CALGARY, May 27, 2020 /CNW/ - Sugarbud Craft Growers Corp. (TSXV: SUGR, SUGR.WT) ("Sugarbud") is pleased to announce that, together with its partner Agro-Greens Natural Products Ltd. ("Agro-Greens") it has received the first purchase orders for the Company's Craft Cannabis Collection of products from National Cannabis Distribution ("NCD") for sale in the Province of Saskatchewan.
"The launch of our Craft Cannabis Collection in Saskatchewan marks a major commercial milestone for Sugarbud and a big first step on our path towards sustainable revenue and profit generation," stated John Kondrosky, CEO of Sugarbud. "We believe that the market for superior higher potency, terpene-rich cannabis remains underserved and continues to grow as consumers become more informed about the choices they make. Comprised of some of the finest and most exclusive strains, the Sugarbud Craft Cannabis Collection promises to deliver an exceptional experience to even the most discerning of customers", concluded Mr. Kondrosky.
The first products to be launched in the Craft Cannabis Collection will be Sugarbud OG Kush 3.5g Dried Flower and Sugarbud Cheese 0.5g Pre-Rolls. The Company expects to begin shipping these products to NCD on June 23rd, 2020 and they will be available for purchase from authorized Saskatchewan retailers by early July 2020.
Postponement of Filing of Q1 2020 Financials and MD&A Due to COVID-19 Related Delays
As a result of logistical issues and delays caused by COVID-19, the Company will postpone the filing of its Q1 2020 financial statements ("Financial Statements") and accompanying management's discussion and analysis ("MD&A") for the quarter ended March 31, 2020, in reliance on the exemption provided in ASC Blanket Order 51-517 Temporary Exemption from Certain Corporate Finance Requirements (and similar exemptions provided by the other Canadian securities regulators). The Company will file the Financial Statements and MD&A no later than June 12, 2020.
Until the Company has filed the Financials Statements and MD&A, members of the Company's management and other insiders are subject to an insider trading black-out policy that reflects the principles in section 9 of National Policy 11-207 Failure-to-File Cease Trade Orders and Revocations in Multiple Jurisdictions.
There have been no material business developments since the filing of the Company's annual financial statements and accompanying management's discussion and analysis for the year ended December 31, 2019 on May 22, 2020.
Sugarbud is a federally licensed, Alberta-based, consumer driven craft cannabis company; focused on the cultivation and production of superior, select-batch, craft cannabis products. Our vision and mission are to become a trusted and well-respected brand - renowned for providing exceptional high-quality craft cannabis products to legal markets by delighting the most discerning of cannabis consumers.
Forward Looking and Cautionary Statements
This news release contains forward-looking statements. More particularly, and without limitation, this news release contains statements concerning: Sugarbud's assessment of future plans, operations and cannabis cultivation, including the shipment of the first commercial batch of cannabis and the launch its first adult recreational premium dried cannabis products and the timing thereof; the Company's ability to remain operating in accordance with developing public health efforts to contain COVID-19; product quality; the supply agreements and partnerships; the timing of obtaining necessary approvals required to conduct the contemplated business of the supply agreements; and the filing of the Financial Statements and MD&A. When used in this document, the words "will," "anticipate," "believe," "estimate," "expect," "intent," "may," "project," "should," and similar expressions are intended to be among the statements that identify forward-looking statements. The forward-looking statements are founded on the basis of expectations and assumptions made by Sugarbud. Forward-looking statements are subject to a wide range of risks and uncertainties, and although Sugarbud believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will be realized. Any number of important factors could cause actual results to differ materially from those in the forward-looking statements including, but not limited to: currently contemplated expansion and development plans may cease or otherwise change; production of cannabis may be lower than expected, Sugarbud may not obtain the required approvals from Health Canada, including approving an amendment to its dried cannabis sales licence to permit interprovincial sales; demand for Sugarbud's products may be lower than anticipated; results of production and sale activities; results of scientific research; changes in prices and costs of inputs; demand for labour; demand for products; failure of counter-parties to perform contractual obligations; failure to maintain consumer brand recognition and loyalty of customers; reliance on relationships with wholesalers and retailers for distribution of products and failure to maintain strategic business relationships; intense competition, including from illicit sources; uncertainty and continued evolution of markets; product liability litigation; reliance on information technology; infringement on intellectual property; failure to benefit from partnerships; sensitivity of end-customers to increased sales taxes and economic conditions; failure to comply with certain regulations; departure of key management personnel or inability to attract and retain talent; actions and initiatives of federal and provincial governments and changes to government actions, initiatives and policies and the execution and impact thereof; the ability to implement corporate strategies; the state of domestic capital markets; the ability to obtain financing; changes in general market conditions; industry conditions and events; the size of the medical marijuana market and the recreational marijuana market; government regulations, including future legislative and regulatory developments involving medical and recreational marijuana; construction delays; risks inherent in the agricultural business, such as insects, plant diseases and similar agricultural risks which can have a significant impact on the size and quality of the harvest of cannabis crops; competition from other industry participants; and other factors more fully described from time to time in the reports and filings made by Sugarbud with securities regulatory authorities. In addition, the Company cautions that current global uncertainty with respect to the spread of the COVID-19 virus and its effect on the broader global economy may have a significant negative effect on the Company. While the precise impact of the COVID-19 virus on the Company remain unknown, rapid spread of the COVID-19 virus may have a material adverse effect on global economic activity, and can result in volatility and disruption to global supply chains, operations, mobility of people and the financial markets, which could affect interest rates, credit ratings, credit risk, inflation, business, financial conditions, results of operations and other factors relevant to the Company. Please refer to Sugarbud's most recent annual information form and management's discussion and analysis for additional risk factors relating to Sugarbud, which can be accessed under Sugarbud's profile on www.sedar.com. Except as required by applicable laws, Sugarbud does not undertake any obligation to publicly update or revise any forward-looking statements.
Neither the TSXV nor its regulation services provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
SOURCE SugarBud Craft Growers Corp.
For further information: John Kondrosky, Chief Executive Officer, Sugarbud Craft Growers Corp., Phone: (604) 499-7847, E-mail: [email protected]; Investor Relations Contact: Gary Perkins, President, Tekkfund Capital Corp., Tel: (416) 882-0020, E-mail: [email protected], Website: http://www.sugarbud.ca/, Address: Suite 620, 634 - 6th Avenue S.W., Calgary, Alberta T2P 0S4