Sunpure Industries Commences Construction on Its Armstrong Facility & Announces Non-Brokered Private Placement of $2.5 Million
VERNON, British Columbia, Nov. 22, 2018 /PRNewswire/ -- SunPure Industries Ltd; under its wholly owned subsidiary SunPure Cannabis Co. (www.sunpure.ca) ("SunPure Industries"), has commenced construction on its cultivation facility located in Armstrong, British Columbia. SunPure has completed the site survey and is now prepping the foundation site for the greenhouse base.
SunPure has confirmed the order of 3 Ovaltech greenhouse packages from Harnois Industries totaling 13,608sf. The greenhouses are equipped with supplementary lighting, automated blackout curtain systems, heating, dehumidification, CO2 generation, odor control ventilation and irrigation. Installation of the security fencing, natural gas & utilities will begin within the next 3 weeks. The OvalTech greenhouses are designed the meet the requirements of modern cannabis growers producing higher yields, offering maximum safety and minimizing energy and water consumption. Retrofitting of the existing buildings for SunPure's processing facility and administration office has also begun. Estimated completion of the project is February 2019.
"Our goal is to produce high quality, low cost, sun grown medical & recreational cannabis. Our business model will allow SunPure to excel in Canada's competitive environment and global markets, by continuing to add revenue streams in niche markets in the cannabis sector." - President & CEO, Mike Mueller.
SunPure has also arranged a non-brokered private placement of up to 25,000,000 units at a price of $0.10 cents per unit for aggregate gross proceeds of up to $2.5 Million. Each unit will consist of one common share. Separate closings for individual subscriptions upon acceptance by the company may take place at such time as the company may determine. Closings are anticipated to commence on or before November 13th, 2018 or at such other time or times the company may determine.
The offering is being made to accredited investors under applicable exemptions from prospectus requirements and may include one or more subscriptions by insiders and other existing shareholders of the company. All or a portion of this offering could be subject to finder's fees or commissions securities will be subject to a four-month hold period under securities laws.
Proceeds from the Offering will be used for initial construction ground breaking costs, expansion of additional revenue streams in the cannabis market in relation to product development, distribution and supply agreements and general working capital for the company.
The Company believes that it is on schedule to submit its evidence package to Health Canada and receive its confirmation of readiness in Q1 of 2019. Greenhouse cultivation will commence immediately with seeding of industrial hemp on 35 acres for CBD extraction to begin Q2 of 2019.
SunPure's management team has been busy over the last several months. Here's some of our accomplishments:
- Received permitting to retrofit the existing on-site buildings
- Initiated construction and site prep for arrival of greenhouses and building retrofits
- Submitted application for 35 acres of industrial hemp cultivation in 2019
- Transitioned our ACMPR application into the new Cannabis Act CTLS system
- Signed a binding, signed and accepted letter of intent with American beverage formulator Le Canna Royale Canada; Big Red Nose Productions
- Contracting with MediPharm Labs, a third-party licensed cannabis oil extractor to process our dried flower into cannabis concentrates and advanced derivative products
- Signed the first of its kind in Canada Private Label Supply and Distribution Agreement with American Biotech Labs, (ABL), a leading American bio-medical nano-technology company for its twelve FDA and Health Canada approved Natural Health Products containing ABL's patented silver hydrosol nanotechnology.
- Establishing on import/export agreements in global markets, including most recently signing an LOI with Breath of Life Pharma, Israel's largest medical cannabis cultivation, production and R&D campus for an import supply agreement
- Establishing co-packing relationships with a number of bottling and packaging facilities across the country to prepare preparing for the upcoming cannabis infused edible and drinkable markets
About SunPure Cannabis Co.
SunPure Cannabis Co. is a start-up cannabis cultivation company under Canada's Cannabis Act and is located in Armstrong, British Columbia. SunPure currently owns a 40-acre parcel land package. There is a currently 1500 sq. ft agricultural building with concrete floor, 800sq. ft home, dedicated electrical and natural gas services to the property and water retention pond. SunPure is Founder funded to date which includes land acquisition, all site construction costs, and is debt-free. SunPure is now in the "Detailed Review Stage" of the application process in preparation for receipt of our "Confirmation of Readiness". SunPure is set to break ground on construction of its Phase One 13,608 sq. ft automated greenhouses and retrofit the existing structures on site into its processing facility and administration office. SunPure is targeting a 35 acre outdoor seeding of industrial hemp Q2 2019 utilizing third-party cannabidiol (CBD) extractors, formulators and processors upon harvest. SunPure is focusing on growing our export division through supply contracts and off take agreements.
For further information about SunPure Industries, please visit the Company's website at www.sunpure.ca and to view a video of the Armstrong facility;
On Behalf of the Board of Directors Mike Mueller President and Chief Executive Officer |
For Further Information Contact Catherine Jones Executive VP Business Development 1-833-356-PURE |
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This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Readers are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected including, but not limited to completion of planned improvements at both the Canadian and US sites on schedule and on budget, the availability of financing needed to complete the Company's planned improvements on commercially reasonable terms, the availability of contractors and materials, planned occupancy by the tenant-growers, commencement of operations, weather and other natural factors that may affect agriculture based businesses, the ability to mitigate the risk of loss through appropriate insurance policies, and the risks presented by federal statutes that may contradict local and state legislation respecting legalized marijuana. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances save as required under applicable securities legislation. This news release does not constitute an offer to sell securities and the Company is not soliciting an offer to buy securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
This news release does not constitute an offer of securities for sale in the United States. These securities have not and will not be registered under United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States or to a U.S. Person unless so registered, or an exemption from registration is relied upon.
SOURCE SunPure Cannabis Co.
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