Investors in Canada's marijuana industry can consider adding grows to their portfolio

Three Things to Keep in Mind for Investors in Canadian Marijuana

Posted on Categories: Knowledge CentreTags: , , , , , ,

News coverage about marijuana investing in Canada sometimes suggests the industry is nearing a plateau, and that it already is mature.

Don’t believe it.

Entrepreneurs and investors have been participating in the cannabis industry for a few years in Canada and the United States, but it remains a fledgling industry. We all remain on the ground floor, which can be a good place for investors. Especially if you are investing in marijuana in Canada.

As Canada marches towards full recreational legalization in 2018, the country stands apart for investors. By this time next year, Canada should be the only Western country in the world with recreational legalization in place in all directions, although provinces will likely enact regulations that differ from one another.

Things to Evaluate while Investing in Marijuana in Canada

Marijuana Grows Matter

Investors eyeing cannabis have much to consider, including cannabis ancillary businesses (like software and technology companies, packaging manufacturers and ingredient suppliers) and brands producing cannabis products. All of the above are worthy of close scrutiny. But don’t forget about grows. Canadian growers are poised to harvest millions of pounds to meet consumer demand, and as the plant becomes more normalized in society what already amounts to strong demand is expected to climb even higher. Growers supply the backbone of the entire industry, which potentially includes edibles and concentrates. As product offerings expand into areas beyond eighth-ounces of flower, demands on growers will mount. This is good news for those who invest in grows.

Marijuana Management Matters

The cannabis industry in the United States has witnessed extraordinary success stories, as well as flame-outs. With most of the failures, the problems weren’t with the commercial idea or even the products themselves. Instead, industry flops tend to stem from the top — that is, poor management. When considering cannabis investments, closely study the management team. Get a sense about their track records, presumably within other industries. Query industry stakeholders about their reputations. The best ideas in the world will never triumph in the competitive marketplace with weak management teams at the helm.

Marijuana Regulations Matter

The next year presents once-in-a-lifetime opportunities to collaborate with Canadian governments to help build a regulatory framework for what is the fastest-growing industry in Canada, as well as North America. Imagine being a brewer on the ground floor — yep, we still are there with cannabis — when the Canadian government and provinces first hammered-out regulations for the alcohol industry. It is an enviable position for businesses in any industry. So far, Ottawa and the provinces have made a number of wise choices regarding cannabis. But the year ahead presents plenty of fresh opportunities for those of us in the industry to help inform authorities about the details of our budding industry. Roadblocks that could stop growth? Regulatory ideas that could help nurture strong growth, while protecting Canadian kids and communities? It all will be on the table in coming months. Participation among marijuana industry stakeholders is highly encouraged.

 

 

Invictus MD Strengthens Management Team With Appointment of New CFO

Posted on Categories: Investor Relations

Vancouver, BC, November 6, 2017 – INVICTUS MD STRATEGIES CORP. (“Invictus MD” or the “Company”) (TSXV: IMH; OTC: IVITF; FRA: 8IS1), is pleased to announce the appointment of Dylan Easterbrook as Chief Financial Officer.

Mr. Easterbrook is a seasoned accounting and financial professional, who most recently was controller of a publicly traded global fibre optic connectivity solution provider. Prior to that role he was with Ernst & Young, one of the largest professional services firms in the world and one of the Big Four accounting firms, where he led audit engagements for both public and privately held companies from a variety of industries, including the emerging markets.

Dylan is a Canadian Chartered Professional Accountant (CPA, CA), and also holds a Bachelor of Science in Life Sciences degree from the University of British Columbia.

The company wishes to thank Mr. Herrick Lau for his contributions to Invictus MD and commitment in assisting the Company with its goal to become Canada’s Cannabis Company.

