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ABCN: Based on the equity we are getting and the hybrid 50,000 sq feet facility makes perfect sense. It minimizes dilution while increasing capacity. CBW is paying the entire cost and sharing the revenue equally with us.
The future payment is at $2.25 per share or 2x share price which ever is greater – this is excellent for shareholders.
CCIM: According to recent coverage by NetworkNewsWire:
At the heart of ABcann's expansion effort is its advanced growing technology, which not only creates a consistent, organically grown, pesticide free standardized product, but also brings down costs through the use of exclusive, computer-controlled environmental systems. By monitoring every variable in the growing, curing and harvesting processes, the company is able to produce yield quantities that significantly exceed those produced through traditional growing techniques.
Can you expand on how the above translates into ensuring a growing
presence in the medical market and again into Shareholder value.
Does the relationship with Guelph University factor into this facet?
ABCN: I’ll try and break it down as best I can, …we spent a lot of money on R&D with the University of Guelph and Mike Dixon’s expertise…what that’s lead to is higher yielding product, one of the highest in the industry. And everyone has read about the pesticide issues in the sector and because of the challenges and the stringent requirements as Health Canada wants to protect its patients, we are one of the only pesticide-free, organically grown products available. That is a
result of the work we’ve done with mike Dixon, and it has also lead to a higher quality product, the same standardized product repetitively grown, batch over batch, crop over crop, and what this also leads to is limited wastage. We get the most out of every single plant.