VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 6, 2017) - Valens GroWorks Corp. (CSE:VGW)(CSE:VGW.CN) (the "Company" or "Valens") is pleased to announce completion of the acquisition of Supra THC Services Inc. ("SUPRA"), a Health Canada-licensed cannabis testing lab with an established Kelowna-based scientific team supporting its operations.
Valens acquired all of the issued and outstanding shares of SUPRA for $3.75 million, satisfied through the issuance of three million shares of Valens. The total share consideration is subject to a regulatory four month hold period as well as a 36-month escrow agreement.
SUPRA holds a Health Canada Dealer's License which allows for the possession of cannabis and related active ingredients, as well as the production of extracts for the purpose of analysis.
SUPRA's mission is to become a leading Analytical Service Provider to the cannabis industry. Revenue-generating activities are expected to include analytical services, consulting services, and contract Research and Development. The company will also produce oils and ointments using a proprietary solvent-free extraction approach that produces an organic 100% cannabis oil product.
SUPRA is led by Dr. Rob O'Brien, who also recently joined Valens Agritech Ltd. ("VAL"), the Company's wholly-owned subsidiary, as its President and Chief Science Officer (CSO). Dr. O'Brien is an expert in analytical instrumentation, has established a number of advanced analytical laboratories, and founded Supra Research and Development, the first spin-off company from the University of British Columbia's Okanagan campus, created to commercialize innovative biomass extraction technology.
Dr. O'Brien stated, "Having both Valens Agritech and Supra THC Services as wholly-owned subsidiaries of Valens GroWorks provides us with a gateway to the capital markets and the necessary currency to execute on our strategic vision. Our immediate objective is to secure the infrastructure necessary to become a leading-edge cannabis-based enterprise in one of the fastest growing sectors of the global economy."
About Valens GroWorks Corp.
Valens GroWorks Corp is a CSE-listed company with an aggressive acquisition strategy in progress, providing management, consulting, testing and support services to domestic and international licensees, as well as financing the buildout of established, licensed operations in Arizona. The Company seeks to capture a broad spectrum of medical marijuana users, as well as recreational users once legalized, in pursuit of its ambitious Plants to Premium Products "P2P" objectives.
The Company's wholly-owned subsidiary, Valens Agritech Ltd., is a post-inspection applicant anticipating receipt of a Controlled Drugs and Substances Dealer's Licence for the cultivation and processing of marijuana. Based in the Okanagan Valley of British Columbia, VAL anticipates participation in selective clinical trial programs researching the efficacy of medical cannabis.
The Company is engaged under a letter of intent to acquire 100% of Royal Green Acres Manufacturing Ltd., a final review-stage applicant for a License to Produce ("LP") under Health Canada's Access to Cannabis for Medical Purposes Regulations (ACMPR). The proposed buildout to be funded is a 50,000-sf, indoor, state-of-the-art, medicinal cannabis production and processing facility located on 5 acres just outside Nanaimo, British Columbia.
On behalf of the Board of Directors,
VALENS GROWORKS CORP.
Robert van Santen, Chief Executive Officer
Notice regarding Forward Looking Statements
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