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Invictus MD enters into a LOI to acquire Cannabis Testing Laboratory

IVITF

(via Thenewswire.ca)

 

Vancouver, BC / TheNewswire / October 24, 2016 - INVICTUS MD STRATEGIES CORP. ("Invictus MD" or the "Company") (CSE: IMH; OTC: IVITF; FRA: 8IS) is pleased to announce that it has entered into a Letter of Intent for an option to acquire 49% of Zenalytic Laboratories Inc. (“Zen Labs”), a wholly owned subsidiary of the GreenTec Bio-Pharmaceuticals Corporation Group (“GreenTec”), for $300,000 CDN by way of issuance of common shares of Invictus MD based on the VWAP of Invictus MD three (3) days prior to closing the definitive agreement.

 

The terms of the Letter of Intent allows Invictus MD to exercise its option within 45 days after Zen Labs has obtained its Section 56 Class Exemption Dealer’s license (“The License”) from Health Canada under the Narcotic Control Regulations, in which Zen Labs will be licensed and authorized to conduct analytical testing services for dried marijuana, fresh marijuana and cannabis extracts from individuals and Licensed Producers authorized under the Access to Cannabis for Medical Purposes Regulations (“ACMPR”) as well as those authorized within the Marihuana Medical Access Regulations (“MMAR”) that were repealed on March 31, 2014.  Invictus MD will pay a non-refundable deposit of $45,000 to Zen Labs on closing of the option agreement by way of issuance of common shares of Invictus MD based on the VWAP of Invictus MD three (3) days prior to closing the option agreement.  

 

Zen Lab’s Dealers License application #6-939 was confirmed in writing for acceptance on July 27th, 2016 by The Office of Controlled Substances - Controlled Drugs Section Authorizations Division, based on a 1500 square foot laboratory that has already been fully built with an operating business license issued by the City of Kelowna. While awaiting its Section 56 Class Exemption Dealer’s license from Health Canada, Zen Labs is revenue generating as a fully functioning microbial and environmental analytical testing laboratory (more information about Zen Labs’ various testing capabilities can be found on www.zenlabs.ca).

 

The Office of Controlled Substances has confirmed in writing that Zen Labs will receive a decision within 180 days of acceptance. If there are no deficiencies within the application, Zen Labs is expected to be licensed by February 2017.

 

Zen Labs has over $500,000 CAD dollars spent to date on construction and laboratory equipment including (but not limited to):

 
  • -HPLC (High Performance Liquid Chromatography)

    -GC-FID (Gas Chromatography Flame Ionization Detector)

    -GC-MS (Gas Chromatography Mass Spectrometer)

    -ICP-MS (Inductively Coupled Plasma Mass Spectrometer)

    -ICP-OES (Inductively Coupled Plasma Optical Emission Spectrometer)

    -IC (Ion Chromatography)

    -Pathogen and Toxin license (risk group 2 human and animal pathogens)

    -TheraCanSYSTEM Enterprise Relational Process (ERP) ISO 17025(2005) and Safe Quality Food (SQF) compliant Web based software that provides the Laboratory Information Management System (LIMS) required by Health Canada for traceability and auditability of Zen Labs’ sample handling.

    -A secure and encrypted off-site private server to store data and information for auditability by Health Canada and the Zen Labs’ QPICs.

    -A state of the art and compliant security system with a Level 7 vault (currently in construction) designed and installed by Paladin / BMS.

 

Norton Singhavon, President & ICP of Zenalytic Laboraties, commented, “This partnership with Invictus MD will allow Zen Labs and GreenTec to utilize the tremendous amount of contacts and business acumen that the team at Invictus will bring to our group. We feel that this is just the beginning of a partnership and we are extremely excited to partner on future ventures with the Invictus MD team.”

