Tilray Expands Manufacturing Capacity With New Processing License From Health Canada

Newly-acquired Natura Naturals Inc. located in Leamington, Ontario obtains processing license, allowing it to produce a wide range of cannabis form factors for the Canadian market

CANADA: Natura Naturals Inc., a wholly-owned subsidiary of Tilray, Inc. and High Park Holdings Ltd., has received a standard processing license under the Cannabis Act. The Natura greenhouse facility, which previously held a standard cultivation license, will now be able to manufacture a wide range of cannabis form factors from cannabis starting material, including oil, pre-rolls, and novel formats such as topicals and edibles.

Natura, which will operate under High Park Gardens Inc., was acquired by Tilray in February 2019 to serve the adult-use and medical cannabis market in Canada alongside Tilray’s existing operations. The site is a 662,000 square-foot greenhouse facility with 155,000 square-feet licensed for cultivation. The addition of a standard processing license means that High Park Gardens will be able process cannabis raw material cultivated on site – as well as raw material sourced from other cannabis licensees – into a variety of value-add product formats. This development provides Tilray’s facilities additional flexibility in the manufacture of products for the Canadian cannabis market, and in the development of novel products in preparation for legalization of additional cannabis products, including tinctures, concentrates and edibles, in Canada later this year.

High Park Gardens will work closely with Tilray’s existing operations in British Columbia and Ontario: High Park Farms Ltd., a cultivation and processing facility featuring 13 acres of greenhouse space on 100 acres of property in Enniskillen, Ontario; High Park processing facility, a 56,000 square-foot processing and R&D facility in London, Ontario and Tilray Canada Ltd., a cultivation, research and processing facility located in Nanaimo, British Columbia. All sites are actively engaged in the cultivation, manufacture, and sale of cannabis products for the Canadian cannabis market.

“The acquisition of High Park Gardens in February allowed us to significantly increase our production footprint,” says Greg Christopher, EVP Operations, Tilray. “With this additional licensing, we’re pleased to have expanded Tilray and High Park’s capacity to develop and manufacture high-quality branded products for the Canadian market.”

 

AB InBev And Tilray Announce Research Partnership Focused On Non-Alcohol THC And CBD Beverages

New Partnership to Focus on Research that will Guide Responsible Innovation

CANADA: AB InBev, the world’s leading brewer, and Tilray, a global pioneer in cannabis production and distribution, announced a partnership to research non-alcohol beverages containing tetrahydrocannabinol (THC) and cannabidiol (CBD). The partnership is limited to Canada and decisions regarding the commercialization of the beverages will be made in the future.

AB InBev Brands

The research partnership combines AB InBev’s deep experience in beverages with Tilray’s expertise in cannabis products. AB InBev’s participation will be through its subsidiary Labatt Breweries of Canada, one of the country’s founding businesses and its leading brewery, and Tilray’s participation will be through its Canadian adult-use cannabis subsidiary High Park Company, which develops, sells, and distributes a portfolio of socially responsible cannabis brands and products in Canada.  Each company intends to invest up to $50 million USD, for a total of up to $100 million USD.

“Labatt is committed to staying ahead of emerging consumer trends. As consumers in Canada explore THC and CBD-infused products, our innovative drive is matched only by our commitment to the highest standards of product quality and responsible marketing. We intend to develop a deeper understanding of non-alcohol beverages containing THC and CBD that will guide future decisions about potential commercial opportunities,” said Kyle Norrington, President, Labatt Breweries of Canada. “We look forward to learning more about these beverages and this category in the months ahead.”

“We are delighted to be joining forces with a world-leading beverage company, AB InBev, to research how to create enjoyable cannabis beverage products. Tilray and AB InBev share a commitment to responsible product development and marketing, and we look forward to beginning our work on this important partnership as Tilray continues to pioneer the development of a professional, transparent, and well-regulated cannabis industry,” said Brendan Kennedy, CEO of Tilray.

Tilray Invests C$7.5M In Québec-Based Cannabis Producer ROSE Lifescience

High Park enters into sale, supply, distribution and marketing agreement with ROSE as its exclusive partner in Québec

CANADA: Tilray, a global pioneer in cannabis production and distribution, today announced an investment in Québec-based cannabis producer, ROSE LifeScience, and an exclusive sale, supply, distribution and marketing agreement between High Park Farms, a wholly-owned subsidiary of Tilray, and ROSE.

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Tilray will subscribe for 41 Class “A” Common shares (12%) in the capital of ROSE for a subscription amount of C$7.5 million pursuant to a subscription agreement (the “Subscription Agreement”). At the time of closing of this subscription the only issued and outstanding equity of ROSE will be 344 Class “A” Common shares and there will be no outstanding options, warrants or other rights to acquire equity of ROSE.

In connection with the subscription agreement, High Park and ROSE have entered into an exclusive sale, supply, distribution and marketing agreement to deliver High Park adult-use cannabis products in Québec including existing brand, Dubon™, which is exclusively available in Québec through the Société québécoise du cannabis (SQDC). The two companies may also collaborate on additional co-branded adult-use cannabis products or brands exclusively for this market.

The investment in ROSE represents a commitment to increase supply to the Québec market and the opportunity to deliver consumers locally-grown products. ROSE has begun construction of a 54,000 square-foot cannabis cultivation facility on its land in Huntingdon, Québec and has applied for a Health Canada cultivation, processing and sales license. Once fully-licensed, ROSE will be the exclusive supplier of High Park’s adult-use cannabis products in the Québec market.

“Tilray and High Park value our partnership with the SQDC and our shared commitment to creating a responsible and safe legal market for cannabis,” says Adine-Fabiani Carter, Chief Marketing Officer, High Park. “This investment in a Québec-owned and operated organization will enable High Park to better serve this partnership and the adult-use market in Québec.”

Nova Scotia Liquor Taps Tilray For Adult-Use Cannabis Products

CANADA:  Tilray Canada announced that it has been selected by the Nova Scotia Liquor Corporation to receive an initial purchase order for adult-use cannabis. The purchase order would allow Tilray, one of fourteen cannabis producers selected by NSLC, to supply the province of Nova Scotia with a diverse array of cannabis products in anticipation of the launch of the adult-use market on October 17, 2018.

According to the release, Tilray intends to fulfill NSLC purchase orders through its affiliate High Park Holdings Ltd., which was formed to produce and distribute a broad-based portfolio of adult-use cannabis brands and products.
 
High park “We’re thrilled High Park will have the opportunity to supply the province of Nova Scotia with a safe, secure and reliable source of adult-use cannabis products,” said Adine Fabiani-Carter, Chief Marketing Officer at High Park. “Our intention is to deliver on the high expectations Nova Scotians have of us by cultivating and distributing a portfolio of world-class adult-use brands and products that will lead the market in quality, excellence and craftsmanship.”