TORONTO, Jan. 09, 2020 (GLOBE NEWSWIRE) — The Flowr Corporation (TSX.V: FLWR; OTC: FLWPF) (“Flowr” or the “Company”) announced today that it has filed a preliminary short form base shelf prospectus (the “Shelf Prospectus”) with the securities regulators in each province of Canada, except for the Province of Quebec.
“Although we have no immediate plans to raise capital through this Shelf Prospectus filing at this time, we believe it’s prudent to give the Company the flexibility to access capital in the future when opportunities emerge to continue executing on our global growth strategies,” said Vinay Tolia, Chief Executive Officer of The Flowr Corporation. “Despite the recent market volatility, we continue to be bullish on the growth opportunities in our businesses globally in 2020 and beyond. As we stated in our Q3 update, we believe we’ll be cash flow break even in the second half of 2020 with the capital available to us today. Flowr’s management and insider ownership exceeds 50%. Management’s and the Board’s interests are highly aligned with all current and future shareholders of the Company.” The Shelf Prospectus, when made final, will allow the Company to make offerings of common shares, preferred shares, debt securities, subscription receipts, warrants or any combination thereof of up to $175 million during the 25-month period that the Shelf Prospectus is effective. If any securities are offered under the Shelf Prospectus, when made final, the terms of any such securities and the intended use of the net proceeds resulting from such offering would be established at the time of any offering and would be described in a prospectus supplement filed with the applicable Canadian securities regulators at the time of such an offering. The purpose of the Shelf Prospectus is to shorten the timeline to raise funds for growth opportunities and working capital.This press release does not constitute an offer to sell or the solicitation of an offer to buy securities, nor will there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.A copy of the Shelf Prospectus, when made final, can be found on SEDAR at www.sedar.com.Upcoming ConferencesThe Company also announced today that it will participate in two industry conferences in January. Vinay Tolia, Flowr’s Chief Executive Officer, will present on Tuesday, January 14th at 4:30 pm at ICR 2020 in Orlando, Florida. The presentation will be webcast and available on flowr.ca after the event. Lance Emanuel, Flowr’s President, will participate on a panel discussion on Tuesday January 14th at approximately 3:00 pm at the 8th Annual AltaCorp Institutional Investor Conference in Toronto, Canada.The presentations will be available on the Investors section of the Company’s website at flowr.ca/investors/.About The Flowr CorporationThe Flowr Corporation is a Toronto-headquartered cannabis company with operations in Canada, Europe, and Australia. Its Canadian operating campus, located in Kelowna, BC, includes a purpose-built, GMP-designed indoor cultivation facility; an outdoor and greenhouse cultivation site; and a state-of-the-art R&D facility that is currently under construction. From this campus, Flowr produces recreational and medicinal products. Internationally, Flowr intends to service the global medical cannabis market through its subsidiary Holigen, which has a license for cannabis cultivation in Portugal and will operate GMP-designed manufacturing facilities in Portugal and Australia.Flowr aims to support improving outcomes through responsible cannabis use and, as an established expert in cannabis cultivation, strives to be the brand of choice for consumers and patients seeking the highest-quality craftsmanship and product consistency across a portfolio of differentiated cannabis products. For more information, please visit flowr.ca or follow Flowr on Twitter: @FlowrCanada and LinkedIn: The Flowr Corporation.On behalf of The Flowr Corporation:
Vinay Tolia
CEO and DirectorCONTACT INFORMATION:INVESTORS & MEDIA:
Thierry Elmaleh
Head of Capital Markets
(877) 356-9726 ext. 1528
[email protected]Forward-Looking Information and StatementsThis press release contains “forward-looking information” within the meaning of Canadian Securities laws, which may include but is not limited to: the Company’s immediate plans with respect to raising capital; the Company’s ability to access capital in the future when opportunities emerge; the Company continuing to execute on its global growth strategies; the Company’s growth opportunities for its businesses globally in 2020 and beyond; the Company’s expectations regarding becoming cash flow break even, including the timing thereof and contributing factors thereto; Flowr participating in two industry conferences; Flowr servicing the global medical cannabis market and operating GMP-designed manufacturing facilities in Portugal and Australia; Flowr supporting improving outcomes through responsible cannabis use and striving to be the brand of choice for consumers and patients seeking highest-quality craftmanship and product consistency; and Flowr’s business, production and products and Flowr’s plans to provide premium quality cannabis to adult use recreational and medical markets. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “is expected”, “expects”, “scheduled”, “intends”, “contemplates”, “anticipates”, “believes”, “proposes” or variations (including negative and grammatical variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such information and statements are based on the current expectations of Flowr’s management and are based on assumptions and subject to risks and uncertainties. Although Flowr’s management believes that the assumptions underlying such information and statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this press release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting Flowr, including risks relating to: the Company’s being unable to raise additional capital or to access capital in the future when opportunities emerge; the Company being unable to execute its global growth strategies; growth opportunities for the Company’s businesses globally not materializing in 2020 and beyond; the Company being unable to become cash flow break even within the anticipated timeframe or at all; Flowr being unable to service the global medical cannabis market and/or operate GMP-designed manufacturing facilities in Portugal and Australia; Flowr being unable to support improving outcomes through responsible cannabis use and/or striving to be the brand of choice for consumers and patients seeking highest-quality craftmanship and product consistency; the construction and development of Holigen’s and the Company’s cultivation and production facilities; general economic and stock market conditions; adverse industry events; loss of markets; future legislative and regulatory developments in Canada and elsewhere; the cannabis industry in Canada generally; the ability of Flowr to implement its business strategies; Flowr’s inability to produce or sell premium quality cannabis, risks and uncertainties detailed from time to time in Flowr’s filings with the Canadian Securities Administrators; and many other factors beyond the control of Flowr.Although Flowr has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information or statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking information or statement can be guaranteed. Except as required by applicable securities laws, forward-looking information and statements speak only as of the date on which they are made and Flowr undertakes no obligation to publicly update or revise any forward-looking information or statements, whether as a result of new information, future events or otherwise. When considering such forward-looking information and statements, readers should keep in mind the risk factors and other cautionary statements in Flowr’s Annual Information Form dated April 3, 2019 (the “AIF”) and filed with the applicable securities regulatory authorities in Canada. The risk factors and other factors noted in the AIF could cause actual events or results to differ materially from those described in any forward-looking information or statements.Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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