VANCOUVER, British Columbia, June 27, 2017 (GLOBE NEWSWIRE) -- Harvest One Cannabis Inc. (TSXV:HVST) ( "Harvest One" or the "Company") through its wholly owned subsidiary United Greeneries Ltd. ("UG") is pleased to announce that UG has received a renewal of its its Access to Cannabis for Medical Purposes Regulations ("ACMPR") cultivation license (the "License"), and it has submitted an application to Health Canada to amend its License to allow for the sale and distribution of medical cannabis (the "Amendment").
Renewal of License
UG is pleased to announce that it has received the renewal of its License. The License is valid until June 26, 2020. Health Canada has removed the previous production and storage capacity of the License. UG is now permitted to store up to $6,250,000 worth of cannabis at any given time in its Level 8 vault.
Sales Amendment
The application for the Amendment follows the harvest of two independent consecutive cannabis crops and the successful completion of certain biochemical quality control standards and analytical requirements. The issuance of the Amendment is subject to, among other things, a regulatory inspection of UG’s growing facility in Duncan, BC (the "Duncan Facility") and cannot be guaranteed by the Company. However, the Company is confident that UG is compliant with all necessary requirements, that the Duncan Facility will pass the required inspection and that the Amendment will be issued in due course.
Agreement with another Licensed Producer ("LP")
In addition, UG is pleased announce that it has entered into a wholesale off-take agreement (the "Wholesale Agreement") with another LP for the sale of its initial 100kg of cannabis production for a fixed price of CAD$500,000 (or $5 per gram), subject to the receipt of the Amendment. The Wholesale Agreement also includes a right of first refusal for the LP to wholesale purchase UG’s further production for a period of 12 months.
Subject to the receipt of the Amendment, UG plans to continue wholesale distribution and to closely collaborate with this LP in the medical cannabis market while the Company builds a retail platform for the recreational cannabis market over the next few months.
Andreas Gedeon, Managing Director and CEO, comments: "I am delighted to report that our operational activities are unfolding according to our business plan and that our strategic efforts to build a leading international cannabis company are coming together. The issuing of the sales and distribution Amendment to United Greeneries' cultivation license under the ACMPR will constitute a significant value catalyst for our shareholders. We will be providing the market with further operational updates and a strategic outlook for the months ahead shortly."
About Harvest One
Harvest One Cannabis Inc. (TSXV:HVST) controls operations across the entire cannabis value chain through three business units, with Harvest One serving as the umbrella company over horticultural arm United Greeneries and medical arm Satipharm AG. Each business is strategically located in favourable jurisdictions with supportive regulatory frameworks in place. United Greeneries has received a Canadian medicinal cannabis cultivation license, making Harvest One one of only a few companies globally with the capacity to commercially cultivate cannabis in a federally regulated environment.
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 Company's 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 application for the Amendment and the expansion of the Duncan Facility. The Amendment and expansion of the Duncan Facility, respectively, are subject to applicable regulatory approvals, and there can be no assurance that such approvals will be received in the timeframe contemplated in this press release or at all. The business of the Company is subject to a number of material risks and uncertainties. Please refer to the Company's SEDAR filings for further details. The forward-looking information contained in this press release is made as of the date hereof and the Company is 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.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.
For more information on Harvest One Cannabis, please contact: Colin Clancy Communications Manager +1 (778) 855-2408 cclancy@mmj.ca
