Plans on Entering the Canadian Market in 2018
MIAMI, FL / ACCESSWIRE / September 7, 2017 / Novus Acquisition and Development, Corp. (OTC PINK: NDEV), through its wholly owned
subsidiary WCIG Insurance Services, Inc., is a diversified insurance entity in health, liability, annuity and accident, and, the
nation's first carrier/aggregator offering a cannabis health plan, today announced that it has received approval to conduct
business in the Canadian market.
Novus has attained a Canadian federal charter allowing it to conduct its business model across the entire country, versus having
to incorporate in each province. Novus is currently rolling out its branding and sales initiatives in the provinces of Ontario,
British Columbia, Quebec, Alberta and Saskatchewan. Since the Canadian regulation is federal, inter-province is legal, as opposed
to the U.S. whereby it's intrastate only.
On July 1, 2018 Canadians will be able to purchase marijuana medically and recreationally, and, as always Novus has undertaken
the foresight to be first to market in the medical cannabis sector. According to Deloitte the Canadian market is expected to grow
to a $22.6 billion market by 2020, matching the United States as one of the top markets in the world. Novus believes that the
Canadian marijuana market is advancing ahead of the U.S. in terms of establishing with federal regulation and pharmaceutical
companies focused on discovering and potentially patenting marijuana-based cures.
The number of licensed medical marijuana producers in Canada has jumped by 20% in the second quarter of 2017 as the country
dedicates more resources to processing and cultivator applications to meet its growing demand for cannabis. This increase in
cultivators has positioned the industry to better meet Canada's growing demand for medical marijuana. The number of registered MMJ
patients has tripled in the past year. The Canadian MMJ patient population is growing at a rapid pace, 10% on a month over month
basis (1) (2) (3).
The Canadian health care system is a publicly funded system; similar to Medicare in the United States. Cannabis Medical Plans
are not being openly offered but Canadians can use their health savings accounts to purchase medical cannabis, which can be
deducted off their taxes. There is an opportunity for Novus Med Plans to offer its supplemental MMJ policy coverage.
As we develop actuarial assessments to our Novus benefit packages and believe Canada will experience more demand than supply,
making the pricing higher, there are four notable opportunities that Novus will benefit from:
a) Recreational cannabis has the same benefits as medical, but medical has a greater taxation abatement, resulting in lower cost
to the consumer especially when there is short supply; we estimate that recreational users will become medical users very
quickly.
b) One of the channels of distribution will be the Canadian government, which will increase the number of producer licenses to
be able to meet the demand of the Canadian patients.
c) Dispensaries and retail storefronts will not be proficient enough to meet consumer demand so Novus will focus on delivery
providers to serve the Canadian MMJ patient population.
d) Digital marketing efforts will not be cost prohibitive since American and Canadian Internet protocol overlaps.
In June 2017, Shark Tank's, Kevin O'Leary was interviewed by "The Street" in this video he comments on Canada's strong growth
rate.
https://vid.thestreet.com/p/105/sp/0/playManifest/protocol/https/entryId/0_b3g8hrz9/format/url/flavorParamId/35/video.mp4
Novus's CEO, Frank Labrozzi states, "There are three investment highlights that shareholders should take note of, (1) the
Canadian market and legislation is outpacing the U.S. because Canada has legalized medicinal and recreational marijuana on the
federal level making it easier to market and deliver cannabis medications to a potential 15 million patients, (2) the U.S. market
potential covers 30 million qualified medical patients, and (3) by focusing on these rapidly growing markets Novus, can utilize its
strong balance sheet and expanding roster of strategic partners to capitalize on opportunities and build its business."
Reference 1 http://www.businessinsider.com/deloitte-weed-could-be-226-billion-canada-2016-10
Reference 2
https://www2.deloitte.com/content/dam/Deloitte/ca/Documents/Analytics/ca-en-analytics-DELOITTE%20Recreational%20Marijuana%20POV%20-%20ENGLISH%20FINAL_AODA.pdf
Reference 3 https://www.newcannabisventures.com/category/market-research/
We invite you to review the entire filing here: https://www.otcmarkets.com/stock/NDEV/filings
About Novus
Novus Acquisition & Development Corp. (NDEV), through its subsidiary WCIG Insurance, provides health insurance and related
insurance solutions within the wellness and medical marijuana industries in states where legal programs exist. Novus has developed
its infrastructure within many lines of the insurance business such as, health, property & casualty, life, accident and fixed
annuities.
Novus medical cannabis benefits package will work as outside developers and will not cultivate, handle, transport grow, extract,
dispense, put up for sale, put on the market, vend, deliver, supply, circulate, or trade cannabis or any substances that violate
the United States law or the Controlled Substances Act, nor does it intend to do so in the future and will continue to follow state
and federal laws. The statements made about specific products have not been evaluated by the United States Food and Drug
Administration (FDA) and are not intended to diagnose, treat, cure or prevent disease. All information provided on these press
releases or any information contained on or in any product label or packaging is for informational purposes only and is not
intended as a substitute for advice from your physician or other health care professional. Once a push notification is competed the
transaction is solely between the state-licensed dispensary and the registered patient.
The state laws are in conflict with the federal Controlled Substances Act. The current administration has effectively stated
that it is not an efficient use of resources to direct federal law enforcement agencies to prosecute those lawfully abiding by
state designated laws, allowing the use and distribution of medical marijuana. However, there is no guarantee that the current
administration, nor any future administration, will not change this policy and decide to enforce the federal laws strongly. Any
such change in the federal government's enforcement of current federal laws could cause significant financial changes to Novus
Medical Group. While we do not intend to harvest, distribute or sell cannabis or cannabis related products, we may be harmed by a
change in enforcement by federal or state governments.
- For more information, please visit: http://www.getnovusnow.com - For
NDEV Q2 2017 and 2016 Annual Financial Filings: https://www.otcmarkets.com/stock/NDEV/filings - Learn How Insurance Companies Are
Evaluated: http://bit.ly/2ddIYva
Forward-Looking Statements
This release includes forward-looking statements, which are based on certain assumptions and reflects management's current
expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results
or events to differ materially from current expectations. Some of these factors include: general global economic conditions;
general industry and market conditions and growth rates; uncertainty as to whether our strategies and business plans will yield the
expected benefits; increasing competition; availability and cost of capital; the ability to identify and develop and achieve
commercial success; the level of expenditures necessary to maintain and improve the quality of services; changes in the economy;
changes in laws and regulations, includes codes and standards, intellectual property rights, and tax matters; or other matters not
anticipated; our ability to secure and maintain strategic relationships and distribution agreements. Novus Medical Group disclaims
any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future
events or otherwise.
Contact Information
Corporate: Chairman and CEO Frank Labrozzi frank@ndev.biz 855-228-7355
Investors: Hayden IR hart@haydenir.com 917-658-7878
SOURCE: Novus Acquisition and Development, Corp.