With the uptake of consumer CBD (cannabidiol) products rising at record growth rates, the need to assure consumers of product safety and transparency is of elevated importance. Sharing the knowledge and/or point of view on CBD, along with recommendations to the FDA, was the purpose of the FDA’s Scientific Data and Information about Products Containing Cannabis or Cannabis-Derived Compounds public hearing on May 31, 2019. Based on the presentations and comments made by manufacturers, Kline, a respected provider of world-class consulting services and high-quality market intelligence, issued the following top three takeaways:
- FDA is empowered to enforce and ensure that CBD manufacturers are compliant with current good manufacturing practices (cGMP).
- FDA should ensure safe concentrations and daily intake levels of CBD and specifically THC.
- FDA guidelines in place should be used for packaging and labeling (for food, dietary supplements, and cosmetics).
“In the CBD market right now, ‘caveat emptor’ is very real. Oversight on consumer-use CBD products is required because there are many producers operating with various levels of standards. Labeling, dosing, and contents of products need to have some minimum requirements quickly in order to protect American consumers,” states Laura Mahecha, Kline’s Healthcare Industry Manager.
The Consumer Healthcare Product Association’s (CHPA) senior vice president, David Spangler, stated that medicines containing CBD should follow the regulatory status quo, while asking that the FDA provide a lawful pathway for makers of dietary supplements that contain CBD this year. Using existing New Dietary Ingredient (NDI) regulations manufacturers would need to prove safety of their CBD products. Spangler stated, “Those NDIs would still need to meet the standard of sufficient information to provide reasonable assurance the ingredient does not present a significant or unreasonable risk.”
Noramco, one of the presenting manufacturers at the hearing, cited a JAMA study that found 69% of 84 cannabidiol products to be mislabeled. This reinforces the need to make sure all manufacturers are GMP- and ideally cGMP-compliant. Noramco further recommended that the FDA work with the USP to formulate manufacturing standards for pharma grade and dietary supplement grade CBD ingredients – with testing to ensure identity, purity, quality, and strength.
Other companies also presented at the FDA hearing. CV Sciences, one of many CBD suppliers analyzed in Kline’s recently published Consumer CBD Products: U.S. Market Analysis and Opportunities report, outlined its view on the scope of regulatory needs for CBD-based dietary supplements.
To read the full article which further covers limits on THC levels as well packaging and labeling insights, visit our blog.
Kline’s Consumer CBD Products: U.S. Market Analysis and Opportunities report is a comprehensive analysis of consumer-use cannabidiol (CBD) health and beauty products, regulatory and legal status, currently available products, marketing channels, and outlook for CBD-based products.
Kline provides management consulting services to current and potential participants in the CBD and cannabis markets covering market strategy, supply chain, and go-to-market strategy (contact email@example.com).
Blueberries Commences Commercial Sales of Proprietary Cultivars to Local Partners
TORONTO, June 02, 2020 (GLOBE NEWSWIRE) — Blueberries Medical Corp. (CSE: BBM) (OTC: BBRRF) (FRA: 1OA) (the “Company” or “Blueberries“), a Latin American licensed producer of medicinal cannabis and cannabis-derived products, is pleased to announce that it has officially commenced sales of its proprietary cultivars approved by the Colombian Institute of Agriculture (“ICA”).
