Ltd., AltaCorp Capital Inc., and Echelon Wealth Partners Inc.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or any U.S. state securities laws, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) absent registration under the U.S. Securities Act and applicable state securities laws or an exemption from such registration requirements is available.

About Cardiol Therapeutics

Cardiol Therapeutics Inc. (TSX: CRDL) is focused on producing pharmaceutical cannabidiol (CBD) products and developing innovative therapies for heart diseases, including acute myocarditis and other causes of heart failure. The Company’s lead product, CardiolRx™, is formulated to be the most consistent cannabidiol formulation on the market. CardiolRx is pharmaceutically produced, manufactured under cGMP, and is THC free (<5 ppm). The Company also plans to commercialize CardiolRx in the billion-dollar market for medicinal cannabinoids in Canada and is pursuing distribution opportunities in Europe and Latin America.

In heart failure, Cardiol is planning an international clinical study of CardiolRx in acute myocarditis, a condition caused by inflammation in heart tissue, which remains the most common cause of sudden cardiac death in people less than 35 years of age. The Company is also developing proprietary nanotechnology to uniquely deliver pharmaceutical cannabidiol and other anti-inflammatory drugs directly to sites of inflammation in the heart associated with heart failure. Heart failure is the leading cause of death and hospitalization in North America with associated annual healthcare costs in the U.S. alone exceeding $30 billion. For further information about Cardiol Therapeutics, please visit cardiolrx.com.

For further information, please contact:

David Elsley, President & CEO +1-289-910-0850
david.elsley@cardiolrx.com

Trevor Burns, Investor Relations +1-289-910-0855
trevor.burns@cardiolrx.com

Cautionary statement regarding forward-looking information:

This news release contains “forward-looking information” within the meaning of applicable Canadian securities laws. All statements, other than statements of historical fact, that address activities, events, or developments that Cardiol Therapeutics Inc. (“Cardiol”) believes, expects, or anticipates will, may, could or might occur in the future are “forward- looking information”. Forward-looking information is frequently identified by the use of words such as “plans”, “expects”, “projects”, “intends”, “believes”, “anticipates”, “forecasts”, and other similar words and phrases, including variations (and negative variations) of such words and phrases, or may be identified by statements to the effect that certain actions, events or conditions “may”, “could”, “should”, “would”, or “will” be taken, occur or be achieved. Forward-looking information contained herein may include, but is not limited to, statements with respect to: the anticipated use of proceeds of the Offering; the future performance or the intended business strategy of Cardiol, including, but not limited to, the plan to commercialize CardiolRx and the planning of an international clinical study of CardiolRx in acute myocarditis; the potential for Cardiol’s licensed drug encapsulation and delivery technologies to enhance the bioavailability of pharmaceuticals; management’s expectations regarding estimated future pharmaceutical research and development opportunities, collaborations and prospects; the success and proposed timing of Cardiol’s product development activities; the ability of Cardiol to develop its product candidates; Cardiol’s plans to research, discover, evaluate and develop additional products; Cardiol’s proposed future collaborations to advance Cardiol’s lead nanoformulations into clinical development; and the potential for Cardiol’s cannabinoid-based products to provide sources of future revenue. Forward-looking information contained herein reflects the current expectations or beliefs of Cardiol based on information currently available to it and is subject to a variety of known and unknown risks and uncertainties and other factors that could cause the actual events or results to differ materially from any future results, performance or achievements expressed or implied by the forward-looking information. These risks and uncertainties and other factors include that the success of Cardiol’s product candidates will require significant capital resources and years of clinical development efforts; the results of clinical testing and trial activities of Cardiol’s products; Cardiol’s ability to obtain regulatory approval and market acceptance of its products; Cardiol’s ability to raise capital and the availability of future financing; Cardiol’s lack of operating history; unforeseeable deficiencies in the development of Cardiol’s product candidates; uncertainties relating to the availability and costs of financing needed in the future for Cardiol’s research and development initiatives; Cardiol’s ability to manage its research, development, growth and operating expenses; the potential failure of clinical trials to demonstrate acceptable levels of safety and efficacy of Cardiol’s product candidates; Cardiol’s ability to retain key management and other personnel; risks related to fluctuations in medicinal cannabinoid markets in Canada and worldwide; uncertainties regarding Cardiol’s ongoing collaborative and manufacturing partnerships; uncertainties regarding results of researching and developing products for human use; Cardiol competes in a highly competitive and evolving industry; Cardiol’s ability to obtain and maintain current and future intellectual property protection; and other risks and uncertainties and factors. These risks, uncertainties and other factors should be considered carefully, and investors should not place undue reliance on the forward-looking information. Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Cardiol disclaims any intent or obligation to update or revise such forward-looking information, whether as a result of new information, future events or results or otherwise. Although Cardiol believes that the expectations reflected in the forward-looking information are reasonable, they do involve certain assumptions, risks, and uncertainties and are not (and should not be considered to be) guarantees of future performance. It is important that each person reviewing this news release understands the significant risks attendant to the operations of Cardiol.

