OTTAWA, March 15, 2018 /CNW/ - CannaRoyalty Corp. (CSE:CRZ) (OTC:CNNRF) ("CannaRoyalty" or the "Company"), an active investor and operator in the legal cannabis industry, announced today that it has signed a binding term sheet (the "Term Sheet") to expand its business relationship with National Access Cannabis Corp. ("NAC") (together, the "Parties") to carry CannaRoyalty products in NAC stores across Canada, as legally permitted. NAC is in the process of applying for licenses in several Canadian jurisdictions and recently announced that it was one of four entities that has received conditional approval for a license to operate private retail cannabis stores across Manitoba. The Term Sheet covers the purchase by NAC of applicable products from CannaRoyalty in each jurisdiction that NAC operates retail stores, as a result of the Company's experience distributing and retailing products in mature cannabis markets, as well its existing pipeline and large portfolio of cannabis products.
"CannaRoyalty has assembled a growing portfolio of consumer cannabis brands in a number of sophisticated U.S. cannabis markets and we are confident that these brands will resonate with consumers in the Canadian market as well," said Marc Lustig, CEO of CannaRoyalty. "In any consumer products business, distribution is a key component of the larger strategy. We have already seen it play out in California, where we currently have access to a critical mass of the legal cannabis retailing locations - and that footprint is growing - ensuring a robust pathway to market for our portfolio of brands. In addition to our recent announcement regarding an investment into and strategic relationship with leading Canadian vaporizer online and retail leader, 180 Smoke, this business relationship enables us to further grow our distribution pipeline in our home market, as Canada moves to adult use legislation. We believe that 180 Smoke and NAC will each play significant roles across Canada in the cannabis retail space, and we see significant value in the combination of our product portfolio and expertise with their respective track records of operating safe and secure retail stores in Canada."
"CannaRoyalty is a valuable product partner and strategic advisor to NAC as we build out our retail network," said Mark Goliger, CEO of NAC. "It is important to us that we are on the leading edge of the Canadian retail market and are able to provide the Canadian consumer with a wide variety of products to go along with a world-class shopping experience. The expansion of this business relationship will enable us to offer CannaRoyalty's proven product portfolio, not only in our Manitoba stores, but in all Canadian stores we operate, giving customers a consistent choice of products and experience in all NAC stores."
Correction to March 13, 2018 Press Release CannaRoyalty Subsidiary Trichome Yield Corp. Makes Additional Appointment to Board of Directors
On March 13, 2018, the Company issued a press release regarding the addition of Brent Cox to the Trichome Yield Corp. board of directors, which stated, "He [Brent Cox] currently serves on the boards of two successful vertically integrated U.S. cannabis companies, MedMen and The Pharm."
This statement should have read, "He [Brent Cox] currently serves on the board of The Pharm (Sunday Goods), a successful vertically integrated U.S. cannabis company, and formerly served on the board of MedMen."
CannaRoyalty is an active investor and operator in the legal cannabis industry. Our focus is building and supporting a diversified portfolio of growth-ready assets in high-value segments of the cannabis sector, including research, consumer brands, devices and intellectual property. Our management team combines a hands-on understanding of the cannabis industry with seasoned financial know-how, assembling a platform of holdings via royalty agreements, equity interests, secured convertible debt, licensing agreements and its own branded portfolio. CannaRoyalty's shares trade on the Canadian Stock Exchange (CSE) under the symbol CRZ and internationally on the OTCQX under the symbol CNNRF.
Forward Looking Statements
Statements in this news release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed here and elsewhere in CannaRoyalty's periodic filings with Canadian securities regulators. When used in this news release, words such as "will, could, plan, estimate, expect, intend, may, potential, believe, should," and similar expressions, are forward- looking statements.
Forward-looking statements may include, without limitation, statements regarding the Company's expectations with respect to pursuing new opportunities and future growth for Trichome and other statements of fact.
Although CannaRoyalty has attempted to identify important factors that could cause actual results, performance or achievements to differ materially from those contained in the forward-looking statements, there can be other factors that cause results, performance or achievements not to be as anticipated, estimated or intended, including, but not limited to: competition from banks and other lenders; movements and long term trends in interest rates; the ability of management to select companies that will increase in value and to compete for desirable transactions; the ability to source desirable transactions; dependence on obtaining regulatory approvals; investing in target companies or projects which have limited or no operating history; changes in laws; limited operating history; reliance on management; requirements for additional financing; and regulatory or political change.
There can be no assurance that such information will prove to be accurate or that management's expectations or estimates of future developments, circumstances or results will materialize. As a result of these risks and uncertainties, the results or events predicted in these forward-looking statements may differ materially from actual results or events.
Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this news release are made as of the date of this release. CannaRoyalty disclaims any intention or obligation to update or revise such information, except as required by applicable law, and CannaRoyalty does not assume any liability for disclosure relating to any other company mentioned herein.