VANCOUVER, British Columbia, June 5, 2019 /CNW/ -- Lifestyle Delivery Systems Inc. (CSE: LDS), (OTCQX: LDSYF), (Frankfurt: LD6, WKN: A14XHT) ("LDS" or the "Company") announces that its subsidiary, Agrotech LLC ("Agrotech"), has planted an additional 7,000 plants in addition to the 10,000 seeds already planted at the licensed outdoor cultivation farm near Sacramento, CA.
In April 2019 Agrotech planted 10,000 auto flowering seeds that will be ready for harvest in July. Earlier this week, Agrotech planted an additional 7,000 full term plants which started out as a mixture of clones and teens instead of seeds. The first crop in July will serve as biomass and material to make pre-rolls. The farm expects to have a steady stream of auto flower harvesting every month going forward. These harvests will cover the farm's operating costs and, depending on the cannabis market, may generate profit from the initial harvest alone. The 7,000 full term plants are the main purpose of the farm. The goal with these plants is to provide 20,000 pounds of usable material of various quality and at different price ranges. Harvesting these plants will allow CSPA Group, Inc., the Company's wholly-owned subsidiary, to process material into oil for the Company's flagship product, CannaStripsTM, as well as market outdoor flowers, small buds, pre-roll material, fresh frozen for concentrates, trim for bulk oil, and terpenes for vape products. The above materials can be sold at higher margins, as compared to material purchased from an alternative farm. The Company's dispensary will be breaking ground next week and should be operational in time for the harvested materials being ready for resale, which will further increase the margins, as compared to sales through third-party providers. The outdoor farm completes the circle of vertical integration and allows the Company to provide the California market with every product line at the highest margins possible while still being competitively priced.
Casey Fenwick, President of LDS, stated, "This farm opens new doors to a number of companies LDS' affiliates and subsidiaries can now do business with for added revenue streams. This allows us to control the market pricing due to the fact that plant material is becoming scarcer. It is perfect timing for us to be in this space as we see prices going up for flower and other plant material. We are planning to monitor market trends over the next few months and be strategic about the best use for these materials in order to capitalize on our current position and available resources of raw material."
The Company will continue to update the market on all events as they become relevant.
About Core Isogenics Inc.
Core Isogenics Inc. holds a cultivation license and a nursery license located in Adelanto, California. Core Isogenics is creating isogenic strains for specific cannabis genetic characteristics, which will be consistent in each and every plant eliminating any variation of ingredients and or results for the customer experience. The strains produced will be genetically specific to the requirements of terpenes and cannabinoid profiles, both in variation and elemental structure, allowing for significant reduction of production cost as a result of extracting the exact formula from one plant vs many.
About CSPA Group, Inc.
CSPA Group, Inc. is located in Adelanto, California and is a City-Permitted and State-licensed manufacturer and distributor/transporter in the California cannabis industry. The company manufactures extracted oils and distillates, and produces CannaStripsTM under a license agreement with Lifestyle Delivery Systems Inc. a British Columbia company.
About Lifestyle Delivery Systems Inc.
Lifestyle Delivery Systems Inc. is a technology company that licenses its technology to a state-of-the-art production and packaging facility located in Southern California. The Company's technology produces infused strips (similar to breath strips) that are not only a safer, healthier option to other forms of delivery but also superior bioavailability of cannabis constituents. Some strips will also include supplemental co-active ingredients such as nutraceuticals, vitamins and peptides. The technology provides a new way to accurately meter the dosage and assure the purity of selected product. From start to finish, the production process, based on the Company's technology, tests for quality and composition of all the ingredients used in each and every strip which results in a delivery system that is safe, consistent and effective.
Lifestyle Delivery Systems Inc.
CEO & Director
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Cautionary Disclaimer Statement:
The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. The Company cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among other things: risks and uncertainties relating to the Company's limited operating history and the need to comply with environmental and governmental regulations. 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. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward looking information. Except as required under applicable securities legislation, The Company undertakes no obligation to publicly update or revise forward-looking information.
SOURCE Lifestyle Delivery Systems Inc.