TORONTO, May 17, 2018 (GLOBE NEWSWIRE) — Biome Grow (“Biome” or the “Company”) is pleased to announce that its 100 per cent owned Newfoundland and Labrador-based subsidiary, The Back Home Medical Cannabis Corporation (“Back Home”), is expected to complete construction of its first in-province cannabis production facility in 2018. Back Home is a late stage applicant under Canada’s Access to Cannabis for Medical Purposes Regulations (“ACMPR”).
Biome acquired Back Home on April 25, 2018. However, Biome’s construction and design teams have been working on this project since December 2017. Biome and Back Home anticipate being in a position to grow cannabis in 2018 from its first production facility located in Western Newfoundland, subject to Back Home’s receipt of a cultivation license from Health Canada.
Biome is planning to have approximately 170,000 square feet of production facilities built in Newfoundland and Labrador before the end of 2019. The production capacity of the Newfoundland and Labrador-based facilities will provide Newfoundlanders and Labradorians with locally sourced products and services, as well as supply other provinces in Canada and international markets. Based on current marketplace information, Back Home expects to have the largest production footprint in its home province through at least 2019.
Back Home’s President is David Callahan, who has run several successful businesses in Newfoundland and Labrador. Mr. Callahan is also one of the founders of Back Home.
“I am beyond happy for what this project means for our area from employment opportunities to establishing this province as leader in the fast-growing global cannabis marketplace. It’s a new industry that is still defining itself and I have joined the best team possible to build an innovative and impactful cannabis business,” said Callahan. “I want to keep people from Newfoundland and Labrador here and may even get a few to come ‘Back Home’ because of this opportunity. I look forward to the future of my home province and to the future of Biome Grow.”
Biome looks forward to disclosing additional elements of the local cannabis ecosystem it is building in Newfoundland and Labrador in the coming weeks, including distribution, local partnerships, and additional Back Home team members.
About Biome Grow
Biome Grow (whose corporate legal entity name is Cultivator Catalyst Corp.) wholly owns The Back Home Medical Cannabis Corporation, a company incorporated under the laws of the Province of Newfoundland and Labrador and in the late stages of applying for a license under the ACMPR. Biome Grow also wholly owns Highland Grow Inc., an Authorized Licensed Producer in Nova Scotia under the ACMPR, P-209 Inc., a company incorporated under the laws of the Province of Ontario and in the late stages of applying for a license under the ACMPR. Biome Grow plans on operating a diversified mix of low cost licensed cannabis production facilities across Canada and other jurisdictions in the coming years. Additional growth will be achieved through a mixture of acquisitions and organic growth. Moreover, Biome Grow will integrate a complimentary platform of technologies and services targeted at both the Canadian and international cannabis markets.
The Company has entered into an amalgamation agreement dated April 25, 2018 (the “Amalgamation Agreement”) with Orca Touchscreen Technologies Ltd. (“Orca”) (CSE:OAA), pursuant to which 1151856 B.C. Ltd., a wholly-owned subsidiary of Orca will acquire all of the issued and outstanding securities of the Company by way of a three cornered amalgamation transaction (the “Transaction”). A copy of the Amalgamation Agreement and a press release announcing the Transaction can be found on SEDAR under Orca’s profile.
Certain statements or projections contained in this document are forward-looking statements, including those that discuss the Company’s intention to complete construction on a local cannabis production facility in Newfoundland and Labrador in 2018, its expectation that it will be in a position to grow cannabis from its first production facility in Western Newfoundland in 2018, its expectation to have approximately 170,000 square feet of production facilities built in Newfoundland and Labrador before the end of 2019, its plan to use its Newfoundland and Labrador production facilities to supply to other provinces in Canada and internationally, its expectation that it will have the largest production footprint in Newfoundland and Labrador through at least 2019, its plans to build a local and sustainable ecosystem in Newfoundland and Labrador, its plans to operate a diversified mix of low cost licensed cannabis production facilities across Canada and other jurisdictions, and its plans to integrate a complimentary platform of technologies and services targeted at both the Canadian and international cannabis markets. Such forward-looking statements reflect management’s current beliefs and are based on assumptions made by and information currently available to the Company, including the assumption that Back Home will be able to obtain a cultivation license from Health Canada, it will be able to obtain all necessary regulatory licenses, permits and approvals to produce and sell cannabis and generally operate its business in both Canada and internationally, labour, construction, and other costs will remain low for its licensed cannabis production facilities, there will be no labour disputes, there will be no unexpected delays in construction and sufficient financial resources will be available.
These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those expressed or implied in the forward-looking statements, including, among other things, a failure to obtain or delays in obtaining the required regulatory licenses, permits, or approvals, changes to legislation, changes in cannabis research or the general public’s perception of cannabis, crop failure, labour disputes, increases in labour and/or construction costs, rising energy costs, an inability to access financing as needed and a general economic downturn. These forward-looking statements speak only as of the date on which they are made, and the Company, or any of its subsidiaries undertakes no obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement.