Things are moving along nicely for Sugarbud...
Adastra will process a minimum of 1.2 million grams of premium cannabis flower and trim over a 12 month period, starting June 1, 2020.
N/R: “the Company expects to complete its second harvest in early June 2020.” “the Company expects to ship its first revenue generating commercial batch of premium dried cannabis in early Q2.”
Agro-Greens Natural Products agreement to sell SB products in BC, AB and SK. Revision to timeline estimate to begin shipping to authorized provincial wholesalers and retailers within 75-90 days (July 1-15th) vs Q3 in a previous NR.
Target launches of: Sugarbud branded premium dried flower products July 2020; Pre-roll sales to Agro-Greens Aug 2020; Vape cartridges processed by Heritage Q4-2020.
Sugarbud will be able to supply to 70% of Expected Canadian Market at Maturity: 40% dried flowers, 10% pre-rolled, 20% vape pens.
Retail market size of BC, AB & SK is 660 retail stores
Estimated return on invested capital per room is 2.25 harvests.
Note the regulatory changes that announced May 12th no longer require approvals to build out room in a previously licensed building. No HC approval needed for rooms 1b and 1c
Craft Cannabis launch is June 23, 2020.