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES NOR FOR DISSEMINATION IN THE UNITED STATES.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/57250

copyright (c) newsfile corp. 2020

Published at Thu, 04 Jun 2020 13:16:36 +0000

Aleafia Health Announces Closing of $14.95 Million Bought Deal Offering, Including Full Exercise of the Over-Allotment Option

Aleafia Health Announces Closing of $14.95 Million Bought Deal Offering, Including Full Exercise of the Over-Allotment Option

Aleafia Health Inc. (TSX: AH) (OTC: ALEAF) is pleased to announce that it has closed its previously announced bought deal offering for a total issuance today of 23,000,000 units (the “Units”) of the Company at a price of $0.65 per Unit for aggregate gross proceeds of $14,950,000 (the “Offering”), which includes the full exercise of the over-allotment option. The Offering was led by Eight Capital on behalf of a syndicate of underwriters including Canaccord Genuity Corp., BMO Capital Markets, Leede Jones Gable Inc., Raymond James Ltd., Mackie Research Capital Corp., and PI Financial Corp. (together, the “Underwriters”).

Each Unit consisted of one common share in the capital of the Company (a “Common Share”) and one-half of one Common Share purchase warrant (each whole warrant, a “Warrant”). Each Warrant shall entitle the holder thereof to purchase one Common Share at an exercise price of $0.80, for a period of 36 months following the closing of the Offering.

The Company has paid the Underwriters a cash fee of 6% of the aggregate gross proceeds, and an aggregate of 805,000 non-transferable compensation warrants, with each compensation warrant being exercisable into Units at a price of $0.65 for a period of 36 months following the closing of the Offering.

The Company intends to use the net proceeds of the Offering for working capital and general corporate purposes.

In connection with the Offering, effective May 27, 2020, the Company has changed its trading symbol from “ALEF” to “AH” and it is expected that the Warrants issued in connection with the Offering will commence trading on the Toronto Stock Exchange (the “TSX”) on the date hereof under the symbol “AH.WT.A”.  The Offering is subject to final acceptance of the TSX.

Gowling WLG (Canada) LLP acted as legal advisors to Aleafia Health and Cassels Brock & Blackwell LLP acted as legal advisors to the Underwriters on the Offering.

The Units, and securities underlying the Units, have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and may not be offered or sold in the United States, to or for the account or benefit of, persons in the United States or U.S. Persons (as defined in Regulation S under the U.S. Securities Act) absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and in accordance with applicable state securities laws. 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 the Units or the securities underlying the Units in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Annual Shareholders’ Meeting

The Company also announced that it has filed on SEDAR its management information circular for its upcoming annual and special meeting (the “Meeting”) of shareholders. The meeting will be held on Tuesday, June 30, 2020 at 10:00 a.m. EDT.

Given COVID-19, the Company will be holding the Meeting as a completely virtual meeting, which will be conducted via a web interface. Shareholders will not be able to attend the Meeting in person this year and are strongly encouraged to vote in advance of the Meeting by proxy.

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. 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 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 short form prospectus filed in respect of the Offering and the documents incorporated by reference therein, all of which are  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, including those regarding the Offering, the intended use of proceeds and the receipt of requisite TSX and securities regulatory approvals, 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 are 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 Fri, 29 May 2020 13:17:05 +0000

Indiva Begins Distribution to New Brunswick and Manitoba

Indiva Begins Distribution to New Brunswick and Manitoba

Indiva Limited (TSXV:NDVA) (OTCQX:NDVAF) is pleased to announce that it has secured distribution rights to ship its premium cannabis products to New Brunswick and Manitoba. These two new agreements extend Indiva’s distribution network to eight provinces. Indiva’s first shipments to Manitoba include INDIVA™ pre-rolls and THC capsules, and Bhang® Chocolate. Indiva expects that INDIVA™ and Bhang® products will be available in Manitoba stores within the next two weeks. New Brunswick recently received Bhang® Chocolate, which is now available for purchase at www.cannabis-nb.com.

