ALLIANCE GROWERS UPDATE ON CANNABIS BIOTECH COMPLEX AND US CANNABIS ASSET ACQUISITIONS
Alliance Growers Corp. (CSE: ACG; FWB:1LA; OTCQB: ALGWF) (“Alliance Growers” or “the Company) is pleased to announce an update on our progress with the The Biotech Complex and our acquisitions in California.
PHARMAGREEN BIOTECH INC. (PHBI)
Pharmagreen Biotech Inc. (“Pharmagreen”), a cannabis tissue culture starter plantlets production company, remains on course with their immediate focus being to funding its 70% for the construction of a 63,000 square foot Cannabis Biotech Complex, in B.C., Canada. Pharmagreens plans to produce 1 Million sellable starter plantlets per month to cannabis licensed producers, and CBD hemp farmers with gross annual revenues are projected at $120 Million with a gross profit margin of $80 to 90 Million. A further update on the project development will be next as we are confirming the progress today with as much detail as possible.
Pharmagreen is migrating from the PINKS to OTCQB as soon as S1 is effective and becoming an OTC QB listed reporting issuer, with the intention to be a NASDAQ listed company as soon as the company qualifies. Public listing information for Pharmagreen Biotech Inc., includes the recent filing of their S1 registration statement, filed on March 20, 2019 with the 20 Million shares offering.
Commenting on the progress of Pharmagreen and the Biotech Complex, Dennis Petke, President and CEO of Alliance Growers stated, “We are very pleased with the progress and expect to report a detailed update on the project status on the property in the coming days. The Cannabis Biotech Complex, which Alliance intends to acquire a 30% interest, is one of the few unique investments in Canada for Canadian investors. We see the acquisition of US based cannabis assets as a way to round out our “plantlet to sale” model and to establish an entry to promote tissue culture plantlets in California cannabis market. “
US CANNABIS ASSET ACQUISITIONS
On April 23 2019 – Alliance announced discussions to acquire certain cannabis assets including licenses to grow, manufacture and sell in the State of California, with an initial focus on “craft” cultivators. The acquisitions include the benefit of simultaneous financing. Negotiations continue as we identify additional targets. We will announce further details when it is appropriate to do so.
$13M SHORT FORM PROSPECTUS
As previously announced on April 19, 2019, Alliance growers announced that it has filed a preliminary short form base shelf prospectus (“SFP”) in British Columbia, Alberta and Ontario, for the distribution of an aggregate of up to $13,000,000 of units (“Units”) of the Company. The SFP is being reviewed by the BCSC as the company responds to their comments, Alliance would like to emphasize a “base shelf” SFP means that Alliance does not have to raise the entire $13,000,000 at current market prices, once approved, it is open for two years, however, we expect to raise the funds in the next 12 months in tranches at progressively higher prices.
About Alliance Growers Corp.
Alliance Growers is a Diversified Global Medical Cannabis Company driven by the Company’s ‘Four Pillars’ Organization Plan – Cannabis Biotech Complex, Strategic ACMPR Investments, CBD Oil Supply and Distribution, and Research and Technology.
Alliance Growers is working with Pharmagreen Biotech Inc. to jointly develop and operate a 63,000-square foot Cannabis Biotech Complex, to be the first of its kind in Western Canada to house a DNA Botany lab, CBD extraction facility and Tissue Culture Plantlet Production facility to service the Cannabis market and agriculture market in general.
Source: Alliance Growers Corp