Bullboard - Stock Discussion Forum Chemesis International Inc CADMF

"Chemesis International Inc. is a vertically integrated global leader in the cannabis industry, currently operating within California, Puerto Rico, and Colombia. Chemesis is developing a strong foothold in key markets, from cultivation to manufacturing, distribution and retail. Chemesis has facilities in both Puerto Rico and California, allowing for cost-effective production and distribution of... see more

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Chemesis International Inc > Enters into Binding Agreement to Acquire 100% of an Arizona

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Post by HH1977 on Apr 15, 2019 4:19am

Enters into Binding Agreement to Acquire 100% of an Arizona

https://stockhouse.com/companies/news?symbol=c.csi

VANCOUVER, British Columbia, April 15, 2019 (GLOBE NEWSWIRE) -- Chemesis International Inc. (CSE: CSI) (OTC: CADMF) (FRA: CWAA) (the “Company” or “Chemesis”), announces it has entered into a Binding agreement to acquire a fully operational cannabis manufacturing facility in Arizona (“Facility”), establishing the Company as a Multi-State Operator. During its operations in calendar Q1 2019, the Facility earned revenues of approximately USD $1,000,000.

The Facility is 5,000 square feet and is a turn key solution that comes with a team of operators in place. The Facility currently produces finished goods products, such as hard and soft-capsules, cartridges, lotions, tinctures, and other liquid formulations. Additionally, the Facility focuses on producing products that are 100% Cannabidiol (CBD).

The Company has continued to focus on its ability to enter the CBD market by adding manufacturing capabilities in California and now in Arizona. The CBD market potential across the United States continues to grow and Chemesis is positioning itself to quickly gain market share in an industry that is expected to exceed $2.1 billion by 2020¹. The Facility will leverage the 2018 U.S. Farm Bill to further capitalize on the expected increased demand for CBD.

“The Facility in Arizona gives Chemesis a turn key solution that brings strong bottom line revenues and a team of operators that will help the Company expand its multi-state operations,” said CEO of Chemesis, Edgar Montero. “Chemesis plans to explore expansion opportunities into additional states as the cannabis industry continues to see further validation. The acquisition brings a team of individuals that brings a wealth of experience that we believe will allow Chemesis to gain market share.”

Under the terms of this acquisition, Chemesis will issue 250,000 shares at a deemed price of CDN $2.11.

The Company expects to close its previously announced acquisition of the California fully licensed cannabis extraction and manufacturing facility within the next ten days.