“We are proud to continue to grow our distribution network across Canada,” Niel Marotta, Indiva’s President and Chief Executive Officer, said. “As of today, we are nearly a nationwide producer and distributor of cannabis and cannabis-infused products. We are delighted to bring our top-selling products to New Brunswick and Manitoba. We are proud to add to both provinces’ growing collections and bring our beloved Bhang® and INDIVA™ brands to more Canadians.”

ABOUT INDIVA

Indiva sets the standard for quality and innovation in cannabis. As a Canadian licensed producer, Indiva creates premium pre-rolls, flower, capsules, and edible products and provides production and manufacturing services to peer entities. In Canada, Indiva produces and distributes the award-winning Bhang® Chocolate, Wana Sour Gummies, Ruby® Cannabis Sugar, Sapphire™ Cannabis Salt and other Powered by INDIVA™ products through license agreements, partnerships and joint ventures. Click here to connect with Indiva onLinkedIn, Instagram, Twitter and Facebook, and here to find more information on the Company and its products.

CONTACTS

MEDIA CONTACT
Kate Abernathy, Vice President of Marketing and Communications
Phone: 613-296-5764
Email: kabernathy@indiva.com

INVESTOR CONTACT
Steve Low, Investor Relations
Phone: 647-620-5101
Email: slow@indiva.com

DISCLAIMER AND READER ADVISORY

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has in any way passed upon the merits of the contents of this press release and neither of the foregoing entities accepts responsibility for the adequacy or accuracy of this release or has in any way approved or disapproved of the contents of this press release.

Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words “could”, “intend”, “expect”, “believe”, “will”, “projected”, “estimated” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the parties’ current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this release contains forward-looking information relating to the Company’s future operations, future product offerings and compliance with applicable regulations. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to the parties. The material factors and assumptions include the parties being able to maintain the necessary regulatory and other third parties’ approvals and licensing and other risks associated with regulated entities in the cannabis industry. The forward-looking information contained in this release is made as of the date hereof and the parties are not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available. Not for distribution to U.S. Newswire Services or for dissemination in the United States. Any failure to comply with this restriction may constitute a violation of U.S. Securities laws.

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Published at Thu, 21 May 2020 11:02:23 +0000

Choom Holdings Is A Canadian Cannabis Retailer With Plenty Of Catalysts For Growth

Choom Holdings Is A Canadian Cannabis Retailer With Plenty Of Catalysts For Growth

Earnings season is heating up for the cannabis industry and the market is closely analyzing the numbers that are being reported by Canadian industry leaders.

Almost every company (cannabis and non-cannabis) has been negatively impacted by COVID-19. The virus has brought the global economy to a screeching halt and we are monitoring how we are able to respond to the crisis.

Although the cannabis sector has been under pressure so far this year, the recent trend has been slightly to the upside and we believe that there are several pockets of opportunity. The Canadian cannabis retail market is one of the verticals that we have been bullish on. When COVID-19 started to spread, the Canadian government declared cannabis to be an essential industry. The classification allowed many dispensaries to remain open and we are favorable on this development.

Depending on the location of the dispensary, businesses have been forced to abide by new regulations. In Ontario, consumers cannot enter a dispensary and must rely on curbside/pickup type of service. In Alberta, the regulations are not as strict and dispensaries are allowed to remain open. Many companies have limited the number of customers that are allowed to be inside at one-time and we are favorable on the proactive approach to help slow the spread of the virus.

Last week, we spoke with Choom Holdings (CHOO.CN) (CHOOF) CEO Chris Bogart and left the conversation with a much higher conviction level in the business. The Canadian cannabis retailer has been highly focused on the province of Alberta and we are favorable on the leverage that it has to this market. Choom also has retail operations in Ontario, and we will monitor how these locations have been impacted by the virus.

A Company with Catalysts for Growth

Choom is a business that has substantial catalysts for growth, and we are favorable on the planned expansion in British Columbia. The company will open a dispensary in a strategic location in Vancouver and we find this to be an important aspect of the story. The Choom dispensary will be located in Olympic Village and will be the only cannabis retail store to be located in the area.

In the back half of 2020, many economists and politicians expect the market to return to sense of normalcy. In a post-COVID world, we would not be surprised to see consumers do a majority of their shopping in the areas that are near their home. This trend could prove to be a catalyst for Choom as we expect to see a good portion of customers remain loyal to businesses that are located near them.