Further, the Company has issued 150,000 incentive stock options (the “Options”) to Mr. Easterbrook. The Options, of which one third will vest in three months, one third in nine months and one third in fifteen months, are exercisable for a period of five years at an exercise price of $1.19 per share. The Options were granted under and are subject to the terms and conditions of the Company’s Stock Option Plan.

“We are excited about Dylan’s appointment as he brings solid experience and capabilities that match our needs as we continue to develop,” said Dan Kriznic, Chairman & CEO, of Invictus MD. “The timing is ideal as we continue to execute on an aggressive development strategy aimed at creating Canada’s Cannabis Company. Our Company’s balance sheet is very strong; it has minimal debt, and the approximate $26 million cash in the treasury has been reserved to expand the Company’s canopy footprint on its 250 acres of property, making it one of the top producers under the Access to Cannabis for Medical Purposes Regulations (“ACMPR”). This production is needed to meet the significant demand for high quality, standardized, pesticide free product not only for the existing medical market but also to accommodate the recreational market that will commence mid 2018.

“Invictus MD is seen as a real leader within this remarkably young and fast-growing cannabis sector,” added Mr. Easterbrook. “I am excited about my new role and look forward to contributing and helping Invictus MD reach the next level in its unprecedented journey. “

About Invictus MD Strategies Corp.

Invictus MD Strategies Corp. is focused on two main verticals within the Canadian cannabis sector, namely the Licensed Producers under the ACMPR, being its 100% investment in Acreage Pharms Ltd., located in West-Central Alberta, and 33.3% investment AB Laboratories Inc., located near Hamilton, Ontario. Combined the two licenses expect to have run-rate production capacity of 6,000 kg commencing January 2018.  Invictus MD is currently fully funded to expand operations at its two ACMPR licensees to approximately 150,000 sq. ft., which would net approximately 20,000 kg per annum. In addition to ACMPR licenses the Company has an 82.5% investment in Future Harvest Development Ltd. a Fertilizer and Nutrients manufacturer based in Kelowna, British Columbia.

For more information, please visit www.invictus-md.com.

On Behalf of the Board,
Dan Kriznic
Chairman & CEO

Larry Heinzlmeir
Vice President, Marketing & Communications
604-537-8676

Cautionary Note Regarding Forward-Looking Statements: This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws or forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, assumptions or expectations of future performance, including the potential production capacity of AB Labs, AB Ventures and Acreage Pharms’ production facilities, the granting of regulatory approval and anticipated timing of AB Labs reaching full production capacity, the granting of a sales license under the ACMPR to AB Labs, AB Ventures and Acreage Pharms, the success and timing of AB Labs’ release of additional lots; and the success and timing of Acreage Pharms’ expansion plans, are forward-looking statements and contain forward-looking information. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as “intends” or “anticipates”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “should”, “would” or “occur”. Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this press release, including the assumptions AB Labs, AB Ventures and Acreage Pharms will receive regulatory approval to sell medical cannabis at their production facilities’ full capacity, AB Ventures will be granted a license under the ACMPR, AB Ventures is able to successfully build a production facility and Acreage Pharms is able to successfully complete its expansion plans. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Important factors that may cause actual results to vary, include, without limitation, the risk that AB Labs, AB Ventures and Acreage Pharms will not receive regulatory approval to sell medical cannabis at their production facilities or reach full production capacity, AB Ventures will not be granted a license under the ACMPR, AB Ventures is not able to successfully build a production facility; and Acreage Pharms is not able to successfully complete its expansion plans. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws. We seek safe harbor.

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.

 

As investors and investments increasingly migrate towards cannabis, people should strongly consider Canada.

Cannabis Investors Should Look to Canada

Posted on Categories: Investing, Knowledge Centre, Marijuana investingTags: , , , , ,

The U.S. market for cannabis is booming, holds immense promise for continued expansion but remains saddled with risks. With marijuana illegal under federal law, and the United States’ Attorney General Jeff Sessions continuing to question the wisdom of cannabis legalization — and even hinting at law enforcement crackdowns — investors in U.S. cannabis should be vigilant as they help to build one of the world’s next great industries.

