Completion of Nevada Lab and Private Placement Offering Announced
VANCOUVER, British Columbia, Jan. 23, 2019 (GLOBE NEWSWIRE) — CROP INFRASTRUCTURE CORP. (CSE: CROP) (OTC: CRXPF) (Frankfurt: 2FR) announced today its 49% owned subsidiary Elite Ventures has now completed its genetics, tissue culturing and micropropagation laboratory at the company’s Nevada THC farm.
The lab will provide 10,000,000 plant starts for the company’s 2,115 acres of CBD farms. By propagating in the lab, the company will save about $3.0 million in seed and planting costs for the 2019 season. In addition, the lab will also develop proprietary genetics to maximize yields and provide the company a production and quality lead with some 100 photocannabinoids, beginning with cannabinol (CBN) and cannabigerol (CBG).
The newly-completed building will get its final inspection next week with the Cannabis Licensing Board for approval for recreational cannabis cultivation, production and commercial kitchen. The building blocks needed for the perimeter security wall have been ordered and are expected to be on site shortly for its construction.
CROP has announced a non-brokered private placement offering to raise up to CDN$2,000,000 by the issuance of up to 6,666,667 units (each, a “Unit”) at a price of $0.30 per Unit. Each Unit will consist of one common share of the Company (each a “Common Share”) and one Common Share purchase warrant (each a “Warrant”). Each Warrant entitles the holder to purchase one additional Common Share at an exercise price of $0.50 for a period of 24 months following the closing of the Offering. Completion of the Offering is subject to regulatory approval.
None of the securities sold in connection with the Offering will be registered under the United States Securities Act of 1933, as amended, and no such securities may be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Crop is publicly listed on the CSE and trades under the symbol “CROP” and in the US under the symbol “CRXPF”. CROP is focused on cannabis branding and real estate assets. The Company’s portfolio of projects includes cultivation properties in California, two in Washington State, a 1,000-acre Nevada Cannabis farm, 2,115 acres of CBD farms, extraction in Nevada and joint ventures on a San Bernardino dispensary app with international focuses in Jamaica and Italy.
CROP has developed a portfolio of assets including Canna Drink, a cannabis infused functional beverage line, US and Italian distribution rights to over 55 cannabis topical products and a portfolio of 16 Cannabis brands. CROP’s infrastructure has over 150,000 sq ft of built canopy and over 2,900 acres of real estate.
Michael Yorke – CEO & Director
Disclaimer For Forward-Looking Information
Certain statements in this press release are forward-looking statements and are not based on historical facts, but rather on current expectations and projections about future events and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. In addition, marijuana remains a Schedule I drug under the United States Controlled Substances Act of 1970. Although Congress has prohibited the US Justice Department from spending federal funds to interfere with the implementation of state medical marijuana laws, this prohibition must be renewed each year to remain in effect. These statements generally can be identified by the use of forward-looking words such as “may”, “should”, “could”, “intend”, “estimate”, “plan”, “anticipate”, “expect”, “believe” or “continue”, or the negative thereof or similar variations. Forward-looking statements in this news release include statements regarding the expected returns from the Nevada Project; the technological effects of Nevada Project; the intention to expand its portfolio; and execute on its business plan. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding the regulatory and legal framework regarding the cannabis industry in general among all levels of government and zoning; risks associated with applicable securities laws and stock exchange rules relating to the cannabis industry; risks associated with maintaining its interests in its various assets; the ability of the Company to finance operations and execute its business plan and other factors beyond the control of the Company. Such forward-looking statements should therefore be construed in light of such factors, and the Company is not under any obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
The CSE has not reviewed, approved or disapproved the content of this press release.