Cultivation Technologies, Inc.
Cultivation Technologies, Inc. Secures $3.15M Investment from FinCanna Capital Corp; Obtains Temporary Type 7 Manufacturing and Distribution Licenses in California
Monday, January 15, 2018 7:00 AM
IRVINE, CA / ACCESSWIRE / January 15, 2018 / Cultivation Technologies, Inc. ("CTI" or the "Company"), an emerging leader in medical cannabis cultivation, manufacturing, distribution, technology, and branding, announced today the execution of an amended and restated funding agreement (the "Agreement") which provides the Company with cash infusions totaling $3.15M over the next 60 days. Management expects this investment will provide CTI sufficient working capital to attain cash-flow breakeven by summer 2018.
The Company is also pleased to announce that it is now directly operating its Coachella extraction facility previously run by a tenant. CTI received temporary licenses for manufacturing ("Type 7") and distribution from the State of California for its Coachella, California location.
"We are now poised to produce and commercialize our exclusive branded products, provide extraction services for other brands, as well as conduct distribution and transportation in California at an opportune time. The $3.15M from FinCanna provides us with vital working capital to take full advantage of our legal operations and licenses," stated Miguel Motta, President & CEO of CTI.
Type 7 Manufacturing under California's Medicinal and Adult-Use Cannabis Regulation and Safety Act ("MAUCRSA") allows CTI to conduct all manufacturing activities under the new regulatory framework, including the use of volatile solvents. Present processing capacity for CTI is approximately 6,000 pounds of biomass a month, with the ability to add additional capacity.
ABOUT CULTIVATION TECHNOLOGIES, INC.
Cultivation Technologies, Inc. provides infrastructure, manufacturing, extraction, distribution, technology, and branding to the legal medical cannabis industry. The company owns 6-acres in Coachella, California, which is entitled for a 111,500+ square foot facility featuring cultivation centers, manufacturing facilities, a testing lab, a distribution hub featuring transportation, and a centralized processing center. For more information, visit www.CultivationTech.com. The Company acquired temporary licenses for "Type 7" manufacturing and distribution from the State of California in January 2018.
This press release constitutes forward-looking statements within the meaning of federal securities laws. Such statements are based on our current beliefs and expectations and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, such forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Potential risks and uncertainties include, but are not limited to, capitalizing the Coachella project, technical advances in the industry, as well as political and economic conditions present within the industry. We do not take any obligation to update any forward-looking statement to reflect events or developments after a forward-looking statement was made. This press release and the information contained herein is not an offer to buy or sell securities and does not contain investment advice.
SOURCE: Cultivation Technologies, Inc.