Tickers: XCNQ:AREV
Tags: #Healthcare
Vancouver, British Columbia / TheNewswire / May 1, 2019 - AREV Brands International Ltd. ("AREV" or the "Buyer") (CSE - AREV), ispleased to announce it has entered into a Binding LOI with LB Anaheim Street LLC, a company organized under the laws of California, USA ("Anaheim") and LBC Integrated Growers LLC, a company organized under the laws of California, (collectively, the "Companies").
LB Anaheim Street LLC owns a 5,300 square foot facility minutes from the Long Beach Port and holds the highly-coveted Type 7N and shared-use commercial cannabis volatile manufacturing license used for volatile and non-volatile solvent extraction, infusion processing (including edibles, topicals and beverages), packaging and labeling, and a Type S shared use kitchen for producing edibles.
LBC Integrated Growers LLC is a 100 acre cannabis and hemp cultivation AG II zoned property in Santa Barbara County, California. The Type 7N License has a THC canopy size limited to 30,000 square feet per 100 acre parcel. CBD canopy sizes are currently unlimited.
Using BC Bud Depot's advanced genetics, AREV will plant a short-season crop of auto-flowering, high-THC feminized seeds in March of each year. This will yield a flowering crop in a period of eight weeks. A second high-THC crop of elite proprietary genetics will then be planted in May for harvest in September. High-yielding CBD will be harvested from a single annual planting of feminized hemp seeds. The biomass yield will be supplied to the Long Beach location and the entire multi-crop yield is to be pre-purchased by LB Anaheim Street LLC.
Mike Withrow, CEO, stated, "This agreement is a direct result of the tireless work Silvertree has done on behalf of AREV. It is a perfect fit and meets our mandate to enter into partnerships with license-holders who will continue to operate and join the network of licenses in the State of California."
Under the terms of the agreement, As soon as practicable following the parties' satisfaction or waiver of the Conditions to Closing (the "Closing"). The parties will work together in good faith to negotiate and finalize the Acquisition Agreement on or before June 1, 2019. The obligations of the Selling Party and the Buyer under the Transaction documents are conditioned solely upon satisfaction or waiver of the following conditions (collectively, the "Conditions to Closing"): (i) on or prior to the date of Closing the Buyer shall obtain all necessary governmental, regulatory and court consents, permits, licenses, waivers and approvals to operate the businesses; (ii) compliance with pre- closing covenants and continuing accuracy of each Party's representations and warranties in all material respects; (iii) obtaining all consents and approvals of third parties and the Canadian Securities Exchange (the "CSE"); and (iv) on or prior to the date of Closing the Buyer shall provide written confirmation of the completion of a satisfactory due diligence investigation, including, but not limited to, confirmation that the Selling Party owns all right, title and interest in and to the operating assets of the Companies. The purchase price will be based on a fair market report valuation report prepared by RwE Growth Partners to be determined at a later date but before the finalization of the Acquisition Agreement. Such valuation report shall be paid for by the Buyer.
For further information, contact Mike Withrow, mike@AREVBrands.com 778-379-8551.
On behalf of the Board,
Mike Withrow
CEO & Director
About AREV Brands International Ltd.
AREV Brands International Ltd. ("AREV") produces and delivers functional compounds and ingredients from its world-class extraction systems. AREV is revolutionizing the current delivery method of terpenes, cannabinoids and flavonoids. These premium ingredients and formulations are used in products targeted for sale in the natural health, medical, functional food, nutraceutical, sport nutrition and bioceutical markets. AREV innovates through extraction to produce extracts from specific selected plant and exude from trees that address 5 areas of health including Anxiety, Pain Management, Insomnia, Central Nervous System Disorders & Libido.
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATIONS SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in policies of the CSE) accepts responsibility for the adequacy or accuracy of this release. This news release may include forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required under the applicable laws. This press release contains 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. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this press release. Actual results could differ materially from those currently anticipated due to a number of factors and risks various risk factors discussed in the Company's Management's Discussion and Analysis under the Company's profile on www.sedar.com.
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