TORONTO, Feb. 5, 2018 /CNW/ - Cronos Group Inc. (TSX:MJN) (OTC:PRMCF) (the "Group" or the "Company") is pleased to announce the launch of Cronos Australia Pty Ltd. ("Cronos Australia") and the grant of medicinal cannabis cultivation and research licenses.
"The launch of Cronos Australia as our newest international hub marks an important milestone for the Company. Cronos is focused on providing pharmaceutical grade medicine to patients in need, and we are excited that our Australian team shares this vision and commitment," says Mike Gorenstein, CEO of Cronos Group.
Cronos Australia is a 50/50 joint venture between the Group and NewSouthern Capital Pty Ltd, led by Mr. Rodney Cocks and Mr. Peter Righetti. Cronos Australia will serve as the Group's hub for Australia, New Zealand, and South East Asia, bolstering the Group's import/export supply capabilities and distribution network. Cronos Australia will leverage the Group's intellectual property and iconic brands to deliver premium cannabinoid based products to Australasia.
Rodney Cocks, Chief Executive Officer & Director
Before founding Cronos Australia, Rodney was a consultant with The Boston Consulting Group, later taking up a senior role at an Australian multinational before co-founding NewSouthern Capital. He heads up the capital raising and portfolio company teams at NewSouthern, and sits on the investment, audit and risk committee for the company. As a graduate of the Royal Military College, Duntroon, Rodney commenced his career as an Australian Army infantry officer and was also a senior member of the UK Government's Counter Narcotics team at The British Embassy in Kabul, which was responsible for targeting the massive opium and cannabis cultivation and trafficking issue in Afghanistan. Rodney holds a Bachelor of Commerce, Bachelor of Laws, MBA (Wharton, University of Pennsylvania), and an MPA (Harvard University). He is an admitted lawyer to the Supreme Court of New South Wales, a Graduate of the Australian Institute of Company Directors, and an Authorised Representative under an Australian Financial Services License. Rodney was also named the Victorian Australian of the Year in 2005.
"We are extremely pleased to announce that Cronos Australia has secured both a medicinal cannabis license and a cannabis research license, paving the way for us to research, cultivate, and produce premium cannabinoid-based products for Australian patients," says Mr. Cocks.
Peter Righetti, Chief Operating Officer & Director
Prior to establishing Cronos Australia, Peter worked for more than 20 years in residential and commercial property, providing strategic-level expertise in the fields of development acquisition, planning, construction/project management, project financing, and marketing. Peter heads up the investment and property teams at NewSouthern Capital and sits on the risk, audit, and investment committees for NewSouthern. In line with NewSouthern's commitment to the creation, protection, and growth of investor wealth, Peter will assume a pivotal role in the establishment and ongoing operations of Cronos Australia. Peter is a graduate of Royal Military College, Duntroon, and served as an Army Officer in the Royal Australian Corps of Engineers. He has held senior leadership and executive positions in private and publicly listed Australian companies. Peter holds a Bachelor of Commerce and a Bachelor of Laws. He is admitted as a barrister and solicitor of the Supreme Court of Victoria.
"Cronos Australia will continue to leverage the Group's intellectual property to ensure that we deliver the highest quality medicinal cannabis products to the Australasia region," says Mr. Righetti.
Cronos Australia's first production campus will be located on 120 acres and will commence construction on the initial phase of its production platform with a 20,000 sq. ft. purpose-built facility (the "Initial Facility"), with an expected annual production capacity of 2,000KG. Cronos Australia is currently working with the Group on designing a significant capacity expansion beyond the Initial Facility. In the interim, the Group intends to make available supply of Peace Naturals' premium medicinal cannabis to support Australian patient access, subject to obtaining its import license. The Initial Facility has been designed to meet the Group's best-in-class quality standards, including Good Production Practices and Good Manufacturing Practices (GMP). The Group's expertise operating under these guidelines is expected to ensure that all quality controls across the Group's international platforms are consistent with the highest manufacturing standards.
The operations of Cronos Australia are subject to approval of the TSX Venture Exchange.
A conference call to discuss Cronos Australia will be held at 8:45 am (EST) on Monday, February 5, 2018. The call will be open to the public and instructions for the conference call are provided below:
Conference ID: 6999547
Topic: Launch of Cronos Australia
Toll-free dial-in number: (888) 231-8191
International dial-in number: (647) 427-7450
Additionally, an audio replay of the conference call will be available two hours after the call's completion. Instructions for the audio replay are provided below:
Toll-free dial-in number: (855) 859-2056
About Cronos Group
Cronos Group is a globally diversified and vertically integrated cannabis company with a presence across four continents. The Company operates two wholly-owned Canadian Licensed Producers regulated under Health Canada's Access to Cannabis for Medical Purposes Regulations: Peace Naturals Project Inc. (Ontario), which was the first non-incumbent medical cannabis license granted by Health Canada, and Original BC Ltd. (British Columbia), which is based in the Okanagan Valley. The Company has multiple international production and distribution platforms: Cronos Israel and Cronos Australia. Through an exclusive distribution agreement, Cronos also has access to over 12,000 pharmacies in Germany as the Company focuses on building an international iconic brand portfolio and developing disruptive intellectual property.
This news release may contain "forward-looking information" and "forward-looking statements" within the meaning of applicable Canadian securities legislation. All information contained herein that is not clearly historical in nature may constitute forward-looking information and includes, but is not limited to, information relating to the future growth and prospects of the Company. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive risks, uncertainties and contingencies that may cause actual financial results, performance or achievements to be materially different from the estimated future results, performance or achievements expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance. Accordingly, readers should not place undue reliance on any forward-looking statements or information. A discussion of certain of the material risks applicable to the Company can be found in the Company's most recent MD&A and Annual Information Form, which can be accessed at www.sedar.com. Except as required by law, the Company disclaims any obligation to update or revise any forward-looking statements. Readers are cautioned not to put undue reliance on these forward-looking statements.
Neither the 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.