OTTAWA, ONTARIO--(Marketwired - Jul 10, 2017) - CannaRoyalty Corp.
(CSE:CRZ)(CSE:CRZ.CN)(CNSX:CRZ)(OTCQX:CNNRF) ("CannaRoyalty" or the "Company"), a
fully integrated, active investor and operator in the legal cannabis industry is pleased to announce that its newly formed CR
Advisory Services Inc. ("CR Advisory") division has secured its first engagement with one of its investee
companies Alternative Medical Enterprises, LLC ("AltMed").
Following the successful launch of its CR Brands division, and in order to support its recently announced joint venture with
Sprott Inc. ("Sprott"), CR Advisory has been established to provide consulting and advisory services to the
global cannabis industry.
Marc Lustig, CEO of CannaRoyalty stated, "The challenges faced by cannabis companies in this nascent and highly-regulated
industry are considerable, and CR Advisory provides these companies with the expertise required to realize significant and
sustainable growth, and also achieve critical strategic corporate milestones. CannaRoyalty's business relationship with AltMed is
an excellent example of the strong relationships we have fostered with our investees through a multitude of platforms to assist
in developing them into industry leaders, while generating significant returns for CannaRoyalty shareholders."
CR Advisory will be providing a full suite of advisory services within the areas of corporate finance, capital markets,
compliance and regulation, accounting, operations, as well as retail and sales strategy. In addition, marketing and branding
services will be provided through CannaRoyalty's wholly-owned marketing and design agency, Electric Medialand. CR Advisory will
initially be providing these services to its current investees, such as AltMed. Following the launch of its joint venture with
Sprott, CR Advisory will also focus on providing strategic support in sourcing and driving the growth of joint venture funded
companies. CR Advisory may look to ultimately provide its services to non-investee companies operating within the global cannabis
industry.
Advisory Services Agreement with AltMed
Terms of the CR Advisory engagement with AltMed include an upfront work fee of US$150,000, plus a success fee on corporate
transactions undertaken by AltMed during the consulting services agreement (the "Agreement") or within six
months after termination of the Agreement. CannaRoyalty currently holds a 8.2% equity stake in AltMed, a 3.5% revenue royalty
extending to December 31, 2025 on a number of its MüV products, as well as the right to license MüV products in Canada, Puerto
Rico and certain US states. This engagement expands CannaRoyalty's financial exposure to AltMed, while also providing
CannaRoyalty with an improved ability to support and accelerate AltMed's growth, through CR Advisory. For more information on
AltMed, go to www.altmed.co.
"We are pleased to have the support and guidance of CannaRoyalty through its CR Advisory division as we prepare to launch a
significant corporate transaction for AltMed," said Mike Smullen, CEO of Altmed. "We have enjoyed a strong working relationship
with CannaRoyalty over the life of our company and are confident we will successfully advance our expansion and development with
their help."
Stoic Advisory
CannaRoyalty is also pleased to announce that it has engaged the services of Stoic Advisory Inc. ("Stoic") to
assist CR Advisory and with other CannaRoyalty initiatives. Stoic was founded in 2016 by cannabis industry expert Aaron Salz, and
has quickly become a highly reputable consulting firm focused on providing strategic corporate finance advisory services and
transactional support to companies within the global cannabis industry. As consideration for these services, Stoic has been
issued CannaRoyalty common shares effective the date hereof, which are subject to customary hold periods.
About CannaRoyalty
CannaRoyalty is a fully integrated, active investor and operator in the legal cannabis sector. Our focus is building and
supporting a diversified portfolio of growth-ready assets in high-value segments of the cannabis sector, including research,
consumer brands, devices and intellectual property. Our management team combines a hands-on understanding of the cannabis
industry with seasoned financial know-how, assembling a platform of holdings via royalty agreements, equity interests, secured
convertible debt, licensing agreements and its own branded portfolio.
Forward Looking Statements
Statements in this news release that are forward-looking statements are subject to various risks and uncertainties
concerning the specific factors disclosed here and elsewhere in CannaRoyalty's periodic filings with Canadian securities
regulators. When used in this news release, words such as "will, could, plan, estimate, expect, intend, may, potential, believe,
should," and similar expressions, are forward- looking statements.
Forward-looking statements may include, without limitation, statements including the Company's expectations with respect
to pursuing new opportunities and its future growth and other statements of fact.
Although CannaRoyalty has attempted to identify important factors that could cause actual results, performance or
achievements to differ materially from those contained in the forward-looking statements, there can be other factors that cause
results, performance or achievements not to be as anticipated, estimated or intended, including, but not limited to: dependence
on obtaining regulatory approvals; investing in target companies or projects which have limited or no operating history and are
engaged in activities currently considered illegal under US Federal Laws; changes in laws; limited operating history; reliance on
management; requirements for additional financing; competition; hindering market growth and state adoption due to inconsistent
public opinion and perception of the medical-use and adult-use marijuana industry and; regulatory or political change.
There can be no assurance that such information will prove to be accurate or that management's expectations or estimates
of future developments, circumstances or results will materialize. As a result of these risks and uncertainties, the results or
events predicted in these forward-looking statements may differ materially from actual results or events.
Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this
news release are made as of the date of this release. CannaRoyalty disclaims any intention or obligation to update or revise such
information, except as required by applicable law, and CannaRoyalty does not assume any liability for disclosure relating to any
other company mentioned herein.