KELOWNA, BC, Jan. 1, 2018 /CNW/ - Marapharm Ventures Inc. "Marapharm" announces achievements in 2017.
2017 was a year of incredible growth for Marapharm. The corporate head office moved to a new larger location to accommodate its rapidly expanding business activities in Nevada, California, and Washington.
Shareholders expressed confidence in Marapharm and its future by exercising 22,547,420 warrants from January 19, 2017 to September 6, 2017 for proceeds totaling $11,035,252.00.
Directors, consultants, and employees also expressed their confidence in Marapharm by exercising 1,200,000 of their stock options for proceeds of $600,000.00. In addition, Marapharm's President purchased $500,00.00 of warrants and the directors purchased $300,000.00 of warrants totaling $800,000.00 worth of proceeds to Marapharm.
In May of 2017 the Company raised $1,748,480.00 through a USD Convertible Bond offering.
Marapharm provided a unique warrant offering investment opportunity to investors, a warrant offering, with a purchase price of $.010 per warrant, exercisable at $2.90 for a period of three years. There was significant interest in the offering, therefore Marapharm has been closing the offering in tranches. To date 31,219,650 warrants have been subscribed totaling $3,121.965.00. Marapharm has extended the offering to close the final tranche on January 31, 2018.
Market activity was strong in 2017 with increased trading volumes as follows:
Total volume for the 2017 trading year was 177,192,293 shares valued at approximately $200,000,000.00 Canadian.
Marapharm announced September 20, 2017 that it qualified and had been included in the CSE25 Index, a subgroup of the CSE Composite Index, comprised of the largest companies trading on the CSE.
Marapharm announced April 19, 2017 that it was added to the United States Marijuana Index, which tracks the leading cannabis stocks trading on North American stock exchanges. The Index is a measure of the value of a section of the stock market.
In August 2017, Marapharm was invited to apply to move its US trading from the OTCQB up to the OTCQX Best Markets. Final approval was granted on December 26th, 2017 and trading will commence on this premier platform January 2, 2018.
On November 17, 2017, Marapharm was pleased to host an Open House event in Las Vegas at the Marapharm facility in which more than 300 attended to view the nearly-completed cultivation buildings. This gave shareholders and investors an opportunity to walk through the future cultivation centers and discuss with corporate directors the vision for Marapharm moving forward. A sod turning was performed at this event for the commencement of the next building, a 65,000 square foot, three story, cultivation and processing building.
Plans for this building were put out for bid in October of 2017, and Marapharm selected American Builders, located in Carson City, Nevada. Construction will begin immediately.
Cultivation began in two interim buildings with a focus on specific strains including; Kosher Kush, Grape God, Blueberry, Orient Express, Tangilope, Plum Crazy and Tangie. The focus will be to provide a premium quality organic product to the Nevada market.
One of the biggest accomplishments for the year, however, was the acquisition of 5 recreational marijuana licenses through the State Department of Taxation. These include 2 cultivation licenses, one production license, and 2 distribution licenses for a total of close to 300,000 square feet of licensing for recreational marijuana. Each one of these licenses now hold significant value in the current market.
Marapharm exercised the option to purchase 13.6 acres of land and buildings zoned for cannabis cultivation and production. Demolition of the building interior commenced and is now complete. Washington State imposed new energy guidelines during the year which required extensive insulation of the existing cultivation building. This is now complete and re-construction of the interior is scheduled for the new year. Cultivation in Washington will be directed by an award-winning cultivator and will focus on market specific strains.
During the year Marapharm bought and closed on two properties zoned for medical cannabis cultivation and production. These transactions provided the company with 4 medical marijuana licenses; 2 cultivation and 2 processing.
Subsequent to these purchases, Marapharm entered into an agreement to purchase a medical marijuana dispensary. The transaction is scheduled to complete in January, 2018.
The dispensary has received approval for a recreational marijuana dispensary license and is positioned to provide a venue for the taxable transactions required by California State law to apply for recreational licensing for all other licenses held by the Company in the State of California. On completion, this will allow the Company to hold 6 recreational licenses in California.
The Company continues to hold an application submitted to Health Canada for the purposes of cultivating and distributing medical marijuana. Additional information will be provided in regards to Marapharm's staff profile, as well as details outlining the possibility of a new location.