Things are much different in Canada.

While Canada faces challenges covering everything from regulations to supply to manufacturing infrastructure, cannabis entrepreneurs and investors are not proceeding every day with the threat of national or provincial law enforcement professionals hampering business development and investments.

Advantages of Investing in Canadian Cannabis

  1. Lack of regulatory malice. Sure, as Ottawa and provinces hammer out laws and regulations there likely will be hiccups, as well as triumphs. But investors in Canadian marijuana companies do not need to constantly look over their shoulder, wondering if Ottawa will dismantle the cannabis industry. Legal, recreational cannabis is here to stay. In addition, signals from provincial governments so far have been encouraging, and Ottawa’s decision to permit edibles was a big step in the right direction.
  2. Banks are On Board. Cannabis is a multi-billion dollar industry in the United States, and fast-growing — some analysts call it the most rapidly expanding realm of commerce in the United States. Yet banking, the backbone of most industries, is absent. Many transactions are done with cash, and despite this hurdle the marijuana industry in the United States is positively effervescent. Cannabis entrepreneurs and business in Canada, on the other hand, can work with banks. Opening an account and processing credit and debit transactions — taken for granted in every other industry, but not permitted in the United States for cannabis companies — is straightforward in Canada. Lending involves more hurdles, but it is possible and many Canadian cannabis companies have developed strong relationships with bankers. The banking sector is helpful, too, for cannabis investors; simply put, banking involvement is essential for any industry, including cannabis.
  3. Nationwide sales and distribution. Growth in any business requires access to new markets. If you launch a potato chip company in Vancouver and it performs well, you then seek markets across British Columbia. After triumphs across the province, you start pursuing stores in Alberta. Soon, you are chasing fresh opportunities in Ottawa and Quebec and at some point, if your potato chips are awesome and your management team is savvy and hard-working, those chips are available from Whitehorse to Halifax. This growth model applies to nearly every sphere of business and in Canada that includes cannabis. Yes, laws might vary between the provinces, but with the “it’s legal” imprimatur of the Canadian government significant roadblocks are removed. Edibles companies and grows, for example, should be able to sell their products in provinces across Canada. Growth? In the United States growth has been tremendous, despite manifold complications including an inability to ship marijuana products across state lines. In Canada, the most vexing complications have been removed. Growth here could be powered with jet fuel.

Canada Ripe for Marijuana Investors

In sum, people and companies seeking investment opportunities in the flourishing marijuana industry have manifold opportunities, from grows to brands to ancillary businesses. Investors should strongly consider all of the above in Canada, the first nation in North America to legalize marijuana nationwide.

Invictus MD prepares for legalization with expected cannabis ready production of 6,000 kg

Posted on Categories: Investor Relations

Vancouver, BC, October 27, 2017 – INVICTUS MD STRATEGIES CORP. (“Invictus MD” or the “Company”) (TSXV: IMH; OTC: IVITF; FRA: 8IS1), through its interests in two Access to Cannabis for Medical Purposes Regulations (“ACMPR“) license holders, its wholly-owned subsidiary Acreage Pharms Ltd. (“Acreage Pharms”) and its one-third interest in AB Laboratories Inc. (“AB Labs”), expects to have production capacity of 6,000 kg commencing January 2018, several months before Canada expects cannabis to become recreationally legal. Total current production capacity at both locations is approximately 1,500 kg.

License Capacity and Term

Health Canada has removed the previously disclosed production capacity restrictions at both Acreage Pharms and AB Labs. In addition, AB Labs received an extension of its existing ACMPR license for a period of two years and Acreage Pharms’ ACMPR license was extended through to March 2020.

