LOS ANGELES, CA and VANCOUVER, BC / ACCESSWIRE / August 24, 2021 / PrimeTime Holdings Inc., a British Columbia corporation ("PrimeTime" or the "Company") and leading California-based distribution, manufacturing and retail cannabis company is pleased to provide a corporate update as the Company works towards a public listing of its Subordinate Voting Shares in the second half of 2021, after having recently completed a non-brokered private placement of secured convertible debentures for gross proceeds of C$29.9 million mid-year 2021.
"I am pleased to report that PrimeTime has made significant progress towards assembling a portfolio of underlying assets and businesses that will allow the Company to become a vertically-integrated, multi-state operator providing products and services across the entire value chain, from seed to sale", stated Greg Crowe, CEO and Executive Chairman of PrimeTime Holdings. "Our continuous pursuit of profitable growth has positioned us to capture a leading role within the California cannabis market. Supported by our strong balance sheet, we expect to replicate the success we have witnessed in California by expanding into new states, beginning with Massachusetts. To date, we have reached agreements to acquire ownership interests in cultivation, retail and manufacturing licenses in Massachusetts and we expect to provide updates as we make further progress and hit key milestones. Given our long runway for profitable growth, we are aiming to list publicly in the back half of 2021 to propel our strategic objectives", added Mr. Crowe.
PrimeTime is a leading bulk flower cannabis trader. Leveraging long-standing relationships with large, well-established cultivators, PrimeTime purchases wholesale bulk cannabis daily. Serving as the backbone of the Company's California operations, the team strives to enhance and increase its network of cultivators and customers to drive continuous flow of product. As such, the Biomass Trading business has witnessed meaningful revenue growth since it obtained its operating license in October 2020. Given the team's deep knowledge of the bulk flower business, the Company expects meaningful growth from the business over time given the significant addressable market.
PrimeTime acts as a manufacturer and partners with key third-party contract manufacturers to produce packaged flower, pre rolls, edibles and vapes for clients that lack in-house capabilities. Additionally, PrimeTime provides product and marketing consulting services through its subsidiary Nevada Attn to Detail LLC by leveraging deep industry knowledge in identifying and engineering brands and products that resonate with consumers.
Given PrimeTime's industry-leading capabilities, the Company has amassed a significant portfolio of SKUs and built an extensive and well-established list of cannabis clientele. Additionally, leveraging its expertise in manufacturing, the Company has started manufacturing company-owned, BOUTIQ-branded products which are being sold at the flagship BOUTIQ store in Venice, California. Specifically, PrimeTime is manufacturing all-in-one vape products, one-gram vape cartridges, pre-packaged flower in eighth jars, and one-gram pre rolls under its wholly-owned BOUTIQ banner. PrimeTime intends to release additional wholly-owned brands into the market where management sees an opportunity to be segment leaders. With its well established and broad array of manufacturing capabilities, PrimeTime expects to expand its SKU offerings, clientele base and company-owned product offerings.
BOUTIQ, a PrimeTime brand, opened its first retail location in April 2021. Located on Abbot Kinney Boulevard in Venice, California, BOUTIQ is a high-end cannabis retailer, selling a wide range of leading cannabis brands in California. Since opening its doors, BOUTIQ has increased customer engagement through a number of consumer-facing marketing initiatives, including online, in-store and outdoor marketing. The Company's website (boutiq.com) allows customers to browse products and order online. The culmination of these initiatives has translated into steadily increasing sales since inception. Through further deployment of revenue-enhancing strategies, BOUTIQ expects to continue to increase its retail presence as it builds brand equity. Furthermore, the Company expects to open a number of high-profile locations across North America, starting with a second location in Boston, Massachusetts.
Completing the full spectrum of the cannabis value chain, PrimeTime is deepening its capabilities into cultivation in California. The Company has commenced construction of a 22,000 square foot cultivation facility in Sacramento, California.
PrimeTime's goal is to become a leading, vertically-integrated multi-state operator. As such, the Company holds an ownership interest in a subsidiary that has secured land and is in the process of constructing a 70,000-square foot facility in Fitchburg, Massachusetts. This facility will serve a dual purpose, acting as its flagship cultivation and manufacturing facility on the East Coast. Additionally, PrimeTime plans to expand the presence of the BOUTIQ brand into Massachusetts.
BOARD OF DIRECTOR APPOINTMENTS
PrimeTime is pleased to announce that it has strengthened its Board of Directors with the appointments of Roger Dent, John Bell and Kevin Mahoney as Independent Directors.
