Leviathan Cannabis Closes Tennessee Acquisition for CBD Manu Leviathan Cannabis Closes Tennessee Acquisition for CBD Manufacturing Operation
Toronto, Ontario--(Newsfile Corp. - July 29, 2019) - Leviathan Cannabis Group Inc. (CSE: EPIC) (the "Company" or "Leviathan") has closed the previously announced acquisition of a 5-acre property with an existing 37,000 square foot building located in Smith County, Tennessee.
The acquisition facilitates the establishment of a new business unit in Smith County, Tennessee to manufacture Cannabidiol ("CBD") isolate and other CBD products from hemp. Leviathan US, Inc., of which the Company owns 75% of the issued shares, controls a conditional hemp processing license from the Tennessee Department of Agriculture, subject ONLY to various ordinary-course operational permits being issued during the process leading to commercial launch, which is expected to culminate on or before November 15, 2019.
The Company projects that the cost of the first phase, including the purchase of the property, building retrofitting, and extraction equipment, will total approximately US$3 million. Leviathan US has already taken possession of the property and has commenced retrofitting the building for hemp processing operations.
Upon completion of the first phase of its development plans for the property, Leviathan US will be able to produce 1,000 kilograms of high-grade CBD isolate per month.
The building, as well as the property as a whole, offer significant expansion capacity beyond the first phase. The Company envisages increasing the CBD isolate production capacity to 3,000 kilograms of high-grade CBD isolate per month and adding other hemp-derived product lines by 2021.
Smith County is located in scenic Middle Tennessee with proximity to Nashville, Knoxville and Chattanooga.
About Leviathan Cannabis
The hemp processing facility in Tennessee is the latest addition to Leviathan's portfolio and is in accordance with the Company's corporate objectives.
Leviathan plans on executing a series of strategic acquisitions that extend across all vertical markets in Canada and internationally, to support the Company's proprietary brand strategy. This global reach positions the Company to be a leading multi-jurisdictional medical and recreational cannabis enterprise - one that brings together the best cannabis products, brands and expertise from Canada and around the world. The Leviathan portfolio currently comprises Jekyll+Hyde Brand Builders Inc., a marketing services agency specializing in the cannabis sector, and Woodstock Biomed Inc., a late-stage applicant under the ACMPR, which is planning to retrofit a substantial greenhouse production facility in Pelham, Ontario, subject to the interim control by-law imposed by the Town of Pelham.
www.LeviathanCannabis.com
For more information, contact Martin J. Doane, CEO, Leviathan Cannabis Group Inc. at 416.903.6691 or Jayne Beckwith, Chief Communications Officer, Leviathan Cannabis Group Inc. at 416. 806.0591.