Update on Sales Approval

AB Labs has submitted a request to Health Canada to amend its license to allow for the sale and distribution of medical cannabis (the “Amendment”). Health Canada’s approval of the Amendment is subject to, among other things, a regulatory inspection of AB Labs’ production facility and cannot be guaranteed by the Company. However, management of the Company is confident that AB Labs is compliant with all necessary requirements, that AB Labs’ facility will pass the required inspection and that Health Canada will approve the Amendment and grant AB Labs a sales license in due course.

Acreage Pharms has submitted additional samples to three independent labs licensed by Health Canada and management is confident Acreage Pharms will receive a sales license once the quality assurance team has analyzed the results. This will be a significant milestone for Acreage Pharms and the Company.

Update on Production

AB Labs plans to release over 6 Lots consisting in excess of 75 kg over the next one to three months. The facility is currently at full production and development plans have been submitted for an expansion at the AB Ventures Ltd. 100 acre site in Hamilton, Ontario. The current facility at AB Labs can produce 1,000 kg at full capacity.

Acreage Pharms’ existing facility is also currently at full production and additionally has converted a vegetative room into a flowering room, thereby providing additional production capacity. Total capacity is expected to reach 5,000 kg by January 2018 when Acreage Pharms completes its current 32,000 square foot expansion. Acreage Pharms phase 2 expansion is currently underway with the completion of the concrete foundation and expectation the tilt up slab concrete walls will be installed by end of November.

Management commentary

Dan Kriznic, Chairman & CEO, of Invictus MD, commented “I am very pleased to report that our operational activities are unfolding according to our business plan, and that our strategic efforts to build Canada’s Cannabis Company are coming together. The issuing of the sales and distribution Amendment to Acreage Pharms and AB Labs cultivation license under the ACMPR would constitute a significant value catalyst for our shareholders. I would further comment that the company’s balance sheet remains very strong; it has minimal debt and the approximate $26 million cash in the treasury has been reserved to expand its canopy footprint on its 250 acres of property, making it one of the top producers under the ACMPR. This production is needed to meet the significant demand for high quality, standardized, pesticide free product not only for the existing medical market but also to accommodate the recreational market that will commence mid 2018.”

About Invictus MD Strategies Corp.

Invictus MD Strategies Corp. is focused on two main verticals within the Canadian cannabis sector, namely the Licensed Producers under the ACMPR, Acreage Pharms Ltd. and AB Laboratories Inc.; along with Fertilizer and Nutrients through Future Harvest Development Ltd.

For more information, please visit www.invictus-md.com.

On Behalf of the Board,
Dan Kriznic
Chairman & CEO

Larry Heinzlmeir
Vice President, Marketing & Communications
604-537-8676

Cautionary Note Regarding Forward-Looking Statements: This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws or forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, assumptions or expectations of future performance, including the potential production capacity of AB Labs, AB Ventures and Acreage Pharms’ production facilities, the granting of regulatory approval and anticipated timing of AB Labs reaching full production capacity, the granting of a sales license under the ACMPR to AB Labs, AB Ventures and Acreage Pharms, the success and timing of AB Labs’ release of additional lots; and the success and timing of Acreage Pharms’ expansion plans, are forward-looking statements and contain forward-looking information. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as “intends” or “anticipates”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “should”, “would” or “occur”. Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this press release, including the assumptions AB Labs, AB Ventures and Acreage Pharms will receive regulatory approval to sell medical cannabis at their production facilities’ full capacity, AB Ventures will be granted a license under the ACMPR, AB Ventures is able to successfully build a production facility and Acreage Pharms is able to successfully complete its expansion plans. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Important factors that may cause actual results to vary, include, without limitation, the risk that AB Labs, AB Ventures and Acreage Pharms will not receive regulatory approval to sell medical cannabis at their production facilities or reach full production capacity, AB Ventures will not be granted a license under the ACMPR, AB Ventures is not able to successfully build a production facility; and Acreage Pharms is not able to successfully complete its expansion plans. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws. We seek safe harbor.

 

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.