Blueberries has entered into multiple sales agreements to distribute its proprietary genetics to licensed producers located in Bogota Savannah, the region where the Company operates. Under the agreements, the Company will leverage contract growers to produce the Company’s registered non-psychoactive cannabidiol (“CBD”) strains approved by ICA. These proprietary cultivars were developed and tested by the Company’s agronomic team and optimized for growth in the local climate.Production from contract growers will be processed at the Company’s extraction facility under arrangements whereby Blueberries will retain a certain portion of the extracted product for resale as compensation for these services. Such arrangements provide the Company with premium extracts without the associated cultivation capital expenditures and related risks.“Being located in the same geographical region with the largest number of licensed cannabis growers in Colombia is a tremendous opportunity to sell our approved CBD dominant genetics to the licensed cannabis producers of the region” said Carlos Maldonado, Vice President of Operations. “This added line of business has great potential and will allow us to expand our dry flower production capacity without making any new substantial capital or operational investment in cultivation, which is aligned with our strategic focus on extraction. Additionally, we will secure sufficient cannabis biomass to feed our extraction line and will process a standardized extract oil.” Blueberries leverages technology and strict quality protocols in its genetics cultivation operations. Starting with the cutting of the clones from the mother plant, the highly skilled and experienced technical and operational personnel utilize the most optimal technique to ensure the starter plants are female and clones produce high-yielding crops.“Now that our stabilized clone production is in full operation, we are able to produce high quality genetics for the regional marketplace. By bringing our CBD-dominant seedlings to licensed producers along with our value-added standard operating procedures, we are leveraging our operational expertise and cultivation license.” said Camilo Villalba, Chief Executive Officer of Blueberries. “Our genetics sales will be followed by the sales of our extracts in Q3, 2020, generating revenues to achieve cash flow positivity in the near future.” In addition to the Company’s own flower production, multiple agreements with local contract and associate growers secure sufficient cannabis supply to utilize a significant portion of the extraction facility’s current capacity, while scaling production capacity to maximize the use of the Company’s extraction capabilities.The initial processing capacity of the extraction facility is approximately 70,000kg/year of dried flower. Blueberries’ operations team is heavily focused on establishing a best-in-class extraction operation with the goal of becoming a leading extraction center in Latin America and an international supplier of medicinal-grade cannabis oil extracts, active pharmaceutical ingredients (“API”) and related products.About Blueberries Medical Corp.
Blueberries is a Latin American licensed producer of naturally grown premium quality cannabis with its primary operations ideally located in the Bogotá Savannah of central Colombia. The Company is led by a specialized team with proprietary expertise in agriculture, genetics, extraction, medicine, pharmacology and marketing, Blueberries is fully licensed for the cultivation, production, domestic distribution, and international export of CBD and THC-based medical cannabis in Colombia. Blueberries’ combination of leading scientific expertise, agricultural advantages and distribution arrangements has positioned the Company to become a leading international supplier of naturally grown, processed, and standardized medicinal-grade cannabis oil extracts and related products.Additional information about the Company is available at www.blueberriesmed.com. For more information, please contact:Camilo Villalba, Chief Executive Officer
Tel: +57 (313) 483 0131Ian Atacan, Chief Financial Officer
Tel: +1 (416) 562 3220Cautionary 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 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. In this news release, forward looking statements relate, among other things, to: closing of the proposed transactions and achieving milestones in 2019 as contemplated, or at all, ability to expand distribution networks, ability to expand and upgrade the Company’s cultivation facilities in Colombia, internal expectations, expectations regarding the ability of the Company to access new Latin American and international markets, the ability to attract and retain new customers, and future expansion plans including development of the cultivation, production, industrialization and marketing of cannabis for commercial and scientific purposes.These forward-looking statements are based on reasonable assumptions and estimates of management of the Company at the time such statements were made. Actual future results may differ materially as forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to materially differ from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors, among other things, include: fluctuations in general macroeconomic conditions; fluctuations in securities markets; expectations regarding the size of the Colombian and international medical cannabis market and changing consumer habits; the ability of the Company to successfully achieve its business objectives; plans for expansion; political and social uncertainties; inability to obtain adequate insurance to cover risks and hazards; and the presence of laws and regulations that may impose restrictions on cultivation, production, distribution and sale of cannabis and cannabis related products in Colombia, Argentina and elsewhere; and employee relations. Although the forward-looking statements contained in this news release are based upon what management of the Company believes, or believed at the time, to be reasonable assumptions, the Company cannot assure shareholders that actual results will be consistent with such forward-looking statements, as there may be other factors that cause results not to be as anticipated, estimated or intended. Readers should not place undue reliance on the forward-looking statements and information contained in this news release. The Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.Additional information regarding the Company, and other risks and uncertainties relating to the Company’s business are contained under the heading “Risk Factors” in the Company’s Listing Statement dated January 31, 2019 filed on its issuer profile on SEDAR at www.sedar.com.No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
Innocan Pharma Amends Terms of Marketed Short Form Prospectus Offering of Units
Toronto, Ontario–(Newsfile Corp. – June 2, 2020) – Innocan Pharma Corporation (CSE: INNO) (FSE: IP4) (the “Company” or “Innocan“), announces that it has amended certain terms of its marketed offering of units of the Company (the “Units“), that was previously announced on May 11, 2020 and May 14, 2020 (the “Offering“). Pursuant to the amended terms, the Offering of Units will be conducted at a price of $0.18 per Unit for minimum gross proceeds of $2,500,000 and maximum gross proceeds of $10,000,000.
