- Completed the quarter with a
$6.4 millioncash balance and was able to reduce its capital expenditure budget by $1.5 million.
- Completed construction of 2.1 hectares (226,000 square feet) of greenhouse in Cota Colombia.
- Advanced the evaluation of 20 different varieties of Cannabis seeds with Instituto Colombiano Agropecuario (“ICA”). The Company expects to finalize the evaluation of the first ten seeds by
October 2019and the next ten by December 2019. The Company currently has a total of 50 seeds registered with ICA.
May 2019, entered into a Master Agreement with Greenstein Capital Ltd.(“GCL”), with plans to construct and operate a refinery in Germanyfor cannabis oil derivatives.
May 2019, closed an agreement to purchase 100% of the issued and outstanding shares of Innovative CBD Products B.V.(“ICP”) subsequent to period end for 4,701,240 common shares in Medcolcanna and a 10% royalty granted to the previous owner of ICP. ICP owns various CBD formulations and related intellectual property with respect to the development of cannabis and cannabis by-products as it pertains to Crohn’s disease, insomnia and rectal inflammation.
July 2019, signed a letter of intent with the University Medical Centerof Groningen, to collaborate and conduct research studies concerning the effects of different cannabinoid formulations on human diseases, with clinical trials for 12 formulations having commenced. The 12 formulations include autism, rheumatoid arthritis, osteoarthritis, fibromyalgia, neuropathic pain, endometriosis, menstrual pain, psoriasis, eczema, Crohn’s disease, insomnia and anxiety.
- Advanced Colombian operations and reduced capital expenditure budgets by signing an agreement with Herbolea Biotech S.r.l (“HBT”) for a term of 7 years, with the possibility of extensions. HBT will provide extraction equipment that will allow the Company to process 200 tonnes of dry or wet biomass per year, with a target of 100,000 kg of processed botanical raw material.
Financial Results & Balances
|($CAD dollars)||Six months ended
June 30, 2019
|Cash and cash equivalents||6,379,365|
|Property, plant and equipment||741,487|
|Right-of-use and intangible assets||476,959|
|Cash used in operations||586,416|
|Net loss per share, basic & diluted||0.08|
Mr. de la Vega continues “We continue to work towards our commercial cultivation of cannabis with the expectation of harvesting our first crop in Q4 2019. We were able to position the Company in the European market with the ICP and GCL transactions, as well as with the
Medcolcanna is a Canadian integrated medical cannabis company, whose fully licensed operations are based in
Medcolcanna employs state of the art organic agricultural technology and innovative pharmaceutical processes to produce high-quality products. The Company’s scalable production model and network of pharmaceutical partnerships globally ensures that they remain at the forefront of the medical cannabis industry.
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Medcolcanna Investor Relations Contact:
Carrera 49b # 93-62
Phone: +571 642-9113
Carrera 49b # 93-62
Phone: +571 642-9113
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. 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; and the delay or failure to receive board, shareholder or regulatory approvals for the various transactions referenced herein, to the extent applicable, or failure of the transactions described herein to achieve the expected economic impact for the Company. 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 the forward-looking statements and information contained in this news release.
Medcolcanna 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: Medcolcanna Organics Inc.