Maple Leaf Green World (TSXV:MGW; OTCQB:MGWFF) has entered into a formal purchase agreement with the owner of a vacant site comprising approximately four acres of land in Henderson, Nev. This new site is twice as large as the old site Maple Leaf was initially seeking to acquire and the purchase price of $875,000 (U.S.) is less than 50 per cent of the asking price for the old site originally targeted by the company and it is only two blocks away from the old site. The increased size of the new site also provides room for future expansion to a larger facility than the 33,500-square-foot building contemplated by the existing cultivation permit held by BioNeva Innovations of Henderson LLC. In addition, management believes the close proximity of this new site to the old site originally used by BioNeva to obtain the permit increases the likelihood that the City of Henderson will approve the transfer of the permit to this new site. The company intends to seek preliminary approval for the permit transfer before closing the land purchase. Once the land purchase is completed and while Maple Leaf is waiting for formal approval of such transfer, Maple Leaf will complete its acquisition of the permit through the purchase of 100 per cent of the shares of BioNeva. The company believes the substantially lower cost of its new site in Henderson, together with the larger area for potential expansion of its planned facility, will more than offset the additional time associated with the transfer of the permit and will also significantly enhance the future profitability of its Nevada operations.
About Maple Leaf Green World
- Canada — The company has applied for an ACMPR (access to cannabis for medical purposes regulations) licence for an 80,000-square-foot greenhouse complex in British Columbia in August, 2014, and is now in stage five (review) with Health Canada.
- California — The company is in a joint venture with a non-profit co-op to cultivate cannabis for its members with 20 acres of land and two greenhouses in production since September, 2016. Maple Leaf is also applying for a cultivation licence in the San Diego area.
- Nevada — The company is in the process of acquiring a cultivation permit for a 33,500-square-foot facility from an existing licensee and has plans for a facility operating in the city of Henderson, 15 miles from Las Vegas.