GrowPros Receives First Payment from Cannabis Accelerators and Export Hydro as Per Agreement and Updates Land Purchase Agreement Related to MMPR Application
October 1, 2015 (Source: Marketwired) — GrowPros Cannabis Ventures Inc. (“GrowPros” or the “Company“) (CSE:GCI) is pleased to provide shareholders with the following corporate update in regard to several of the Company’s initiatives.
Status of MMPR Application
GrowPros MMP Inc. (the Company’s wholly-owned subsidiary) had submitted an application under the Marihuana for Medical Purposes Regulations (“MMPR“) for a proposed production facility north of Ottawa, Ontario. The application was submitted in November 2014 and the Company continues to work through the application process. The process is a long and thorough one, with application milestones that change as the MMPR program matures. These factors are out of the Company’s control, however management is doing its best to respond promptly whenever there is a request from the regulators regarding the application. The Company believes that it has a solid production plan based on years of hands-on medical cannabis cultivation that will provide high quality and low cost medicinal cannabis to qualified Canadian patients. GrowPros in encouraged by the recent granting of licenses and the increased transparency of the application process. GrowPros continues to perform routine audits of the application to ensure it completeness and to proactively address any required amendments.
Clarification of Land Agreement
As previously disclosed, the Company has entered into an agreement to purchase 190 acres of land located north of Ottawa in Venosta, Quebec, a deposit of $15,000 has been paid to the land owner and the transaction was slated to be finalized on June 1st, 2015. At that time, the management of GrowPros felt it was premature, in the application process, to deploy the required liquidity to complete the transaction. Effective June 1st, 2015, the Company has started payments of $1,000 per month to secure the land until the time that the application reaches a more advanced stage. GrowPros retains the right to execute its purchase at any time.
Payment from CAL from the Export Hydro Transaction
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GrowPros is pleased to announce that it has received the first deposit towards the payments announced in its previous press release. As per the terms of the agreement, the Company has sold its LOIs related to the cannabis growing equipment and supply industry including the previously disclosed export hydro agreements to Cannabis Accelerators Inc. for $250,000 CDN and 1,000,000 stock options.
The proceeds from the sale will provide the Company with the capital required to continue to source opportunities in the legal cannabis sector and fund internal operations.
The Canadian Securities Exchange (CSE) has not reviewed this news release and does not accept responsibility for its adequacy or accuracy.
Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words “may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Company, through its wholly-owned subsidiary, GrowPros MMP Inc., to obtain a licence for the production of medical marijuana; failure to obtain sufficient financing to execute the Company’s business plan; competition; regulation and anticipated and unanticipated costs and delays, and other risks disclosed in the Company’s public disclosure record on file with the relevant securities regulatory authorities. Although the Company has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. The forward-looking statements included in this news release are made as of the date of this news release and the Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
Raj Shah has professional experience working for over a half a dozen years at financial firms such as Merrill Lynch and First Allied Securities Inc., ... <Read more about Raj Shah>