GATINEAU, Quebec, March 16, 2018 (GLOBE NEWSWIRE) -- The Hydropothecary Corporation (TSXV:THCX) (“Hydropothecary” or the
“Company”) is pleased to announce its agreement with Segra International Corp. (“Segra”) to incorporate plant tissue culture
propagation into the cannabis plant production process. Segra’s expertise and unique tissue culture technique will allow
Hydropothecary to increase its yield of healthy, top-quality plants to serve the growing medical and recreational cannabis markets.
“Working with Segra will allow us to meet one of the biggest challenges as we meet the demand for cannabis products across
Canada and beyond, balancing quality and quantity in our cannabis production,” said Sebastien St-Louis, Hydropothecary’s CEO and
co-founder. “Thanks to Segra’s plant tissue culture technique, we will scale up our production process while maintaining the
industry-leading quality standards that have made us so successful.”
Segra specializes in industrial-scale cannabis micropropagation, also known as plant tissue culture. This process replaces
traditional cloning from mother plants with rapid, sterile production of robust and healthy plantlets. It generates exact copies of
the original plant without the risk of pathogens, fungi, and other issues that can plague other industrial-scale production
processes.
The agreement with Segra will play a crucial role in scaling up Hydropothecary’s cannabis plant production to meet market demand
in the recreational cannabis market across Canada, expected to begin this summer. The Company is on track to complete previously
announced facility expansions increasing annual production capacity to 108,000 kg of dried cannabis, making Hydropothecary one of
Canada’s largest producers.
Working with Hydropothecary’s Master Grower, Agnes Kwasniewska and her team, Segra will set up a laboratory at Hydropothecary’s
facility in Gatineau, Quebec to begin the initialization phase of the plant tissue culture process. Once the system is established,
production will rapidly scale into millions of plantlets per year.
“We are honoured to be working with Hydropothecary,” said Todd McMurray, President and CEO of Segra. “Our companies both have
well-earned reputations for innovation and quality in our respective fields. This agreement is the perfect combination of skills
and expertise to produce great-quality cannabis products for customers.”
About Segra International
Segra is a plant biotechnology company that specializes in industrial-scale cannabis plant micropropagation. The company is
developing industrial-scale cannabis micropropagation laboratories to produce healthy, robust plantlets for licensed cannabis
producers globally. Segra has assembled a world-class team of specialists in the areas of plant tissue culture, agronomy, molecular
genetics, regulatory compliance, and corporate finance. The Segra team includes Dr. Sma Zobayed, Segra’s Director of
Micropropagation. Dr. Zobayed is a world-renowned micropropagation specialist who has successfully micropropagated over 500 species
of plants including cannabis. Dr. Zobayed has successfully developed a protocol for true-to-type cannabis micropropagation
(including 4 – 7 x multiplication of plant stock over a 30-day period). Segra will help its clients improve product quality,
rapidly expand operations, decrease liabilities associated with pest and disease, and increase profits.
About Hydropothecary Corporation
The Hydropothecary Corporation is an authorized licensed producer and distributor of medical cannabis licensed by Health
Canada under the Access to Cannabis for Medical Purposes Regulations. Hydropothecary creates award-winning innovative, easy to use
and easy to understand products. Hydropothecary is rapidly increasing its production capacity in the lead-up to recreational
adult-use cannabis. Expansion plans will result in a total of 1.3 million sq. ft. of production space, producing 108,000 kg of
dried cannabis per year, making Hydropothecary one of the largest producers in the country. With industry-leading cash cost per
gram of $0.89, Hydropothecary is the lowest cost producer in the country. The first licensed producer in Quebec, Hydropothecary is
headquartered in the province.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Media Contact Information
Shawn Lyons
Manager, Media Relations and Strategic Communications
819-576-3637
shawn.lyons@thehydropothecary.com
Investor Relations Contact Information
Jennifer Smith
Manager of Financial Reporting and Investor Relations
1-866-438-THCX (8429)
invest@THCX.com
www.THCX.com
Director
Adam Miron
819-639-5498