Indiva Announces Plans to Open a Cannabis Retail Outlet at its London Facility and Provides Update on Previously Announced Plans to Open Cannabis Retail Outlets across Ontario
On September 26, 2018, the government of Ontario announced that licensed producers under the Cannabis Act will be permitted to open a retail sale location at a production facility, and that it may limit the ownership interests licensed producers may hold in other Ontario cannabis retail businesses (the “Retail Announcement”). Regulations on this matter are expected to be released by the Ontario government in the next few weeks, with the government indicating that the Ontario retail model will be implemented on April 1, 2019.
In connection with the Retail Announcement, Indiva is pleased to announce that it will open a retail outlet at its licensed production facility in London, Ontario, subject to applicable regulatory approvals. Indiva believes that its retail operations will benefit from being situated: (i) less than 1 kilometre from the 401 Highway; (ii) within 750 metres of 9 hotels, which, together, have more than 1,000 rooms; and (iii) near a number of other non-cannabis shopping outlets, all of which Indiva believes will generate traffic and awareness. Additionally, Indiva remains the only operating licensed cannabis producer in London, Ontario, with deep roots in the area and a head start building local media awareness.
“We believe our location is well-situated in London, and we will be ready to open the Indiva retail store on April 1, 2019. We eagerly anticipate serving the London community and surrounding area as well as Ontarians and visitors who wish to visit the Indiva store and have a first-class retail experience,” said Niel Marotta, CEO of Indiva. “We believe the Indiva store will be one of the first retail cannabis outlets to open in London.”
Prior to the Retail Announcement, Indiva was actively seeking to secure leases for retail cannabis locations in major urban centres in Ontario. Indiva has secured leases or offers to lease in Ottawa (in the Glebe, Elgin and Westboro neighbourhoods), in Toronto (in the Queen West, Beaches, Bayview and Eglinton, Dundas and Bathurst, and Kensington Market neighbourhoods) and in Guelph (collectively, the “Leases”). Indiva expects that the Leases will be transferred to a newly created corporation (“DispensaryCo”), of which Indiva will maintain a minor equity interest, subject to applicable regulatory approvals. It is expected that DispensaryCo will be financed and managed independently of Indiva.
INDIVA’s wholly owned subsidiary is a Licensed Producer under Canada’s Access to Cannabis for Medical Purposes Regulation (“ACMPR”).
INDIVA’s mission is to offer cannabis products that have a positive impact, improving lives and communities.
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Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words “could”, “intend”, “expect”, “believe”, “will”, “projected”, “estimated” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the parties’ current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this release contains forward-looking information relating to future retail operations, expansion of such retail operations, changes to laws and regulations in Canada and internationally, and compliance with applicable laws and regulations. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to Indiva. The material factors and assumptions include Indiva being able to obtain necessary corporate, regulatory and other third party approvals. The forward looking information contained in this release is made as of the date hereof and the parties are not obligated to update or revise any forward looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward looking information. The foregoing statements expressly qualify any forward-looking information contained herein.
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For further information: Contact Information re DispensaryCo and Indiva: Koby Smutylo, COO, Indiva, Phone: 613-869-5440, Email: email@example.com; Contact Information re Indiva: Niel Marotta, CEO, Indiva, Phone: 613-883-8541, Email: firstname.lastname@example.org; Steve Low, Investor Relations, Phone: 647-620-5101, Email: email@example.com