Divestment from two U.S.-based assets positions 48North for renewed emphasis on high-quality Canadian products
TORONTO, May 22, 2020 /CNW/ – Today, 48North Cannabis Corp. (TSXV:NRTH) (“48North” or the “Company”), announced two divestments that simplify the Company’s portfolio with the aim of implementing 48North’s previously outlined strategic decision to focus on the Canadian cannabis market.
Specifically, 48North, through today’s transactions will divest Rare Industries, Inc. (“Quill”), a U.S. multi-state vape technology brand and Sackville & Co. Merchandising Ltd. (“Sackville & Co.”) a U.S.-based cannabis brand focused on cannabis accessories, to their previous ownership.
“Today’s announcement is about taking a small step back in order to take a big step forward,” said Charles Vennat, CEO, 48North. “In one of my first public statements as 48North’s Chief Executive Officer I committed to focusing on our strengths: high-quality products, low-cost outdoor cultivation, and a brand that resonates with Canadian consumers. Today’s update is a demonstration of that focus, positioning us to devote ourselves exclusively to the Canadian adult-use market in 2020.”
This announcement comes on the heels of several partnerships and product launches in the Canadian market, including:
- The launch of Ontario’s first cannabis topical brand, Apothecanna (March 5);
- The launch of 48North’s first vaporizer products, Avitas, in Ontario retail stores across the province (March 26);
- The signing of a supply agreement with PAX Labs (Canada) Inc. (“PAX Labs) to develop two brands of 48North cannabis vape products to meet different design and price needs (April 1);
- The launch of 48North’s first accessible dried flower brand in Quebec, Fleur du Jour (April 22) and;
- The signing of a key supply agreement with Medical Cannabis by Shoppers Drug Mart (May 7).
48North Cannabis Corp. (TSXV: NRTH) is a vertically integrated cannabis company focused on manufacturing high-quality products, building progressive and thought-provoking brands, and low-cost cultivation. 48North is developing formulations and manufacturing capabilities for its own proprietary products, as well as positioning itself to contract manufacture similar products for third parties. 48North operates Good:Farm, a 100-acre organic cannabis farm which produces organically-grown cannabis, securing a significant first-mover advantage in the production of low-cost, next-generation, extract-based cannabis products. In addition, 48North operates two indoor-licensed cannabis production sites in Ontario. 48North cultivates unique genetics at its wholly owned subsidiary, DelShen Therapeutics Corp. (“DelShen”) and processes cannabis and manufactures next-generation cannabis products at Good & Green Corp. (“Good & Green”), both Licensed Producers under the Cannabis Act.
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Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this 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 beliefs or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. Please refer to the Company’s SEDAR filings for further details concerning the risks associated with the Company’s business. 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. Public health crises, including the ongoing novel coronavirus (COVID-19) pandemic, could have significant economic and geopolitical impacts that may adversely affect the Company’s business, financial condition and/or results of operations.
SOURCE 48North Cannabis Corp.
For further information: Connor Whitworth, Senior Director of Corporate Affairs, 48North, (416) 639 5891 ext. 316, [email protected]