NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES
July 3, 2018 – Vancouver, B.C. – The Yield Growth Corp. (Yield Growth) is now open for investment and has announced the terms of its Offering Memorandum. Yield Growth is raising up to $5 million through its Offering Memorandum and the investment opportunity is available to all investors, not just those that are accredited.
The terms of the Offering Memorandum are as follows:
Price: $0.50 per unit
Units: One special warrant that automatically converts to a common share on receipt of final prospectus and one warrant exercisable for one share at $1.00 for 24 months (please see the Offering Memorandum for a full description of the terms)
Amount: Up to $5,000,000
Closing Date: July 20, 2018
The Yield Growth Corp. is a cannabis asset growth company focused on the license, sale and distribution of products in the cannabis industry. Yield Growth develops products and technologies to license by territory. Our wholly-owned subsidiary Juve Wellness’ cosmetic and therapeutic products are proprietary formulations made from essential oils, all of which have been designed to be infused with Cannabidiol (CBD) or Tetrahydrocannabinol (THC).
Juve Wellness has developed a modern wellness line inspired by Ayurveda, an ancient and effective medical system that uses plant-based ingredients for healing and wellness. Juve has registered 25 of its products with Health Canada and has submitted 10 provisional patent applications in the United States for its formulas and extraction process. Juve plans to launch its products for Canadian retail distribution in early 2019. The line includes over 50 cosmetic and therapeutic products based on proprietary and completely organic formulations, which have been designed to be infused with CBD and THC. Cosmetic products include face and body products customized according to specific body biology, including daily ritual oils, moisturizers, face mists, bath salts and face masks. Therapeutic products include sunscreen, anti-aging serum, topical formulations for treatment of inflammation and chronic pain, sports spray, teas, capsules, sexual lubricant, massage oils, lip balm and deodorant.
Juve has based its product line on cannabis’ strength as a remedy and effective medicine for pain, digestive disorders, dysentery, sexual prowess and many other medical uses known among the ancient Ayurvedic medicinal traditions.
Expect Juve products to be sold on store shelves across several different markets, not just in Canada, in the near future. Juve recently signed a $1 million license to distribute its products in Italy and the US, bringing its license sales to $4.8 million so far this year.
According to a study by Arcview Market Research and its research partner BDS Analytics, by 2027, worldwide sales of legal cannabis are forecast to reach $57 billion1. During that period, spending in North America is expected to leap from $9.2 billion to $47.3 billion, driven mainly by recreational use. The fastest cannabis market growth is expected to come from outside North America, especially Europe, where the main growth driver will be medical applications. Medical cannabis use will be fueled by an estimated $1.3 trillion annual government-subsidized healthcare spend. The structure of the healthcare industry is expected to make Europe the number one medical cannabis market in the world.
Yield Growth highlights to date include:
- Over 50 proprietary formulations for wellness products made with hemp root oil or designed to be infused with cannabis
- Registrations for 25 products with Health Canada
- Agreements signed to receive $4.8 million in licensing fees for technology and consumer products in 2018, and $200,000 in product pre-sales
- 10 patent applications filed in the U.S
- $1.8 million in revenues in Q1 2018
In addition to wellness products, Yield Growth provides managerial and technical advisory services to its licensees and affiliates.
Private placements can provide opportunity for investors in different forms. For high net-worth investors, these placements are a means to build a large position at a fixed cost. For value-conscious investors, these offerings deliver a bonus - warrants that can be converted into common shares in the future. Such financings are also an opportunity for all investors to “get in early”.
COMPARABLE COMPANIES2
Aphria Inc. (TSX: APH) (OTC: APHQF)
Aphria is one of Canada’s lowest cost licensed cannabis producers, specializing in the production, supply, and sale of medical cannabis. The company offers sativa, indica, and hybrid medical marijuana products, as well as cannabis oils. It also provides support services in the form of medical consultations, group therapies, and rehabilitation to veteran and first responders. The company sells its products through its online store or phones, as well as engages in the wholesale shipping of medical marijuana plant cuttings and dried buds to other licensed producers. Aphria Inc. is headquartered in Leamington, Canada.