Dan Kriznic, CEO of Invictus MD, commented, “With the recent ACMPR regulations announcing that those individuals authorized under the ACMPR and MMAR are now authorized to send cannabis and cannabis extracts for testing to an approved analytical lab, this ancillary vertical will be a rapidly emerging business as our clients will range from the small at-home grower to the billion-dollar corporate Licensed Producer. This will complement Future Harvest Development (“FHD”) as it will provide many cross relationships for Zen Labs’ clients who are cultivating and extracting cannabis. This will open doors and opportunities to promote FHD’s fertilizers and also enables FHD’s existing clients to have a reputable analytical laboratory confirm that their final product will be low in heavy metals and urea-free. With Zen Labs being located just 8 km from FHD, we will also have access to accurately analyze our fertilizers for metals and microbial content.”

About Zenalytic Laboratories Inc.

Zenalytic Laboratories (www.zenlabs.ca) was formed in May 2015. It is currently a wholly owned subsidiary of the GreenTec Bio-Pharmaceuticals Corporation Group (“GreenTec”), who is an applicant to become a Licensed Producer, under the Access to Cannabis for Medical Purposes Regulations (ACMPR) application #MM-0658. GreenTec has been in Security Clearance since April 19th, 2016 and is expected to clear security clearance and enter Enhanced Review by late 2016 or early 2017.

While waiting for Health Canada to complete its approval process, two of GreenTec’s R/PIC’s Aaron Godin and Professor Michael Deyholos have played vital roles in the formation of Zen Labs and becoming the Quality Person(s) in Charge (QPIC).

Aaron Godin (Q/PIC) has over 10 years of research experience in soil biogeochemistry, studying the microbiological, physical, and chemical factors that mediate nutrient cycling. He has worked as a lab technician at both the Ontario Forest Research Institute and the Summerland Research and Development Centre (formally the Pacific Agri-Food Research Centre).

Aaron has been involved in the medical marijuana industry since 2014, working as a cultivation expert and QA/QC person. He is the lab manager at Zen Labs. Aaron completed his B.Sc. in Biology and Environmental Science at the University of Toronto and his M.Sc. in Biology at the University of British Columbia. Aaron is also currently working with a leading SFE equipment manufacturer Vitalis Extraction Technologies (www.vitalisET.com) to strengthen his quality assurance and control skill-set when working with commercial equipment used to process cannabis; specifically working with the Vitalis 45L SFE CO2 oil extraction machine.

 

Michael Deyholos (A/QPIC) is Professor and Head of Biology at the University of British Columbia, Okanagan campus. Prior to coming to UBCO, he was a Professor in the Department of Biological Sciences at the University of Alberta, where he worked with the genetics of industrial hemp (Cannabis sativa).

 

He holds a Ph.D. in Plant Molecular Biology from McGill University (2000), and completed postdoctoral work at the University of Arizona.

 

About Invictus MD Strategies Corp.

Invictus MD targets companies with proven brands, strong customer focus, and significant growth potential.  We provide not only capital to meet these objectives but also years of management experience from a team that has been successful in all facets of business, from establishing start-ups to running large international organizations.  The fundamental core of our operations centers on the vast opportunities within fragmented industries.  

Invictus MD works in partnership with management teams to increase shareholder value through business planning and process integration, developing and executing growth strategies, leveraging our experience and relationships, and structuring and deploying the proper capital to support long-term growth.  Our prudent approach to both investing in and developing successful companies ensures successful execution of the business plan in both times of economic expansion and contraction.

For more information, please visit www.invictus-md.com.

On Behalf of the Board,

Dan Kriznic

Chairman & CEO

604-368-6437

Cautionary Note Regarding Forward-Looking Statements:  This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws or forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, assumptions or expectations of future performance, including the timing and completion of the proposed spin-out of Future Harvest, are forward-looking statements and contain forward-looking information.  Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as “intends” or “anticipates”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “should”, “would” or “occur”.  Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this press release, including the assumptions that the proposed spin-out of Future Harvest will occur as anticipated, that the Company will obtain all requisite  approvals of the spin-out transaction, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Important factors that may cause actual results to vary, include, without limitation, the risk that the proposed spin-out may not occur as planned; the timing and receipt requisite approvals. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended.  There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.  Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information.  Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial outlook that are incorporated by reference herein, except in accordance with applicable securities laws.  We seek safe harbour.

     

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