Vancouver, BC, July 22nd, 2020 -
TransCanna Holdings Inc. (CSE: TCAN: XETR: TH8) ("TransCanna" or the
"Company") TransCanna announces that Lyfted Farms Inc. (a wholly-owned subsidiary) will build a
processing division inside its Daly Street Building that was not originally
planned in phase one in order to meet the increased demand for this service and
ultimately increase profits margins.
Once operational, the division will oversee the
trimming, drying, curing, grading and packaging of cannabis, and support TransCanna's strategy of vertical
integration of the California cannabis market through distribution centers
serving Northern California from the Daly Street building, and Southern
California from the Company's recently announced Lemoore facility.
"Once we received our final State License
for the Daly Building, our already existing demand increased significantly. To
meet this demand and seize the opportunity we saw to really drive our bottom
line margin through processing, we sped up the timeline to add processing at
this level," said Bob Blink, TransCanna CEO. "We have the team and the space to execute this. Being
agile enough to adapt to a changing market and identify opportunities for
growth within it speaks to our collective mindset. When we run the numbers, we can see upon execution
this service adding an additional 10% to our forecasted revenue targets." adds Blink.
"This will
facilitate the larger strategy of the Daly facility becoming a central
distribution point for Lyfted Branded products and a wholesale processing
center," said Alan Applonie, company General Manager. "Converging marketing and buying
interests into a single Northern California location gives state-wide buyers a
broader range of products to purchase," he adds.
The Processor License is an additional license type
not included in the original statute specifically added for processors. As this
is a new business segment whilst being built out, the Company has submitted an
application for a Processor License and anticipates approximately a 90-day
timeline to receive it.
The Daly
building's phase one deployment plan will also accommodate
perpetual storage of at least 20,000 lbs. of cannabis flower in a climate-controlled
atmosphere that will serve business-to-business cannabis market demand
throughout California.
About TransCanna Holdings Inc.
TransCanna Holdings Inc. is a California
based, Canadian listed, Company building cannabis-focused brands for the
California lifestyle, through its wholly-owned California subsidiaries.
For further information, please visit the
Company's website at www.transcanna.com or email the Company at info@transcanna.com.
On behalf of the
Board of Directors
Bob Blink, CEO
604-349-3011
Neither the Canadian Securities Exchange nor
its Regulation Services Provider (as that term is defined in the policies of
the Canadian Securities Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Forward-Looking
Statements
This release includes
certain statements and information that may constitute forward-looking
information within the meaning of applicable Canadian securities laws or
forward-looking statements within the meaning of the United States Private
Securities Litigation Reform Act of 1995. Forward-looking statements relate to
future events or future performance and reflect the expectations or beliefs
regarding future events of management of the Company. Generally,
forward-looking statements and information can be identified by the use of
forward-looking terminology such as "intends" or "anticipates",
or variations of such words and phrases or statements that certain actions,
events or results "may", "could", "should", "would"
or "occur". This information and these statements referred to herein
as "forward-looking statements", are not historical facts, are made
as of the date of this news release and include without limitation estimates
and forecasts and statements as to management's expectations for growth and the
commencement of operations of the Company's Daly facility.
The forward-looking
information in this press release is based upon certain assumptions that
management considers reasonable in the circumstances, including that operations
will commence at the Company's Daly facility in Modesto, California, as and
when expected.
These forward-looking
statements involve numerous known and unknown risks, uncertainties and other
factors that may cause actual results, events or developments to be materially
from any future results, events or developments expressed or implied by such
forward-looking statements. Risks and uncertainties associated with the
forward-looking information in this news release include, among others,
dependence on obtaining and maintaining regulatory approvals, including state,
local or other licenses and any inability to obtain all necessary governmental
approvals licenses and permits to complete upgrades to its Daly facility in a
timely manner; engaging in activities which currently are illegal under U.S.
federal law and the uncertainty of existing protection from U.S. federal or
other prosecution; regulatory or political change such as changes in applicable
laws and regulations, including U.S. state-law legalization, particularly in
California, due to inconsistent public opinion, perception of the medical-use
and adult-use marijuana industry, bureaucratic delays or inefficiencies or any
other reasons; any other factors or developments which may hinder market
growth;; reliance on management; and the effect of capital market conditions
and other factors (including those related to the COVID-19 pandemic) on capital
availability; competition, including from more established or better financed
competitors; and the need to secure and maintain corporate alliances and
partnerships, including with customers and suppliers.
Although management of
the Company has attempted to identify important factors that could cause actual
results to differ materially from those contained in forward-looking statements
or forward-looking information, there may be other factors that cause results
not to be as anticipated, estimated or intended. There can be no assurance that
such statements will prove to be accurate, as actual results and future events
could differ materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking statements and
forward-looking information. The Company does not undertake to update any
forward-looking statement, forward-looking information or financial out-look,
except in accordance with applicable securities laws.