Each Unit shall be comprised of one common share of the Company (a “Common Share“) and one Common Share purchase warrant of the Company (a “Warrant“). Each Warrant is exercisable into one Common Share (a “Warrant Share“) at a price of $0.25 for a period of 36 months following completion of the Offering.
Commencing on the date that is 12 months following the Closing Date, if the daily volume weighted average trading price (“VWAP“) of the Common Shares on the Canadian Securities Exchange for any period of 20 consecutive trading days equals or exceeds $0.50, the Company may, upon providing written notice to the holders of the Warrants (the “Acceleration Notice“), accelerate the expiry date of the Warrants to the date that is 30 days following the date of the Acceleration Notice.
The Offering is being led by Mackie Research Capital Corporation, as sole bookrunner, and Canaccord Genuity Corp. as co-lead agents (the “Lead Agents“), together with Haywood Securities Inc. and PI Financial Corp. (together with the Lead Agents, the “Agents“).
The Company has granted the Agents an option (the “Over-Allotment Option“) to cover over-allotments and for market stabilization purposes, exercisable in whole or in part at the sole discretion of the Agents, at any time up to 30 days from the closing of the Offering, to increase the size of the Offering by up to 15% of the number of Units (and/or the components thereof) sold pursuant to the Offering, on the same terms and conditions of the Offering.
The net proceeds raised under the Offering will be used for research and product development expenses, sales and marketing expenses, operating expenses and general and administrative expenses as well as for working capital and general corporate purposes.
The closing of the Offering is currently expected to be on or about the week of June 8, 2020 and is subject to certain conditions including, but not limited to the execution of an agency agreement and the receipt of all necessary regulatory approvals including the approval of the Canadian Securities Exchange (the “Exchange“).
The Company will use commercially reasonable efforts to list the Common Shares, and the Warrant Shares on the Exchange, subject to the Company fulfilling all of the listing requirements of the Exchange.
The Units are to be sold on a “best efforts” basis through the Agents by way of short form prospectus to be filed in each of the provinces of Canada except Québec and in other jurisdictions outside of Canada and the United States on an exempt basis in accordance with applicable securities laws. The securities described in this press release have not been and will not be registered under the United States Securities Act of 1933, as amended (“U.S. Securities Act“) or any state securities laws. Accordingly, the securities may not be offered or sold in the United States (as such term is defined in Regulation S under the U.S. Securities Act) or to, or for the account or benefit of, a U.S. person (as such term is defined in Regulation S under the U.S. Securities Act) except pursuant to transactions exempt from registration under the U.S. Securities Act and under the securities laws of any applicable state. This press release does not constitute an offer to sell or a solicitation of an offer to buy any of these securities in the United States. Any public offering of securities in the United States must be made by means of a prospectus containing detailed information about the company and management, as well as financial statements.
The Company, through its wholly-owned subsidiary, Innocan Pharma Ltd. (“Innocan Pharma Israel“), is a pharmaceutical tech company that focuses on the development of several drug delivery platforms combining cannabidiol (“CBD“) with other pharmaceutical ingredients. Innocan and Ramot at Tel Aviv University are collaborating on the development of a new exosome-based technology that targets both central nervous system indications and the COVID-19 coronavirus. CBD-loaded exosomes may hold the potential to provide a highly synergistic effect of anti-inflammatory properties and help in the recovery of infected lung cells. This product, which is expected to be administrated by inhalation, will be tested against a variety of lung infections.