There is a significant growth with the online presence evidenced by a 48% increase in visits to the www.marapharm.com site, as well as 544% new e-mail subscribers which now totals approximately 1500.
Marapharm started its own online TV show which airs daily via www.marapharm.tv. The purpose is to educate the public as to what is happening in the industry from different perspectives such as business, personal, and political while addressing current issues facing the cannabis industry. The website was developed and commenced with daily web updates on April 27th, 2017, adding daily shows on November 21st, 2017. A market report has also been integrated into the site to highlight Marapharm's progress and provide information to shareholders and potential investors. The site has a growing demographic of loyal followers.
Veritas Pharma Inc.
Marapharm holds a total of 6,100,000 common shares of Veritas (a public company trading on: CSE: VRT; OTC: VRTHF; FSE: 2VP) representing approximately 15% in the share capital of the issuer, and assuming the exercise of the company's total 11,500,000 warrants, Marapharm would hold a total of 17,600,000 common shares or approximately 32% of the issued and outstanding common shares of the issuer, Veritas Pharma Inc. Marapharm invested in the company on January 9, 2017, January 11, 2017, and October 19, 2017.
The securities were acquired for investment and synergy purposes.
Pursuant to the Company's Restricted Stock Unit plan "RSU", the shareholders and board voted to approve the issuance of 9,363,494 restricted stock units to directors, officers, consultants and staff for their contributions and vision which has enhanced Marapharm's value for all shareholders and stakeholders. In addition, the board approved the issuance of 2,500,000 stock options from its fixed stock option plan to directors, officers, consultants and staff.
"We've more than met our goals for 2017 and we've set even higher ones for 2018. Our entire team is more than ready for the new year that we believe will be filled with achievement! Based on assumptions that cannabis prices remain as they are and that we build out all the footage allowed for by the licenses we own, the projections are almost half a billion dollars of annual revenue for Marapharm. That is a milestone to reach for! The cannabis industry is exiting!" Linda Sampson, CEO.
ABOUT MARAPHARM VENTURES INC.
Marapharm is a publicly traded company primarily investing in the medical and recreational cannabis space, with corporate operations based in British Columbia, Canada. Since 2016 they have rapidly expanded their footprint to include production locations in the key North American states of Washington, Nevada, and California. They actively seek expansion opportunities worldwide.
Web Program: marapharm.tv
Marapharm trades in Canada, ticker symbol MDM on the CSE, in the United States, ticker symbol MRPHF on the OTCQB, and in Europe, ticker symbol 2Mo on the FSE. Marapharm also trades on other recognized platforms in Europe including Stuttgart, Tradegate, L & S, Quotnx, Dusseldorf, Munich, and Berlin.
Neither the CSE, the FSE nor the OTCQB® has approved nor disapproved the contents of this press release. Neither the CSE, the FSE nor the OTCQB® accepts responsibility for the adequacy or accuracy of this release.
MARIJUANA INDUSTRY INVOLVEMENT:
Canadian listings (CSE) will remain in good standing as long as they provide the disclosure that is rightly required by regulators and complying with applicable licensing requirements and the regulatory framework enacted by the applicable state in which they operate.
Marapharm owns marijuana licenses in California and Nevada. Marijuana is legal in each state however marijuana remains illegal under US federal law and the approach to enforcement of US federal law against marijuana is subject to change.
Shareholders and investors need to be aware that adverse enforcement actions could affect their investments and that Marapharm's ability to access private and public capital could be affected and or could not be available to support continuing operations.
Marapharm's business is conducted in a manner consistent with state law and is in compliance with licensing requirements.
Copies of licenses are posted on Marapharm's website. Marapharm has internal compliance procedures in place and has compliance focused attorneys engaged in jurisdictions to monitor changes in laws for compliance with US federal and state law on an ongoing basis. These law firms inform any necessary changes to our policies and procedures for compliance in Canada and the US.
FORWARD - LOOKING STATEMENTS:
Certain statements contained in this news release constitute forward looking statements. The use of any of the words "anticipate", "continue", "estimate", "expect", 'may", "will", "project", "should", 'believe", and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements are based on reasonable assumption but no assurance can be given that these expectations will prove to be correct and the forward-looking statements included in this news release should not be unduly relied upon.
SOURCE Marapharm Ventures Inc.
For further information: www.marapharm.com or Linda Sampson, CEO, 778-583-4476, email [email protected]