Canopy Growth Inc. (TSX: WEED) (OTC: TWMJF)
Owners of the Tweed brand of cannabis products, Canopy Growth is a multi-licensed, geographically diverse marijuana producer, described as “one of the world’s — and Canada’s first — premier exporters of marijuana” by the Financial Post in 2016. Canopy is the parent company of licensed cannabis producers, Tweed Inc., Tweed Farms Inc., Bedrocan Canada Inc., as well as newly acquired Mettrum Health Corp. Canopy currently has a combined growing platform of over 665,000 sq. ft. of production space. It was also the first federally regulated, publicly traded cannabis producer in North America, and the first billion-dollar cannabis corporation. Canopy Growth was founded in 2014, and is based in Smith Falls, Ontario.
The Supreme Cannabis Company, Inc. (TSX.V: FIRE) (OTC: SPRWF)
Supreme Cannabis is a Canadian publicly traded company committed to becoming a leading cultivator and distributor of sun grown cannabis through its wholly-owned subsidiary 7ACRES. 7ACRES is a federally licensed producer of medical cannabis pursuant to the ACMPR operating inside a 342,000 sq. ft. Hybrid Facility. The Supreme Cannabis Company, Inc. was incorporated in 1979 and is headquartered in Toronto, Canada.
Village Farms International, Inc. (TSX: VFF) (OTC: VFFIF)
Village Farms International, Inc., together with its subsidiaries, produces, markets, and distributes greenhouse-grown tomatoes, bell peppers, and cucumbers in North America. Village Farms International, Inc. markets and distributes its products under the Village Farms brand name to retail supermarkets and fresh food distribution companies, as well as produced under exclusive arrangements with other greenhouse producers. Village Farms International, Inc. was founded in 1989 and is headquartered in Delta, Canada.
About The Yield Growth Corp.
The Yield Growth Corp. is a wellness asset growth company cultivating high value companies, brands and assets centered around the legal cannabis industry and its key players. Yield Growth is committed to providing a highly personalized, informed and value-added customer experience within the wellness industry.
The Yield Growth Corp.’s Italy and U.S. distribution partner is CROP Corp. (CSE:CROP).
For more information about The Yield Growth Corp., visit yieldgrowth.com.
Media Contact:
Penny Green, President, CEO and Director
(604) 632 1700
info@yieldgrowth.com
Forward-Looking Statements
This press release contains forward-looking information or forward-looking statements (collectively “forward-looking information”) within the meaning of applicable securities laws. Forward-looking information is typically identified by words such as: “may”, “believe”, “thinks”, “expect”, “exploring”, “expand”, “could”, “anticipate”, “intend”, “estimate”, “plan”, “pursue”, “potentially”, “projected”, “should”, “will” and similar expressions, or are those, which, by their nature, refer to future events. These forward-looking statements, which involve risks and uncertainties, relate to, among other things, the ability to develop, and sell the Juve wellness products, protect the intellectual property relating to the Juve wellness products, and the demand for wellness and cannabis products in Canada and internationally. Although Yield Growth considers these forward-looking statements to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such risk factors include, among other things, risks related to the development, testing, intellectual property protection, sale and demand for the Juve wellness products. Forward-looking information and forward-looking statements are in addition based on various estimates, forecasts and projects as well as expectations, beliefs and assumptions, including, without limitation. Yield Growth cautions investors that any forward-looking information provided by Yield Growth is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking statements. Undue reliance should not be placed on such forward-looking information, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur.
United States Advisory
The securities referred to herein have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), have been offered and sold outside the United States to eligible investors pursuant to Regulation S promulgated under the U.S. Securities Act, and may not be offered, sold, or resold in the United States or to, or for the account of or benefit of, a U.S. Person (as such term is defined in Regulation S under the United States Securities Act) unless the securities are registered under the U.S. Securities Act, or an exemption from the registration requirements of the U.S. Securities Act is available. Hedging transactions involving the securities must not be conducted unless in accordance with the U.S. Securities Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in the state in the United States in which such offer, solicitation or sale would be unlawful.
https://bdsanalytics.com/press/new-report-worldwide-spending-on-legal-cannabis-will-reach-57-billion-by-2027/
*Information is derived from publicly available materials as of June 29, 2018: http://www.baystreet.ca/stockstowatch/3563/Massive-Canadian-Cannabis-Deals-Spreading-Globally