Vancouver, British Columbia, March 22, 2018 (GLOBE NEWSWIRE) -- Future Farm Technologies Inc. (the “Company” or “Future Farm”) (CSE:FFT) (OTC:FFRMF) is pleased to announce that it has signed a Letter of Intent (“LOI”) to acquire a 50% interest in and to enter into a definitive joint venture agreement with CEPG Consulting and Design Inc. (“CEPG”) of St John’s, Newfoundland. The joint venture is formed to begin operations for a cannabis and hemp breeding program under its previously announced joint venture with Rahan Meristem Ltd. (“Rahan”), a world renown global agro-biotechnology company incorporated in the State of Israel. The joint venture will operate out of both an existing building and 6,000 square feet of newly constructed laboratories.
CEPG is a Canadian corporation wholly owned by Snellen Holdings (1994) Co. Ltd. (“SHC”), based in St John's, Newfoundland. SHC has been developing controlled environment plant growth systems since 1981. SHC will transfer ownership of land and a building located in St. John's, Newfoundland, as well as a 48-ft trailer and its contents.
CEPG will apply for a dealer license from health Canada, which will enable research and development to begin on the growth of cannabis plants. Once licensed, the R&D facility will use state-of-the-art controlled environment equipment and techniques to create a research hub for the Rahan and Future Farm JV, which is expected to create valuable IP to be sold worldwide. The joint venture will develop, own and utilize Rahan's proven and proprietary technology to mass-produce elite new strains of marijuana to fit various profiles required of the medical and legal use of this highly valuable and beneficial plant.
“We have toured this building and endorsed the plans to build new in-vitro and tissue culture labs on this site. We feel it’s the perfect facility for us to create elite new cannabis strains and are pleased with the partnership formed by Future Farm and CEPG,” says Ron Diner, CEO of Rahan. “We look forward to combining our technology and know-how with Future Farm’s experience in cultivating cannabis to produce elite strains for use in the booming medical and recreational marijuana markets.”
As part of the subject JV agreement, Rahan shall be responsible for providing the know-how and technology, as well as management and operation of the breeding program.
"We are thrilled to partner with Rahan Meristem, an esteemed leader in the agro-biotechnology industry, and now CEPG. The building in St. John’s allows us to get started on the permitting and growing of elite cannabis clones," says Bill Gildea, CEO of Future Farm Technologies. “Rahan has shown long term dedication to producing elite clones of bananas, plantains and other plants for its customers worldwide. We are lucky to have Rahan’s desire to take its proven technology to work on producing the same results for cannabis and hemp. This is a very exciting time for Future Farm.”
Future Farm, Rahan Meristem and CEPG want to take this opportunity to publicly thank the following:
Provincially: These projects were made possible by our Hon. Premier, Dwight Ball, and The Government of Newfoundland Labrador. Our sincere thank you to our MHA The Hon. Bernard Davis, who supported us since the day he was elected. Our current Minister of Transportation and Works, The Hon. Steve Crocker, and his predecessor The Hon. Al Hawkins, who made time for us made this possible.
Federally: The complex Federal/Provincial land issues that had to be settled could not have been resolved without the determination of our MP Mr. Nick Whalen, and former Federal Minister responsible for PWGSC, The Hon. Judy Foote. Thank you all for the Federal / Provincial co-operation.
In consideration for the acquisition, SHC will receive CAD$150,000 in the form of Future Farm common stock valued at the closing price on the day prior to this press release, and the cash equivalent value of CEPG's 1,940 shares in Canopy Growth Corporation, valued at the closing share price on the day the transaction closes and Mr. H. C. Snellen will receive CAD$50,000. An additional payment is expected to be issued to SHC in Future Farm stock equivalent to the dollar value of a second tranche of Canopy stock. All Canopy stock will remain with CEPG.
The Company also announces that the Board of Directors has approved the cancellation of 3,487,500 incentive stock options currently exercisable at $0.96CDN.
For further information, contact William Gildea, Director, at (888) 387-3761.
On behalf of the Board,
Future Farm Technologies Inc.
William Gildea, Chairman & CEO
About Snellen Holdings:
Snellen Holdings and CEPG (controlled environment plant growth) are founding shareholders of Spot Therapeutics Inc. CEPG designed Spot's 40,000 sq. ft. medical marijuana production facility in Fredericton New Brunswick. CEPG, then a wholly owned Subsidiary of Snellen Holdings was incorporated to be Spot's horticulture department. Shortly after Spot received their "letter to build" approval from Health Canada, Canopy Growth Corporation bought Spot. CEPG is currently engaged as consultants for the Argentia Gold Corporation, an 80,000 sq. ft. medical marijuana LP applicant in Newfoundland Labrador. Future Farm is now a 50% partner in CEPG.
About Future Farm
Future Farm Technologies Inc. is a Canadian company with projects throughout North America including California, Florida and Maryland. The Company’s business model includes developing and acquiring technologies that will position it as a leader in the evolution of Controlled Environment Agriculture (CEA) for the global production of various types of plants, with a focus on cannabis. Future Farm provides scalable, indoor CEA systems that utilize minimal land, water and energy regardless of climate, location or time of year and are customized to grow an abundance of crops close to consumers, therefore minimizing food miles and its impact to the environment. The Company holds an exclusive, worldwide license to use a patented vertical farming technology that, when compared to traditional plant production methods, generates yields up to 10 times greater per square foot of land. The contained system provides many other benefits including 90% less water, fertilizer and land used, less travel costs, seed to sale security, scalability, consistency due to year-round production, cost control, product safety and purity by eliminating environmental variability.
The Company is also in the business of designing and distributing LED lighting solutions utilizing the COB and MCOB technology. The Company is focused on delivering cost efficient lighting to North America via advanced e-commerce sites the Company owns and operates. LEDCanada.com, which caters to B2B customers, is a supplier of the newest and highest demand LED solutions. The Company also owns and operates COBGrowlights.com, which caters to both large and small agriculture green houses and controlled cultivation centers.
The Company recently acquired the exclusive right to use a patented, augmented reality (AR) technology in the cannabis industry. As described in more detail above, the Company has decided to spin this asset off to its shareholders.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release. The Canadian Securities Exchange has not in any way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.
This news release may include forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required under the applicable laws.