- Production Facility will increase Planet 13's production capacity by 1,300%.
- Expand production capacity will be used for TRENDI, Nevada's top-selling concentrate brand,1Medizin, Planet 13's popular high-end brand, and to establish new product lines.
LAS VEGAS, March 4, 2019 /CNW/ - Planet 13 Holdings Inc. (CSE: PLTH) (OTCQB: PLNHF) ("Planet 13" or the "Company"), a leading vertically-integrated Nevada cannabis company, announced today that it has begun construction of a 14,000 sq. ft. production facility (the "Production Facility"), co-located with the Planet 13 Cannabis Entertainment Complex at 2548 W Desert Inn Rd, Las Vegas (the "SuperStore"). The Production Facility will enable Planet 13 to meet the rapidly growing demand for its TRENDI concentrate and vape lines, which it launched in November. It will also be used to address the overwhelming demand for Planet 13's Medizin line and to launch additional brands and product lines.
The Production Facility will offer an immersive experience to customers, featuring 115 feet of windows where visitors can watch and learn what goes into the creation of individual products.
Interactive kiosks will be available near the production viewing area to teach customers what goes into making their favourite product, offering Planet 13 a powerful branding opportunity.
The highly automated Production Facility will utilize robotics to lower costs and will be capable of processing 600 lbs of plant biomass per day once in full production, a throughput increase of approximately 1,300% from Planet 13's current production facility. The expansion will allow Planet 13 to create new brands and product lines and expand the existing TRENDI and Medizin product lines both for the SuperStore and for wholesale.
"Both our TRENDI and Medizin vapes and concentrates sell-out consistently. This new Production Facility will enable us to keep pace with demand while adding highly attractive gummies, chocolates and beverage lines. With the expanded production capacity, we expect to begin offering our products in dispensaries across the state," said Bob Groesbeck, Co-CEO of Planet 13. "This is just the beginning of our planned expansion. We are consistently adding features to solidify the SuperStore as a must-visit destination in Las Vegas, growing average traffic and ticket, and exploring opportunities to leverage our growing brand awareness into accretive opportunities both within Nevada and in other attractive U.S. markets."
The Production Facility is expected to be completed in Q3 2019. The entire Phase II expansion is expected to cost approximately US$6 million. Construction will be overseen by Stephen Markle, Vice President of Production. Stephen formulated the popular TRENDI line of products and has developed and launched a variety of innovative concentrate and edible products. Stephen has overseen full-scale development and management of both cannabis testing and extraction facilities.
About Planet 13
Planet 13 (www.planet13holdings.com) is a vertically integrated cannabis company based in Nevada, with award-winning cultivation, production and dispensary operations in Las Vegas - the entertainment capital of the world. Planet 13's mission is to build a recognizable global brand known for world-class dispensary operations and a creator of innovative cannabis products. Planet 13's shares trade on the Canadian Stock Exchange (CSE) under the symbol PLTH and OTCQB under the symbol PLNHF.
Cautionary Note Regarding Forward-Looking Information
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. In this news release, forward looking statements relate to, among other things, future expansion plans.
These forward-looking statements are based on reasonable assumptions and estimates of management of the Company at the time such statements were made. Actual future results may differ materially as forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to materially differ from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors, among other things, include: final regulatory and other approvals or consents; fluctuations in general macroeconomic conditions; fluctuations in securities markets; expectations regarding the size of the Nevada cannabis market and changing consumer habits; the ability of the Company to successfully achieve its business objectives; plans for expansion; political and social uncertainties; inability to obtain adequate insurance to cover risks and hazards; and the presence of laws and regulations that may impose restrictions on cultivation, production, distribution and sale of cannabis and cannabis related products in the State of Nevada; and employee relations. Although the forward-looking statements contained in this news release are based upon what management of the Company believes, or believed at the time, to be reasonable assumptions, the Company cannot assure shareholders that actual results will be consistent with such forward-looking statements, as there may be other factors that cause results not to be as anticipated, estimated or intended. Readers should not place undue reliance on the forward-looking statements and information contained in this news release. The Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
The Company is indirectly involved in the manufacture, possession, use, sale and distribution of cannabis in the recreational and medicinal cannabis marketplace in the United States through its subsidiary MMDC. Local state laws where MMDC operates permit such activities however, these activities are currently illegal under United States federal law. Additional information regarding this and other risks and uncertainties relating to the Company's business are contained under the heading "Risk Factors" in the Company's annual information form dated October 18, 2018 filed on its issuer profile on SEDAR at www.sedar.com.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
SOURCE Planet 13 Holdings Inc.
For further information: LodeRock Advisors Inc., Planet 13 Investor Relations, [email protected], 416-283-0178; Robert Groesbeck or Larry Scheffler, Co-Chief Executive Officers, [email protected], 416-283-0178