In a market like Alberta, which has not been as impacted by COVID-19 and is considerably smaller than Ontario and British Columbia (Vancouver), we do not expect to see a significant shift in how consumers spend. Alberta has remained a strong market for Choom and this is a trend that we expect to continue on a going forward basis.

During the last year, Choom has been nothing short of an execution story and has been expanding into new markets across Canada. From Niagara Falls to Vancouver, the Canadian cannabis retailer is focused on strategic markets and we find this to be an attractive aspect of the story.

When it comes to opening a dispensary, location is of the utmost importance and Choom is led by a management team that understands the importance of this. We believe the company is led by a management team that has its finger on the pulse of the Canadian cannabis retail market and are favorable on the long-term growth prospects that is associated with the operation.

An Under-appreciated Growth Story

At current levels, we believe that Choom has a compelling valuation and a favorable risk-reward profile. Although the company has been executing on previously announced initiatives, the recent trend has been to the downside and we believe that the market does not fully understand the opportunity.

One of the reasons we believe that Choom Holdings has been under pressure is due the relationship with Aurora Cannabis (ACB.TO) (ACB). The relationship was previously considered to be the most important aspect of the story, however, Aurora’s downfall has significantly devalued the relationship.

We believe that Choom Holdings has been overly impacted by the COVID-19 and is an opportunity that our readers need to be aware of. Over the long-term, we are favorable on the Canadian cannabis retail market and believe that Choom is positioned to survive the current market environment. The company is led by a management team that has been able to navigate the choppy waters of the Canadian cannabis market and we find this to be a key aspect of the story.

If you are interested in learning more about the Canadian cannabis retailer, 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 Thu, 21 May 2020 11:12:16 +0000

Neptune Announces $16.5 Million Extraction Partnership for Hemp Processing at Sherbrooke Facility

Neptune Announces $16.5 Million Extraction Partnership for Hemp Processing at Sherbrooke Facility

Neptune Wellness Solutions Inc. (“Neptune” or the “Company”) (NASDAQ: NEPT) (TSX: NEPT), a diversified and fully integrated health and wellness company, is pleased to announce today that it has entered into an extraction partnership for hemp processing resulting in revenues to the Company of a minimum of $16.5 million over the next six months.

Logo: Neptune Wellness Solutions (CNW Group/Neptune Wellness Solutions Inc.)

Under the terms of the agreement, Neptune will process 44,000 kg of crude and distillate extracts from hemp biomass in four installments over six months.

“We are pleased to enter into this game changing hemp processing partnership which further strengthens our B2B extraction business and allows Neptune to deliver high quality, low-cost hemp extracts to our customers,” said David Mayers, Chief Operating Officer of Neptune. “With this partnership we are in an even stronger position to serve and provide value to our Canadian LP customers, while generating high margin revenue opportunities through the processing of hemp or cannabis extracts for a variety of product forms.”

“This is an exciting point in time for Neptune’s history with accelerated growth across our health and wellness product portfolio, including cannabis and hemp derived products,” added Michael Cammarata, Chief Executive Officer of Neptune Wellness Solutions. “With our Phase II extractor at Sherbrooke operational, we are now highly competitive on product offerings and pricing to Canadian LPs, giving our customers the edge to win at retail in Cannabis 2.0.”

About Neptune Wellness Solutions Inc.
Neptune Wellness Solutions is a diversified and fully integrated health and wellness company. Through its flagship consumer-facing brands, Forest Remedies™ and Ocean Remedies™, Neptune is redefining health and wellness by building a broad portfolio of natural, plant-based, sustainable and purpose-driven lifestyle brands and consumer packaged goods products in key health and wellness markets, including hemp, nutraceuticals, personal care and home care. Leveraging decades of expertise in extraction and specialty ingredient formulation, Neptune is a leading provider of turnkey product development and supply chain solutions to businesses and government customers across several health and wellness verticals, including legal cannabis and hemp, nutraceuticals and white label consumer packaged goods. The Company utilizes a highly flexible and low cost supply chain infrastructure that can be scaled up and down or into adjacent product categories to quickly adapt to market demand. Neptune’s corporate headquarters is located in Laval, Quebec, with a 50,000-square-foot production facility located in Sherbrooke, Quebec and a 24,000 square-foot facility located in North Carolina. For additional information, please visit: https://neptunecorp.com/

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SOURCE Neptune Wellness Solutions Inc.

Published at Tue, 19 May 2020 11:26:43 +0000