VANCOUVER, British Columbia, Oct. 23, 2018 (GLOBE NEWSWIRE) -- Veritas Pharma Inc. (CSE: VRT; OTC:
VRTHF; and Frankfurt: 2VP) (“Veritas” or the “Company”) is pleased to
announce a $1.25 million investment to acquire a 25% interest in a 10,000 square foot cannabis growing facility located in Kelowna,
British Columbia, and licensed under the Health Canada Access to Cannabis for Medical Purposes Regulations
(“ACMPR”)
The investment is by way of acquiring shares in a holding company (“Holdco”) which has a
long-term lease in an acreage in Kelowna which could accommodate up to 10 additional 10,000 square foot cannabis growing
facilities. The total investment into the first building is $5,000,000. This building will accommodate up to four Micro Grow
licensees each with approximately 2,100 square feet of growing capacity. Veritas is currently raising up to $2.75 million through a
private placement previously announced September 20, 2018. Veritas plans to continue to expand its investment in this opportunity.
The first $5 million of net income earned from the cultivation of cannabis from the facility will be used to
repay the investment in the building to the shareholders. After payback of the investment, the holding company will earn 50% of the
net income with the Micro Grow licensees earning the balance.
The building is approximately 50% completed and will commence production of cannabis under the ACMPR for both
medical and recreational use. Production from the facility is expected to commence within eight to twelve weeks.
Dr. Lui Franciosi, President of Veritas states that “The investment in this opportunity, provide Veritas with
the ability to control the supply of cannabis required for research, and to develop and commercialize the requisite cannabis
strains specific to pain management, and eventually to assist in the treatment of other diseases and maladies. To manufacture
effective medicine, it is important that the quality of the cannabis supply remains equally consistent. This investment assures the
requisite quality. In addition, Veritas is close to opening a new cannabis testing facility at its new Burnaby location. This
investment secures the testing and analytics services for the Kelowna and other third-party operations. This testing service is
required for the accurate labeling of cannabis products, which is prerequisite to the subsequent retailing of cannabis to the
public.”
The Company would also like to announce the issuance of 1,600,000 stock options at $0.19 to officers, directors,
and consultants to the Company for a term of twelve (12) months.
About Veritas Pharma Inc.
Veritas Pharma Inc. is an emerging pharmaceutical and IP development company, who, through its 100% owned
subsidiary Cannevert Therapeutics Ltd. (“CTL“), is advancing the science behind medical cannabis. It is the Company’s aim, through
its investment in CTL, to develop the most effective cannabis strains (cultivars) specific to pain, nausea, epilepsy and PTSD,
solving the critical need for clinical data to support medical marijuana claims. CTL’s unique value proposition uses a low-cost
research and development model to help drive shareholder value, and speed-to-market. Veritas’ investment in CTL is led by a strong
management team, bringing together veteran academic pharmacologists, anesthetists & chemists. The company’s commercial mission is
to patent protect IP (cultivars & strains) and sell or license to cancer clinics, insurance industry and pharma, targeting
multi-billion-dollar markets according to Deloitte’s Insights and Opportunities.
Veritas Pharma Inc. is a publicly traded company in Canada, on the Canadian Stock Exchange under the ticker VRT;
in the United States, on the OTC under the ticker VRTHF; and in Germany, on the Frankfurt exchange under the ticker 2VP.
For more information, please visit our website: veritaspharmainc.com
On behalf of the Board of Directors
"Dr. Lui Franciosi"
Dr. Lui Franciosi
President and Chief Executive Officer
Further information about the Company is available on our website at www.veritaspharmainc.com or under our
profile on SEDAR at www.sedar.com and on the CSE website at www.thecse.com.
Investor and Public Relations Contact
Veritas Pharma Inc.
Sam Eskandari
Telephone: +1.416.918.6785
Email: ir@veritaspharmainc.com
Website: www.veritaspharmainc.com
The CSE has not reviewed, nor approved or disapproved the content of this press
release.