Mr. Dent has been involved in the Canadian financial markets for over 30 years and has extensive experience in "small cap" evaluation and investment. He is currently Chief Executive Officer & Director at Quinsam Capital Corp. Most recently, he was a noted portfolio manager with Matrix Fund Management Inc., where he guided the Matrix Small Companies Fund and the Matrix Strategic Small Cap Fund.
He is on the Board of Directors at Deveron Corp., Omni-Lite Industries Canada, Inc., Vitalhub Corp., AcuityAds Holdings, Inc., California Nanotechnologies Corp., Quinsam Capital Corp. and AcuityAds, Inc. Mr. Dent was previously an Independent Director by Osoyoos Cannabis, Inc., a Research Director & Vice President by Yorkton Securities, Inc. (British Columbia), a Managing Director & Deputy Manager-Research by CIBC World Markets, and an Analyst by Yorkton Securities, Inc.
He received his undergraduate degree from Queen's University and an MBA from Harvard Business School.
Mr. Bell was the Chairman of Canopy Rivers Corp (TSX) and Director and Past-Chair of Canopy Growth Corp. (TSX, NYSE). He is managing Partner of Onbelay Capital Inc., a private equity and investment Company based in Cambridge, Canada. He was founder, owner and CEO of Shred-Tech Inc a global Manufacturer of Shredding and recycling equipment and creator of the mobile shredding Industry. He was owner and CEO of Polymer Technologies Inc., a global manufacturer of auto-parts. Prior thereto, he was Chairman and principal shareholder of BSM Technologies Inc. (TSX) a fleet management Company. Lastly, he served as CEO and director of ATS Automation (TSX) with 23 plants global plants.
A believer in community service, Mr. Bell has contributed to numerous organizations including Cambridge Memorial Hospital (Chairman), Waterloo Regional Police (Chairman), Waterloo Region Prosperity Council (Chairman), Crohns and Colitis Canada (National Secretary). Mr. Bell is currently a Governor of the Stratford Festival.
Mr. Mahoney has been President of SCORE Sports, a leading North American vertical manufacturer of top-quality sports apparel, including sports uniforms and related equipment to over 13,000 customers across the US, since October 2019. He has spent the majority of his career working with wholesaler clothing companies, including several leadership positions as President. In many of his leadership positions, Mr. Mahoney was brought in by restructuring and private equity organizations to manage turnarounds and a path to profitability. Some of his leadership positions include President of Arrow Shirt Company, Amerex Group, Chaps Ralph Lauren, Hartstrings, LLC, NYDJ, LLC (Not Your Daughter's Jeans), and Big Strike, LLC and CEO of Manhattan Beachwear, LLC.
Mr. Mahoney has sat on the boards of Big Strike, LLC, Manhattan Beachwear, LLC and Hartstrings, LLC. He holds a BSc in Marketing/Bachelor of Arts in Psychology from Ball State University.
PRIMETIME COMPLETES C$29.9M NON-BROKERED PRIVATE PLACEMENT OF SECURED CONVERTIBLE DEBENTURES AND FILES PRELIMINARY PROSPECTUS WITH THE INTENTION TO LIST ON THE CANADIAN SECURITIES EXCHANGE TO SUPPORT STRATEGIC GROWTH INITIATIVES
PrimeTime is pleased to announce that it completed a non-brokered private placement of secured convertible debentures for gross proceeds of C$29.9 million mid-year 2021. The capital raised to date validates the Company's business model and underpins the Company's vision to pursue its strategic growth initiatives and create shareholder value. The net proceeds from the private placement are intended to be used for general working capital and business development purposes.
Additionally, to further propel its growth strategy, the Company has filed a preliminary prospectus with the securities commissions in each of the provinces of British Columbia, Alberta and Ontario, with the intention to become a reporting issuer in British Columbia, Alberta and Ontario and to list its Subordinate Voting Shares on the Canadian Securities Exchange.
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About PrimeTime Holdings Inc.
PrimeTime Holdings Inc., a British Columbia corporation, through its subsidiaries, currently operates in the U.S. cannabis space as a vertically integrated California-based cannabis company with operations including large-scale distribution (including biomass trading), tolling, manufacturing and retail dispensary operations in California, with planned future operations in Massachusetts. PrimeTime manufactures packaged flower, pre-rolls and vape products for sale. The Corporation has two facilities in California to meet its business needs and has a distribution network that services a large portion of the California dispensary market, selling its own branded products, agency products as well as third-party products.
Forward Looking Statements
Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management's current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "predicts", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.
SOURCE: PrimeTime Holdings Inc.