LAS VEGAS, Oct. 11, 2016 /PRNewswire/ -- Growblox Sciences, Inc. (OTCQB: GBLX)
I am writing to report the results of the vote at our Annual Meeting of Shareholders that was held on Friday, October 7, 2016 at our offices in Las Vegas.
All measures were approved by our shareholders. These measures included the election of Craig Ellins and Dr. Andrea Small-Howard as directors to serve a term of two years; the election of myself, Leslie Bocskor and Shane Terry as directors to serve a term of three years; the approval of Patrick Heyn, CPA, to serve as the Company's auditor; and, the approval of modification of our articles of incorporation to reduce authorized common shares from 250 million to 200 million shares and create 50 million preferred shares. Also, a motion was made to change the name of the Company from Growblox Sciences, Inc. to GB Sciences, Inc. This motion also passed, but its implementation is subject to FINRA and SEC approval.
We made a presentation to attendees that described our current status and our strategy. I originally outlined our strategy to you in my Letter to Shareholders released on July 25, 2016. Since that time there have been many exciting developments. These developments, combined with our understanding of the market and the potential of our assets, have allowed us to refine and gain sharp focus into our plans for the future.
Perhaps the single most significant development is the work of Dr. Andrea Small-Howard and her team of scientists to define and articulate the real potential of our research. Working with our intellectual property attorneys at Fenwick&West, the science team has carefully defined at least eight potential patents for cannabis-based compounds to treat illnesses and serious, life-changing medical conditions.
After reviewing our portfolio of potential cannabis-based medical formulations, we determined that a few, critical modifications to our facility were necessary to ensure our ability to create pharma-grade cannabis for medicines. This is essential because we must have a supply chain and production facility that are complaint with current Good Manufacturing Practices (cGMP) in a much shorter time frame than originally envisioned. We must have this capability in the near-term to produce cannabis compounds for FDA-registered Pilot Studies and then Clinical Trials. Consequently, we also needed a way to process our cannabis to produce medicines. On October 4, 2016, we announced that we had acquired a 60% interest in a Nevada Medical Marijuana Production License with an option of up to 80%. A production license enables us to convert cannabis plants into to oils and extracts that are suitable for creating medical compounds as well as consumer products. This license is critical and essential to our plan of producing cannabis-based medicines, and must be integrated into our cultivation facility to ensure quality control standards and efficiency in our production of cannabis medicines. I reported in my letter of July 25th that we planned to have plants in the ground on or about October 1st of this year the actual "plants in the ground" date has been pushed back to no later than January 2017. These discussed strategic modifications in our plan along with the acquisition of this production license contributed to the January 2017 date.
We still expect to meet our fiscal 2017 revenue projections (year ended March 31, 2017) of approximately $700,000. We can still achieve the same revenue because the production facility will open concurrently with the cultivation facility. Thus, we will be able to acquire cannabis from other producers and process and sell products such as vape pens and edibles immediately. Additionally, the modifications will allow us to produce more cannabis, meaning that our crops cycles should be slightly larger.
The developments I have just described above comprise the "Life Sciences" opportunity. I am quite confident the Life Sciences has the potential to become a billion dollar in sales company on its own.
We also continue to have a "cannabis as consumer product" opportunity. The foundation that we are building for our Life Sciences opportunity also will serve us well in our Consumer Product opportunity. Quite simply, we are already working to acquire various categories of cannabis licenses in California, Texas and Pennsylvania to name a few. Our vision is to create a national footprint and offer nationally-recognized high quality brands of cannabis products. Interestingly, we have found that our work in the Life Sciences and the quality of our cultivation and production facilities has made state regulators in target states much more receptive to the Company than a "plain old cannabis company".
So, the dual strategy of both creating medicines and producing high-quality consumer products fuels our confidence that consumer products is the second "billion dollar" opportunity.
The third opportunity is the Growblox Chambers (the "Growblox"). The Growblox is a highly engineered and complex machine. In order to support it, the Company would require a strategic finance partner or corporate partnership to build support and maintenance organization, manufacturing capabilities, an international sales force, etc. We expect to receive the first manufacture, UL approved Growblox from China in December of this year. The costs of the development has been bourne by investors in our Puerto Rico subsidiary, GB Sciences Puerto Rico, LLC. Our plan is to fully test the Growblox after it arrives in December and determine its real capability. Subject to those findings, we will work with GB Sciences Puerto Rico to find a partner or co-venturer for the Growblox – a partner that has existing manufacturing capability and expertise in agricultural machinery. GB Science will not expend additional capital on Growblox devices.
I believe that it is essential that all shareholders understand our Company. We are much, much more, than just a cannabis company, which we will demonstrate starting this week with the filing of our patent for a cannabis-based medicine to treat a life altering disease. In January, we'll show you how we can grow medical-grade cannabis to make medicines AND to create high-quality products for the general cannabis consumer. As always, our doors are open to our shareholders.
Best wishes to you all and thank you for your continued support.
Chief Executive Officer
About Growblox Sciences, Inc.
Growblox Sciences, Inc. (GBLX) is a diverse vertically integrated cannabis company, focused on cultivation as well as biopharmaceutical research and development. The Company's goal is creating safe, standardized, pharmaceutical-grade, cannabinoid therapies that target a variety of medical conditions. To learn more about Growblox Sciences, Inc., go to: http://growblox.com
This press release may contain statements relating to future results or events, which are forward-looking statements. Words such as "expects", "intends", "plans", "may", "could", "should", "anticipates", "likely", "believes" and words of similar import may identify forward-looking statements. These statements are not historical facts, but instead represent only the Company's belief regarding future events, many of which, by their nature, are inherently uncertain and outside of the Company's control. It is possible that the Company's actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. Further, information concerning the Company and its business, including factors that potentially could materially affect the Company's business and financial and other results, are contained in the Company's filings with the Securities and Exchange Commission, available at www.sec.gov. All forward-looking statements included in this press release are made only as of the date of this press release, and we do not undertake any obligation to publicly update or correct any forward-looking statements to reflect events or circumstances that subsequently occur or of which we hereafter become aware.
Note: Although the Company's research and development activities are not illegal, the production and sale of cannabis products violate federal laws as they presently exist.
Growblox Sciences, Inc.,
3550 West Teco Ave., Las Vegas, NV 89118
Liz Bianco Publicity Director, firstname.lastname@example.org, http://growblox.com
Investors: John Poss, email@example.com
Showgrow/GBS Nevada Partners, LLC
Jim Meservey, Nevada Partners Manager, firstname.lastname@example.org
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/letter-from-ceo-of-growblox-sciences-regarding-annual-meeting-of-shareholders-300342567.html
SOURCE Growblox Sciences, Inc.