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Toronto, Ontario - May 7, 2020 - Avicanna Inc. ("Avicanna" or the "Company") (TSX: AVCN) (OTCQX: AVCNF) (FSE: 0NN), a biopharmaceutical company focused on the development, manufacturing and commercialization of plant-derived cannabinoid-based products, is pleased to announce that, through its cultivation subsidiary Santa Marta Golden Hemp S.A.S. ("SMGH"), it has received the approval from the Colombian government for the industrial export of hemp seeds to the US.
The export, which is expected to be completed in the next two weeks, is the first ever export of cannabis seeds from Colombia and will be accomplished thanks to the support and coordination of the Colombian Institute of Agriculture (the "ICA"), and the Ministries of Agriculture and Justice for Colombia.
"For the Colombian government, under the leadership of the Ministry of Justice and Law and during the COVID-19 sanitary emergency, this is a very important achievement for the medical cannabis industry" said Dumar Cardenas Poveda, Subdirector of Control and Inspection of Narcotic Drugs and Chemical Substances of the Ministry of Justice and Law.
"This is a very important achievement because it can mark the way for an escalation of future exports in this industry. The ICA, considering the framework of Decree 613 of 2017, has given the technical support and reviewed the necessary information to materialize this first exportation. We are opening these new opportunities for this industry, in which there is a significant business expectation" said Deyanira Barrero León, Director General of the Colombian Institute of Agriculture.
"The cannabis industry in Colombia, being a nascent sector, has faced great challenges of establishing its pathways and standardizing its regulatory processes. For this reason, in the particular case of this export, the advice of ICA and the support of the Ministries of Agriculture and Justice have been pivotal factors in allowing us to harvest in the times demanded by the client in the United States." said Lucas Nosiglia, President of Avicanna's Latin American operations.
Mr. Nosiglia explained that rather than a single company milestone, this is an achievement for the whole cannabis industry in Colombia as it also adds a novel and less visited business market opportunity of genetics and seeds to the global markets. Mr. Nosiglia emphasized "This export is the faithful proof that the cannabis sector is in a position to support the socio-economic revival that the country requires in the midst of the COVID-19 pandemic. Medical cannabis attracts foreign investment, generates employment, increases the nation's tax revenues, expands the export matrix and contributes to the development of rural areas."
About Avicanna Inc.
Avicanna is an Ontario, Canada based corporation focused on the development, manufacturing, and commercialization of plant-derived cannabinoid-based products through its two main business segments, cultivation and research and development.
Avicanna's two majority-owned subsidiaries, Sativa Nativa S.A.S. and Santa Marta Golden Hemp S.A.S., both located in Santa Marta, Colombia are the base for Avicanna's cultivation activities. These two companies are licensed to cultivate and process cannabis for the production of cannabis extracts and purified cannabinoids including cannabidiol (CBD) and tetrahydrocannabinol (THC).
Avicanna's research and development business is primarily conducted out of Canada at its headquarters in the Johnson & Johnson Innovation Centre, JLABS @ Toronto. Avicanna's scientific team develops products, and Avicanna has also engaged the services of researchers at the Leslie Dan Faculty of Pharmacy at the University of Toronto for the purpose of optimizing and improving upon its products.
Avicanna's research and development and cultivation activities are focused on the development of its key products, including plant-derived cannabinoid pharmaceuticals, phyto-therapeutics, derma-cosmetics, and Extracts (defined as plant-derived cannabinoid extracts and purified cannabinoids, including distillates and isolates), with a goal of eventually having these products manufactured and distributed through various markets.
SOURCE Avicanna Inc.
For more information about Avicanna, visit www.avicanna.com, call 1-647-243-5283, or contact Setu Purohit, President by email firstname.lastname@example.org.
Cautionary Note Regarding Forward-Looking Information and Statements
This news release contains "forward-looking information" within the meaning of applicable securities laws. Forward-looking information contained in this press release may be identified by the use of words such as, "may", "would", "could", "will", "likely", "expect", "anticipate", "believe, "intend", "plan", "forecast", "project", "estimate", "outlook" and other similar expressions, and includes statements with respect to the ability of SMGH to complete an export of hemp seeds to the US. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management in light of management's experience and perception of trends, current conditions and expected developments, as well as other factors relevant in the circumstances, including assumptions in respect of current and future market conditions, the current and future regulatory environment; and the availability of licenses, approvals and permits.
Although the Company believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because the Company can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements. Forward-looking information is subject to a variety of risks and uncertainties that could cause actual events or results to differ materially from those projected in the forward-looking information. Such risks and uncertainties include, but are not limited to current and future market conditions, including the market price of the common shares of the Company, and the risk factors set out in the Company's annual information form dated April 15, 2020, filed with the Canadian securities regulators and available under the Company's profile on SEDAR at www.sedar.com.
The statements in this press release are made as of the date of this release. The Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
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