Innocan Pharma Israel has entered into a worldwide exclusive research and license agreement with Yissum Research and Development Company, the commercial arm of the Hebrew University of Jerusalem, to develop a CBD drug delivery platform based on a unique-controlled release liposome to be administrated by injection. The Company, together with Prof. Berenholtz, Head of the Laboratory of Membrane and Liposome Research of the Hebrew University, plans to test the liposome platform on several potential indications. The Company is also working on a dermal product integrating CBD with other pharmaceutical ingredients as well as the development and sale of CBD-integrated pharmaceuticals, including, but not limited to, topical treatments for relief of psoriasis symptoms as well as the treatment of muscle pain and rheumatic pain. The founders and officers of Innocan have commercially successful track records in the pharmaceutical and technology sectors in Israel and globally.
For further information, please contact:
Innocan Pharma Corporation
Iris Bincovich, CEO
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATIONS SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Caution regarding forward-looking information
Certain information set forth in this news release, including, without limitation, information regarding the markets, requisite regulatory approvals and the anticipated timing for market entry, is forward-looking information within the meaning of applicable securities laws. By its nature, forward-looking information is subject to numerous risks and uncertainties, some of which are beyond Innocan’s control. The forward-looking information contained in this news release is based on certain key expectations and assumptions made by Innocan, including expectations and assumptions regarding the terms, timing and potential completion of the Offering, satisfaction of regulatory requirements in various jurisdictions, distribution arrangements and the use of proceeds from the Offering.
Forward-looking information is subject to various risks and uncertainties which could cause actual results and experience to differ materially from the anticipated results or expectations expressed in this news release. The key risks and uncertainties include but are not limited to: general global and local (national) economic, market and business conditions; governmental and regulatory requirements and actions by governmental authorities; and relationships with suppliers, manufacturers, customers, business partners and competitors. There are also risks that are inherent in the nature of product distribution, including failure to obtain any required regulatory and other approvals (or to do so in a timely manner) and availability in each market of product inputs and finished products. The anticipated timeline for entry to markets may change for a number of reasons, including the inability to secure necessary regulatory requirements, or the need for additional time to conclude and/or satisfy the manufacturing and distribution arrangements. As a result of the foregoing, readers should not place undue reliance on the forward-looking information contained in this news release concerning the timing of launch of product distribution. A comprehensive discussion of other risks that impact Innocan can also be found in the short form prospectus filed in respect of the Offering and the documents incorporated by reference therein which are available under Innocan’s profile at www.sedar.com.
Readers are cautioned that undue reliance should not be placed on forward-looking information as actual results may vary materially from the forward-looking information. Innocan Pharma does not undertake to update, correct or revise any forward-looking information as a result of any new information, future events or otherwise, except as may be required by applicable law.
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/57074
Benchmark Botanics Reports Q1 2020 Results
Vancouver, British Columbia–(Newsfile Corp. – June 1, 2020) – Benchmark Botanics, Inc. (CSE: BBT) (“Benchmark” or the “Company”) a cannabis producer, today released its financial and operational results for the first quarter ended March 31, 2020.
HIGHLIGHTS FOR THE THREE MONTHS ENDED MARCH 31, 2020
- Achieved record quarterly revenue of $191,095
- Completed a $1,700,000 Private Placement Financing
Our complete financial statements and associated management discussion and analysis can be found on SEDAR.
RESULTS OF OPERATIONS
The following table sets forth consolidated statements of operations, which is expressed in Canadian dollars, except share and per share amounts, for the indicated periods.
|Three-Month Period Ended (Unaudited)|
|Gross profit before fair value impacts in cost of sales||89,189||–|
|Gross margin before fair value impacts in cost of sales||56.4%||–|
|Loss from operations||(895,363)||(1,375,775)|
|Other income (expense)||23,015||3,474|
|Loss per share|
|Weighted average number of shares|
Total revenue for the three months ended March 31, 2020 was $191,095 (2019 – $nil) from sales of dried cannabis to a licensed producer and retail sales for the adult-use market in Canada. The total quantity of cannabis sold during the three months ended March 31, 2020 was 29,587 grams (2019 – nil) at an average sale price of $6.46.
