VANCOUVER, British Columbia, Dec. 19, 2017 (GLOBE NEWSWIRE) -- Cannabis Wheaton Income Corp. (d/b/a Wheaton Income) (TSXV:CBW) (“Wheaton Income” or the “Company”) is pleased to announce that it has entered into an exclusive data licensing agreement (the “Agreement”) with a prominent Canadian cannabis testing, analysis and rating company (the “Licensor”).
Pursuant to the Agreement, the Licensor will grant the Company an exclusive license to all current and future proprietary cannabis testing, review and ranking data (the “Data”) for a term of two years. The Licensor has tested, reviewed and ranked over 2,000 Canadian cannabis samples to date, including some of the most popular strains sold by licensed producers under the ACMPR, with the objective of analyzing the cannabinoid content, terpene profile and aesthetic characteristics of such samples and ranking over 6,000 cannabis strain samples over the next two years. The Data will consist of various objective data points including, strain information, cannabinoid content (THC, CBD, CBG, CBN, CBG), terpene content, as well as any additional data derived from associated laboratory tests such as microbial, chemical and pesticide content.
The Data will provide the Company with valuable insights from cannabis obtained by authorized patients across Canada. Using the Licensor’s proprietary algorithms, the resulting Data offers sophisticated analysis into the quality, stability, and value of various cannabis strains, lots and batches. The Company believes that the Data is an important source of information and will provide the Company and its various partners and distribution channels with the necessary methodology to rank and rate cannabis available for purchase across Canada at any given time. This will give the Company the ability to provide purchasers with an objective basis upon which to compare and price available product supply and make purchasing decisions on an informed basis.
Under the terms of the Agreement, the Licensor will receive an upfront licensing fee of $341,250 payable in common shares of the Company (the “Common Shares”) at a deemed price of $0.95 per Common Share as well as up to 200,000 warrants to purchase Common Shares upon the achievement of certain milestones, which will have an exercise price equal to the greater of: (i) the closing market price on the day of issuance plus 10%; and (ii) $1.00 (the “Warrants”). The issuance of the Common Shares and the Warrants remains subject to approval by the TSX Venture Exchange.
Chuck Rifici, Chairman and CEO of Wheaton Income, stated, “We are excited to have access to proprietary data that will afford Cannabis Wheaton the ability to develop broad market intelligence and provide its platform partners with a unique tool to make better cultivation, sales and purchasing decisions.”
ON BEHALF OF THE BOARD
"Chuck Rifici" Chairman & CEO
About Wheaton Income. (TSX.V:CBW)
Wheaton Income is a collective of entrepreneurs with a passion for the cannabis industry past, present and future. Our mandate is to facilitate growth for our partners by providing them with financial support and sharing our collective industry experience. Our partners all have different visions, voices and brand values, and all share a common goal—to build a world-class industry based on ethics, diversity, quality and innovation.
This news release contains certain "forward-looking information" within the meaning of applicable Canadian securities law. Forward-looking information is frequently characterized by words such as "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "potential", "proposed" and other similar words, or information that certain events or conditions "may" or "will" occur. This information is only a prediction. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking information throughout this news release. Forward-looking information includes, but is not limited to: regulatory or political change, the ability to exploit the Data for the benefit of the Company, obtaining the necessary approvals, including from the TSX Venture Exchange, the ability to generate revenue through the streaming agreements, requirements to obtain additional financing, timeliness of government approvals for granting of permits and licences, including licences to cultivate and sell cannabis, completion of the facilities, where applicable, actual operating performance of the facilities, competition and other risks affecting the Company in particular and the cannabis industry generally. Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. The Company is under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release