- On Track for New Jersey Annual Licenses
- New York State Cannabis Harvest Completed, Processing for Derivatives Underway
- ALPS Continues to Win, Signing Large Projects in India and the U.S. and Major Partnership in Middle East
- Company's Brands Continue to do Well in California
EDMONTON, AB / ACCESSWIRE / October 28, 2022 / Australis Capital Inc. (CSE:AUSA)(OTCQB:AUSAF) ("AUSA") ("AUDACIOUS" or the "Company") is pleased to provide the following corporate update:
New Jersey - AUDACIOUS Receives Notification From New Jersey
On October 25, 2022, the State of New Jersey State issued AUDACIOUS its Conditional Class 1-Cultivator and Conditional Class 2-Manufacturer licenses. The Company can now submit conversion licenses applications to convert these conditional licenses to Annual Adult Usage Cultivation and Manufacturing licenses. Once received, the annual licenses allow AUDACIOUS to grow, manufacture, sell and distribute adult use cannabis in the State of New Jersey. It is expected that the state will soon open the application process to allow Class 1&2 holders to officially apply for Class 3&4 licenses.
Leah Bailey, Chief Business Development Officer, stated, "AUDACIOUS is very pleased with our progress towards obtaining our formal and full adult use licenses in New Jersey. While we were waiting for the final notification to submit, we were able to progress on the project by entering in high-level discussions with potential partners. We are very bullish on our prospects in New Jersey and look forward to informing the market on our further progress there."
ALPS Subsidiary LarssenGC Continues to Win - Projects Secured in India and the U.S.
LarssenGC, a wholly owned subsidiary of ALPS (itself majority owned by AUDACIOUS) continues to win clients with its innovative approaches to cultivation with significant project wins in India and the U.S. The project in India, to be located in Pune near Mumbai, will be a 64-acre greenhouse for the cultivation of vegetables.
Thomas Larssen, LarssenGC's President, commented, "This is a significant project by itself, but we believe that the backers of the Pune development have their intentions set on further expansion within India, and we intend to be part of that."
LarssenGC also was engaged by a large U.S. based vegetable grower for end-to-end consulting and construction management services for a greenhouse complex of up to 70 acres. This is a significant project with up to $2 million in contract fees for LarssenGC.
On the back of prior successful collaboration with a middle eastern partner on a major greenhouse project, the companies have now further cemented their relationship through the signing of a Master Services Agreement whereby LarssenGC becomes the partner of choice for all of this company's intended projects.
Mr. Larssen continued, "Our partner is ambitious, delivers quality and has significant financial resources to pursue its objective of becoming a major supplier of foodstuffs in their region. With this agreement, we will become the de-facto design, construction management and post-commissioning service provider on all of their intended projects. This is a major partnership for us that will have us be busy for many years to come."
The Company recently announced it had completed its first harvest in New York with its partner Hempire. The harvest has now been pre-processed. Our cannabis will now be further processed into vapes and edible products, to be sold to social equity dispensaries. As mentioned, the Company is in discussions with many of the applicants, with licenses anticipated to be granted shortly.
Terry Booth, CEO stated "This marks a very important Milestone for AUDACIOUS, our focus on the east coast is now being executed."
LOOS - Continues to Sell Out
The Company's shot brand, LOOS, continues to do well in California, driven by the quality of its offering, as well as the fact that the Company's products are available through EAZE, the world's largest legal cannabis delivery service. The most recent product batch has now sold out, with a new product run planned shortly. Additionally, the Company has engaged with a new distributor, YBL, who were behind the Kwikeaze shot brand achieving market leadership.
Anthony Bendana, LOOS co-founder, commented, "With the switch to YBL and new planned production runs, we are well positioned to target the number one market position in shots in California. We already are building strong brand recognition, and with these new developments, we should be well positioned to grow, not only in California, but also in other jurisdictions as the Company continues to expand."
The Mr. Natural brand‘s most recent production run was the largest to date & is expected to be sold out shortly. Both the RSO and flower products have been in great demand with veterans and other medical cannabis consumers suffering from P.T.S. and similar conditions. The Company is sourcing new raw material suppliers to scale up sales of the Mr. Natural brand in order to meet continuously growing demand.
The Company announced a funding relationship with LDA in December 2021. While the Company has utilized some of the facility, it has switched gears to secure alternative sources of capital, including the recently announced credit facility provided by Terry Booth-owned Lola Ventures.
Terry Booth, CEO, commented, "I have nothing but good to say about our funding partners at LDA. They have come through for us on the terms discussed. However, the nature of the instrument is such that we were able to secure terms better suited for our shareholders at this time. The Company is also pursuing other major sources of capital to accelerate our growth. We are grateful to the LDA team and do not exclude further collaboration with them in the future."
In addition, the Company is pleased to announce it has expanded its facility with Lola Ventures to provide funding of up to $4 million, the previous facility was $2.5 million.
Cease Trade Order
The Company is still under a Cease Trade Order. An update from our Audit team says the financial reporting required is progressing in a satisfactory manner. The company will keep shareholders informed with respect to its late filings.
AUDACIOUS is a next-generation MSO growing the cannabis industry of tomorrow from the ground up, led by industry pioneer Terry Booth and an accomplished management team with proven industry track records. With operations that range from providing industry-leading sustainable cultivation design and optimization to retail storefronts, growing flower in-house, and manufacturing award-winning brands, AUDACIOUS has products and solutions for everyone. Quickly expanding through innovative partnerships and collaborations, AUDACIOUS is forging the inclusive cannabis community of tomorrow, today. Learn more about AUDACIOUS here.
Terry Booth, CEO
For further investor information, please contact:
Neither the Canadian Securities Exchange nor its regulation services provider accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Note Regarding Forward-Looking Statements: This release includes certain statements and information that may constitute "forward-looking information" withinthe meaning of applicable Canadian securities laws. These statements involve known and unknown risks, uncertainties, and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Forward looking statements in this news release include, but are not limited to, the Company's continued ability to satisfy the information guidelines set out in NP 12-203, the duration of the MCTO and the completion and anticipated timing of the Company making the Annual Filings and Interim Filings.
The forward-looking statements contained in this news release are based on certain key expectations and assumptions made by the Company, including, without limitation, information based on the current state of the Annual Filings and Interim Filings; the Company's belief that its external auditor will complete its audit and release its audit opinion in a timely manner that will allow the Company to file the Annual Filings; that the unaudited financial statements prepared by management of the Company will not differ materially from audited financial statements once available; and the ability of the Company's management to execute its business strategy, objectives and plans. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, risks and uncertainties arising from any delay in filing the Annual Filings and Interim Filings; the Company's ability to satisfy the requirements of NP 12-203; the revocation of the MCTO and replacement with a cease trade order; general business, economic, competitive, political and social uncertainties; the impact of the COVID-19 pandemic on the Company's operations and other factors, many of which are beyond the control of the Company.
The forward-looking statements contained in this news release represent the Company's expectations as of the date hereof and are subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Australis Capital, Inc.