Vancouver, British Columbia--(Newsfile Corp. - June 30, 2016) - Alliance Growers Corp. (CSE: ACG) ("Alliance
Growers" or the "Company") is pleased to announce it has signed a Letter of Intent with WFS Pharmagreen Inc.
("Pharmagreen") where it has previously been agreed that Pharmagreen will provide information about its business and its wholly
owned subsidiary, Canna Companion Products Inc. ("Canna"). Alliance Growers proposes to work with and investigate possible joint
business interests and opportunities with Pharmagreen and Canna, including a potential full merger of Pharmagreen and Alliance
Growers, subject to extensive due diligence and analysis.
Commenting on the acquisition, Dennis Petke, Alliance Growers President and CEO said, "We are absolutely thrilled to have
entered into an LOI with Pharmagreen. This presents an opportunity for Alliance Growers to rapidly build out our "Four Pillars"
Business Divisions ahead of schedule. This will definitely provide almost immediate value for Alliance Growers shareholders."
The initial step is a proposal to obtain an exclusive license from Pharmagreen for the marketing, distribution and sales of all
present and future Tissue Culture plantlet products utilizing the proprietary "Chibafreen Invitro Plant Production System" for the
jurisdiction of Canada, for a fee of CAD$400,000. Consistent quality for mass production for the agriculture and marijuana industry
stems from disease-free, genetically identical, healthy starting plant material that can only be truly achieved through Chibafreen
Invitro technology.
The execution of the formal license agreement shall be on or before the closing of the Financing referred to below. Additionally
both parties agree to possible further development of a "Full Spectrum DNA Botany Lab", which would be the only such lab facility
in Western Canada. A unique blend of clean room lab facilities including a botanical oils extraction lab would be built under the
heading of "Botany Center". Licensing opportunities for the "Botany Center" for the UK and European Union are subject to further
negotiations and terms.
Peter Wojcik, CEO of Pharmagreen, stated, "We are very happy to be working with the Alliance Growers' team. They are a very
professional group that will complement our organization and they share our vision of where the industry is going and how to best
to capitalize on this vision. When we received the endorsement of Tommy Chong, he said "The decision to work with Pharmagreen was
simple, they are the best at what they do and they care about people and animals". This strategic partnership with Alliance Gowers
adds tremendous value to our business going forward."
Subject to regulatory approval, Alliance Growers will use its best efforts to raise a minimum of CAD$400,000 to a maximum of
CAD$500,000 on or before August 31, 2016 by way of a private placement offering of common shares (the "Financing") to pay the
license fee and continue its due diligence in Pharmagreen and its subsidiaries.
About Alliance Growers
Alliance Growers Corp (CSE: ACG) is a diversified cannabis company driven by the Company's 'Four Pillars' Organization Plan -
MMPR cannabis production facilities, distribution network, consumer products, and research and development. For further information
please visit the Company's corporate website at www.alliancegrowers.com or the
Company's profile at www.sedar.com.
If you would like to be added to Alliance Grower's news distribution list, please send your email address to newsletter@alliancegrowers.com
About Pharmagreen
WFS Pharmagreen Inc. is a private company located in Mission, B.C. that is in the business of manufacturing and marketing
cannabis-hemp based products for animals and owns the exclusive international rights to all present and future Canna Companion
formulations and products. The Company's executive management team and its advisory committee are composed of a significant mix of
professionals that have been carefully gleaned from the fields of private and public company management; veterinary science; human
medical science; marketing, branding and business development capped with unparalleled academic and celebrity endorsement. The
Company also has a wholly owned subsidiary Canna Companion Products, Inc based in Washington State and operates a 5,000 sq. ft.
product production and fulfillment center in Monroe Washington in support of its sales of the Canna Companion products. The
Company's celebrity endorsement is with world renowned Grammy award winning cannabis culture icon, Mr. Tommy Chong, of Cheech &
Chong fame, who has never previously been involved with any public company.
On behalf of the board of directors of
ALLIANCE GROWERS CORP.
"Dennis Petke"
Dennis Petke,
CEO
For more information contact:
Dennis Petke
CEO
Tel: 778-331-4266
DennisPetke@alliancegrowers.com
Rob Grace
VP Corporate Development
Tel: 778-998-5431
RobGrace@alliancegrowers.com
FORWARD LOOKING INFORMATION
This news release contains forward-looking statements and forward-looking information within the meaning of applicable
securities laws. These statements relate to future events or future performance. All statements other than statements of historical
fact may be forward-looking statements or information. More particularly and without limitation, the news release contains
forward-looking statements and information relating to the use of proceeds of the Financing, as well as the Company's corporate
strategy. The forward-looking statements and information are based on certain key expectations and assumptions made by management
of the Company, including, without limitation, the Company's ability to carry out its business plan following the issuance of the
required licenses by Health Canada. Although management of the Company believes that the expectations and assumptions on which such
forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking
statements and information since no assurance can be given that they will prove to be correct.
Forward-looking statements and information are provided for the purpose of providing information about the current expectations
and plans of management of the Company relating to the future. Readers are cautioned that reliance on such statements and
information may not be appropriate for other purposes, such as making investment decisions. Since forward-looking statements and
information address future events and conditions, by their very nature they involve risks and uncertainties. Actual results could
differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the
Company's ability to identify and complete additional suitable acquisitions to further the Company's growth as well as risks
associated with the medical marijuana industry in general, such as operational risks in development and production delays or
changes in plans with respect to development projects or capital expenditures; the uncertainty of the capital markets; the
uncertainty of receiving the required licenses, production, costs and expenses; health, safety and environmental risks; marketing
and transportation; loss of markets; environmental risks; competition; incorrect assessment of the value of the potential market;
ability to access sufficient capital from internal and external sources; failure to obtain required regulatory and other approvals
and changes in legislation, including but not limited to tax laws and regulated regulations. Accordingly, readers should not place
undue reliance on the forward-looking statements, timelines and information contained in this news release. Readers are cautioned
that the foregoing list of factors is not exhaustive.
The forward-looking statements and information contained in this news release are made as of the date hereof and no undertaking
is given to update publicly or revise any forward-looking statements or information, whether as a result of new information, future
events or otherwise, unless so required by applicable securities laws or the Canadian Securities Exchange. The forward-looking
statements or information contained in this news release are expressly qualified by this cautionary statement.
