September 16th, 2019 – SugarBud Craft Growers Corp. (TSXV: SUGR, SUGR.WT) (“SugarBud“) is pleased to announce that it has entered into an agreement with Adastra Labs Holding Ltd. (“Adastra“) to supply dried flower and trim for use in extraction.
Under the terms of the agreement, SugarBud will supply Adastra with a minimum of 900,000 grams of premium dried cannabis flower and trim over a period of nine months beginning March 1st, 2020, subject to licensing and regulatory approvals.
“As an early stage, federally licensed producer of premium cannabis, we are excited to move forward with this partnership with Adastra. We believe that there is strength to be found through collaboration and this initial partnership with Adastra speaks volumes to our commitment to quality and industry confidence in our ability to execute,” said John Kondrosky, CEO of SugarBud.
SugarBud received its cultivation license on August 30th and expects to complete the first harvest in each of its two licensed grow rooms in late Q4 of this year.
Andy Hale, CEO of Adastra stated, “When it comes to extractions, the quality of the input material is paramount. Our partnership with SugarBud will provide us with high-quality cannabis that will be used to create premium extract products. This agreement represents a major milestone for Adastra as we enter the Canadian cannabis industry. We look forward to collaborating with the SugarBud team.”
For further information, please contact:
Andy Hale, CEO
SugarBud is a federally licensed Alberta-based publicly traded cannabis company focused on the cultivation and production of high-quality premium cannabis, and product leadership through the development, production and distribution of value-added cannabis products in Canada.
About Adastra Labs Holdings Ltd.
In Canada, Adastra (through its wholly owned subsidiaries, Adastra Labs Inc. and Chemia Analytics Inc.) is in the application process to become a Standard Processor and Analytical Testing Laboratory under the Cannabis Act administered by Health Canada, with licences to produce cannabis extracts and provide third party analytical testing services. These licences will further enable Adastra and its subsidiaries to produce, package, sell (wholesale), and export medically focused and recreational cannabis extract and concentrate products in Canada to other licensed entities and internationally in jurisdictions where medical cannabis extraction products are legal.
The Company’s operations include a facility in British Columbia, Canada. The Company is developing its 13,035 square feet facility to be fully devoted to standard processing and laboratory testing by late 2019, from which it expects to produce significant amounts of cannabis oil and/or hemp oil for the Canadian wholesale medical and recreational markets.
The Company will offer a suite of unique products under several existing consumer-focused brands, including tinctures, medicinal oils, concentrates, and when legalized, gel capsules and vaporizer pens. Through acquisition of existing cannabis extraction brands and careful development of its new brands, Adastra will be positioned to be a leader in branded, commercialized products in both the medical and adult-use markets across North America and internationally.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION: This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate, among other things, to: Adastra’s expectations concerning an increase in its production capacity. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to general business, economic, competitive, political and social uncertainties. There can be no assurance that forward-looking 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 the forward-looking statements and information contained in this news release. Except as required by law, Adastra assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law. SOURCE: Adastra Labs Holdings Ltd.