Rubicon Organics Signs Sales Agreement with Yukon Liquor Corporation
VANCOUVER, British Columbia, April 19, 2021 (GLOBE NEWSWIRE) — Rubicon Organics Inc. (TSXV: ROMJ) (OTCQX: ROMJF) (“Rubicon Organics” or the “Company”), a licensed producer focused on cultivating and selling organic certified and premium cannabis, today announced that it has signed a Cannabis Purchase and Sale Agreement (the “Agreement”) with the Yukon Liquor Corporation for the distribution of its portfolio of cannabis products to consumers in Yukon territory.
The Company has received its first purchase order and is expecting to make its first shipment under the Agreement in April 2021. Simply BareTM Organic super-premium flower will now be available in stores and online in seven provinces and territories, representing more than 90% of the Canadian population.
“Simply BareTM Organic will now be heading due north to our friends and partners in the Yukon territory, expanding Rubicon Organics’ geographic coverage across Canada. As we build on our vision of developing a global premium cannabis brand, each step towards reaching new consumers is very valuable to our organization,” said Jesse McConnell, Chief Executive Officer.
Grant of Restricted Share Units & Options
The Company has granted an aggregate of 2,540,000 restricted share units (“RSUs”) in accordance with the Company’s equity incentive plan to certain executives of the Company as compensation for their services. The vesting conditions of the RSUs are as follows: (i) 350,000 vesting between one and three years from the date of grant; and (ii) 2,190,000 vesting in tranches based on 12-month EBITDA targets.
In addition, the Company also granted 79,000 stock options to certain employees of the Company pursuant to the equity incentive plan. The stock options are exercisable at $3.25 per share for a period of five years from the date of grant.
ABOUT RUBICON ORGANICS INC.
Rubicon Organics Inc. is becoming the global brand leader in organic cannabis products. Through its wholly owned subsidiary Rubicon Holdings Corp, a licensed producer, the Company cultivates, processes and sells organic certified, sustainably produced, super-premium cannabis products from its state-of-the-art hybrid greenhouse located in Delta, BC, Canada. Rubicon Organics is focused on achieving industry leading profitability through a focus on innovation and the development of brands and cannabis 2.0 products, including its flagship super-premium brand Simply BareTM Organic and its super-premium concentrate brand LAB THEORYTM.
Chief Financial Officer
Phone: +1 (437) 929-1964
Email: [email protected]
The TSX Venture Exchange, its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) does not accept responsibility for the adequacy or accuracy of this press release.
Cautionary Statement Regarding Forward Looking Information
This press release contains forward-looking information within the meaning of applicable securities laws. All statements that are not historical facts, including without limitation, statements regarding future estimates, plans, programs, forecasts, projections, objectives, assumptions, expectations or beliefs of future performance, and statements such as the expected first shipment date to the Yukon Liquor Corporation, and the Company’s intention of achieving industry leading profitability are “forward-looking statements”. Forward-looking information can be identified by the use of words such as “will” or variations of such words or statements that certain actions, events or results “will” be taken, occur or be achieved. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward looking statements. The forward-looking information in this press release is based upon certain assumptions that management considers reasonable in the circumstances, including that its capital needs will be as currently projected. Risks and uncertainties associated with forward looking information in this press release include, among others, information or statements concerning the Company’s expectations of financial resources available to fund operations; Rubicon Organics’ limited operating history and lack of historical profits; obtaining the necessary regulatory approvals; that regulatory requirements will be maintained; general business and economic conditions; the Company’s ability to successfully execute its plans and intentions; the Company’s ability to obtain financing at reasonable terms through the sale of equity and/or debt commitments; the Company’s ability to attract and retain skilled staff; market competition; the products and technology offered by the Company’s competitors; that our current relationships with our suppliers, service providers and other third parties will be maintained; and the impact of the current global health crisis caused by the COVID-19 pandemic. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. Although Rubicon Organics has attempted to identify important risk factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other risk factors that cause actions, events or results to differ from those anticipated, estimated or intended. 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 forward-looking statements. Rubicon Organics assumes no obligation to update any forward-looking statement, even if new information becomes available as a result of future events, new information or for any other reason except as required by law.