PORTLAND, Ore., Jan. 16, 2019 (GLOBE NEWSWIRE) -- Golden Leaf Holdings Ltd. (“Golden Leaf” or the “Company”) (CSE:GLH) (OTCQB:GLDFF), a cannabis
company with cultivation, production and retail operations built around recognized brands, today announced that the Company and
Tahoe Hydroponics Company (“Tahoe”) have mutually agreed to terminate the definitive agreement (“Agreement”) for the Company to
acquire the assets of both Tahoe and its related company, 11T, Inc., a California corporation. The agreement was originally
announced on August 13, 2018.
Bill Kulczycki, President and CEO of Golden Leaf said “Concurrent with the start of my tenure at GLH, we kept
running into challenges and further delays in obtaining regulatory approvals in Nevada. These delays and related impacts affected
the return profile and value proposition of the acquisition for GLH. Both parties decided that committing the Company’s available
capital without a retail footprint changed the risk-return analysis enough that the desired shareholder return would not be
achieved. While both parties are disappointed with this outcome, we are parting ways with mutual respect intact.”
Bill also added “As the new President and CEO of Golden Leaf, I want to ensure that the Company strategically
invests its available capital to achieve sustainable positive cash flow and growth. We are currently looking at opportunities that
fit our strategic vision in an appropriate order of priority, balanced between assessments of risk and cash flow returns that drive
shareholder value creation. My immediate focus for Golden Leaf is one of disciplined growth with the goal of achieving
profitability in the near term.”
To be added to the distribution list please email ir@goldenxtrx.com with “GLH” in the subject line.
About Golden Leaf Holdings
Golden Leaf Holdings Ltd. is a Canadian company with operations in multiple jurisdictions including Oregon, Nevada, and Canada,
with cultivation, production and retail operations built around recognized brands. Golden Leaf distributes its products through its
branded Chalice Farms retail dispensaries, as well as through third-party dispensaries. Golden Leaf’s cannabis retail operations
and products are designed with the customer in mind, focused on superlative in-store experience and quality products. Visit
goldenleafholdings.com to learn more.
Investor Relations:
Craig Eastwood
Chief Financial Officer
Golden Leaf Holdings Ltd.
503-201-0659
ir@goldenxtrx.com
Media Relations:
Anne Donohoe / Nick Opich
KCSA Strategic Communications
adonohoe@kcsa.com/nopich@kcsa.com
212-896-1265 / 212-896-1206
Disclaimer: This press release contains "forward-looking information" within the meaning of applicable
securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the Company’s
future business operations, the establishment of, and the future scope and scale of, the Chalice Farms retail system, the level of
funding needed to establish the Chalice Farms franchise model, that the Chalice Farms franchise model will be successful and
generate positive cash flows, the opinions or beliefs of management and future business goals. Generally, forward looking
information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is
expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or
variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be
taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other
factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different
from those expressed or implied by such forward-looking information, including but not limited to general business, economic and
competitive uncertainties, regulatory risks including risks related to the expected timing of the Company’s participation in the
adult use market, market risks, risks inherent in manufacturing operations, difficulties of establishing a successful franchise
model and other risks of the cannabis industry. Although the Company has attempted to identify important factors that could cause
actual results to differ materially from those contained in forward-looking information, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate,
as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should
not place undue reliance on forward looking information. Forward-looking information is provided herein for the purpose of
presenting information about management’s current expectations relating to the future and readers are cautioned that such
information may not be appropriate for other purpose. The Company does not undertake to update any forward-looking information,
except in accordance with applicable securities laws. This press release does not constitute an offer of securities for sale in the
United States, and such securities may not be offered or sold in the United States absent registration or an exemption from
registration or an exemption from registration.
