CALGARY, AB / ACCESSWIRE / February 10, 2022 / CannaPharmaRx, Inc. (OTC PINK:CPMD), a future leader in ultramodern, highly efficient cannabis production facilities announced today that it has signed a Letter of Intent (LOI) to purchase an operating Cannabis facility located in Braman, Oklahoma.
The property consists of 35,000 square feet of cultivation capacity, with a planned, phased expansion to 65,000 square feet, by the end of 2022 and up to five harvests per year. The purchase will be completed via a secured note and will include the transfer of licenses. The transaction is expected to close prior to March 31, 2022.
The facility has ongoing growing and sales operations and should the deal be finalized CannapharmaRx will realize first harvest and sales from this property on closing. The estimated annual revenue is approximately $21 million. Between the current Cremona facility and this facility, the Company anticipates combined annual revenues of $40 - $50 million.
The Company, in addition to existing sales in Oklahoma, has received oral commitments for offtake agreements for both facilities and should finalize these deals prior to harvesting.
"The company continues to achieve significant milestones and should start to recognize significant revenue during early Q2. We continue to identify other areas for potential expansion and are confident in distribution on several continents by the middle of this year," commented Nick Colvin, CEO of CannapharmaRx.
About CannapharmaRx, Inc.
CannapharmaRx is focused on the acquisition and development of state-of-the-art cannabis grow facilities in Canada. CPMD is in discussion with other companies regarding potential acquisitions. CannapharmaRx's business strategy is to become a leader in high quality and low-cost production of cannabis through the development, acquisition, and enhancement of existing facilities. CannapharmaRx is committed to operating high-quality facilities utilizing the latest technology in combined heat and power generation to ensure being a low-cost producer of cannabis.
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