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Hydropothecary Partners with Segra to Scale-Up Production

March 16, 2018


GATINEAU, Quebec, March 16, 2018 (GLOBE NEWSWIRE) -- The Hydropothecary Corporation (TSXV:THCX) (“Hydropothecary” or the “Company”) is pleased to announce its agreement with Segra International Corp. (“Segra”) to incorporate plant tissue culture propagation into the cannabis plant production process. Segra’s expertise and unique tissue culture technique will allow Hydropothecary to increase its yield of healthy, top-quality plants to serve the growing medical and recreational cannabis markets.


“Working with Segra will allow us to meet one of the biggest challenges as we meet the demand for cannabis products across Canada and beyond, balancing quality and quantity in our cannabis production,” said Sebastien St-Louis, Hydropothecary’s CEO and co-founder. “Thanks to Segra’s plant tissue culture technique, we will scale up our production process while maintaining the industry-leading quality standards that have made us so successful.”


Segra specializes in industrial-scale cannabis micropropagation, also known as plant tissue culture. This process replaces traditional cloning from mother plants with rapid, sterile production of robust and healthy plantlets. It generates exact copies of the original plant without the risk of pathogens, fungi, and other issues that can plague other industrial-scale production processes.


The agreement with Segra will play a crucial role in scaling up Hydropothecary’s cannabis plant production to meet market demand in the recreational cannabis market across Canada, expected to begin this summer. The Company is on track to complete previously announced facility expansions increasing annual production capacity to 108,000 kg of dried cannabis, making Hydropothecary one of Canada’s largest producers.


Working with Hydropothecary’s Master Grower, Agnes Kwasniewska and her team, Segra will set up a laboratory at Hydropothecary’s facility in Gatineau, Quebec to begin the initialization phase of the plant tissue culture process. Once the system is established, production will rapidly scale into millions of plantlets per year.


“We are honoured to be working with Hydropothecary,” said Todd McMurray, President and CEO of Segra. “Our companies both have well-earned reputations for innovation and quality in our respective fields. This agreement is the perfect combination of skills and expertise to produce great-quality cannabis products for customers.”


About Segra International


Segra is a plant biotechnology company that specializes in industrial-scale cannabis plant micropropagation. The company is developing industrial-scale cannabis micropropagation laboratories to produce healthy, robust plantlets for licensed cannabis producers globally. Segra has assembled a world-class team of specialists in the areas of plant tissue culture, agronomy, molecular genetics, regulatory compliance, and corporate finance. The Segra team includes Dr. Sma Zobayed, Segra’s Director of Micropropagation. Dr. Zobayed is a world-renowned micropropagation specialist who has successfully micropropagated over 500 species of plants including cannabis. Dr. Zobayed has successfully developed a protocol for true-to-type cannabis micropropagation (including 4 – 7 x multiplication of plant stock over a 30-day period).  Segra will help its clients improve product quality, rapidly expand operations, decrease liabilities associated with pest and disease, and increase profits.


About Hydropothecary Corporation


The Hydropothecary Corporation is an authorized licensed producer and distributor of medical cannabis licensed by Health Canada under the Access to Cannabis for Medical Purposes Regulations. Hydropothecary creates award-winning innovative, easy to use and easy to understand products. Hydropothecary is rapidly increasing its production capacity in the lead-up to recreational adult-use cannabis. Expansion plans will result in a total of 1.3 million sq. ft. of production space, producing 108,000 kg of dried cannabis per year, making Hydropothecary one of the largest producers in the country. With industry-leading cash cost per gram of $0.89, Hydropothecary is the lowest cost producer in the country. The first licensed producer in Quebec, Hydropothecary is headquartered in the province.


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.

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