“Benchmark continued to grow during Q1 2020. We look forward to continuing to grow revenue and expect 2020 to be a very exciting year for our stakeholders. We have assembled a high-caliber team that is executing on the opportunities ahead. I am excited to see the commitment to drive strong revenue growth coupled with profitability. With the global impact from the COVID-19 pandemic in the quarter we acted promptly and remain operational while adjusting our priorities and spending to appropriately reflect the anticipated revenue impact. The health of all our staff and their families remain a priority for us in this challenging time and as we emerge from the pandemic, we will continue to provide support for their wellbeing and for our community,” said William Ying, Benchmark Botanics CEO.
About Benchmark Botanics Inc.
Benchmark is a diversified multi-licensed cannabis producer focused on a three-way vertical business model targeting the medical, pharmaceutical and recreational markets in Canada. The Company’s business plan also includes a strategy to become a Canadian licensed producer to pioneer selling medical cannabis and hemp throughout Asia, in countries where it is legal to do so.
Benchmark is focused on producing the highest-quality, indoor-grown cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint.
Benchmark’s 100% owned subsidiary, Potanicals Green Growers Inc. (“Potanicals”) is a Health Canada licensed producer under the Cannabis Act and its regulations. The Company is producing at its indoor Peachland, BC Cannabis Complex and is constructing a Phase II expansion of an additional 10,000 square foot extraction facility there. Along with cultivation and production, the company’s Peachland BC facility also provides propagation, cultivation, cloning, storage, research and development, genetic improvements and is progressing towards CBD oil extraction and an EU-GMP certification.
As part of its expansion strategy, the company and a joint venture partner completed a second facility, a 4-acre Greenhouse Operation in Pitt Meadows, BC. The Company, through Potanicals, has received its second cultivation license, effective November 29, 2019, from Health Canada for the Pitt Meadow greenhouse.
If you would like to be added to Benchmark’s news distribution list, please sign up at Investor Relations firstname.lastname@example.org
ON BEHALF OF THE BOARD OF
BENCHMARK BOTANICS INC.
/s/ “William Ying”
Chief Executive Officer
The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this release.
FORWARD LOOKING INFORMATION
This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward-looking statements or information. More particularly and without limitation, the news release contains forward-looking statements and information relating to Company’s corporate strategy. The forward-looking statements and information are based on certain key expectations and assumptions made by management of the Company, including, without limitation, the Company’s ability to carry out its business plan. Although management of the Company believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information since no assurance can be given that they will prove to be correct.
Forward-looking statements and information are provided for the purpose of providing information about the current expectations and plans of management of the Company relating to the future. Readers are cautioned that reliance on such statements and information may not be appropriate for other purposes, such as making investment decisions. Since forward-looking statements and information address future events and conditions, by their very nature they involve risks and uncertainties. Actual results could differ materially from those currently anticipated due to several factors and risks. These include, but are not limited to, the Company’s ability to identify and complete additional suitable acquisitions to further the Company’s growth as well as risks associated with the medical marijuana industry in general, such as operational risks in development and production delays or changes in plans with respect to development projects or capital expenditures; the uncertainty of the capital markets; the uncertainty of receiving the required licenses, production, costs and expenses; health, safety and environmental risks; marketing and transportation; loss of markets; environmental risks; competition; incorrect assessment of the value of the potential market; ability to access sufficient capital from internal and external sources; failure to obtain required regulatory and other approvals and changes in legislation, including but not limited to tax laws and regulated regulations. Accordingly, readers should not place undue reliance on the forward-looking statements, timelines and information contained in this news release. Readers are cautioned that the foregoing list of factors is not exhaustive.
The forward-looking statements and information contained in this news release are made as of the date hereof and no undertaking is given to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws or the Canadian Securities Exchange. The forward-looking statements or information contained in this news release are expressly qualified by this cautionary statement.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/57062
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