TORONTO, Oct. 2, 2018 /CNW/ – VERDEMED HOLDINGS INC. (“VerdeMed” or the “Company”) is pleased to announce that it is undertaking an equity offering for gross proceeds up to US$5 million and, to date, has received US$600,000 in funding commitments from Brazilian and Colombian qualified investors. The Company plans to use the proceeds of the offering to complete strategic asset acquisitions in Colombia and Brazil and to further its business plans.
VerdeMed holds rights to acquire a significant stake in a Colombian Licenced Producer -LP, which currently has a 3,000 sqft indoor growing and industrial extraction facility, together with an option to buy the remaining interest in the LP. The LP is operational and fully licensed to plant, grow, extract, formulate and sell medicinal cannabis products. The LP plans to harvest its first crop and complete its initial medicinal cannabis oil sales by the end of this year.
VerdeMed will also use the offering proceeds to assist the Colombian LP to achieve its expansion plans, which include (i) the acquisition of 130,000 sqft of ready-to-plant land circa its extraction installations in Colombia; (ii) building 29,000 sqft of outdoor cannabis greenhouses to grow for the extraction of THC/CBD oil, with the first crop planned for late April 2019; and (iii) in the same land, the expansion foresees another 29,000 sqft of Hemp for CDB oil extraction in August 2019. The LP has advised that it currently expects to generate gross revenues of US$3.7M in 2019 and US$12M in 2020 based on its current industrial capacity and the planned outdoor growth production.
VerdeMed owns the rights to acquire a Pharmaceutical Laboratory in Brazil that holds Controlled Substances Import Licenses and Quality Control Facilities. Verdemed plans to use a portion of the proceeds of the offering to complete this acquisition. Following the completion, VerdeMed intends to present its regulatory strategy to Anvisa (Brazilian Health Regulatory Agency), including its drug development plans for CBD, and its clinical trials protocols for testing a proprietary THC/CBD gel caps formulation targeted at sleep disorders treatment.
VerdeMed has offices in Brazil, Chile, Colombia, and Toronto. The Company intends to build management teams and pharmaceutical regulatory affairs partners in Argentina, Mexico, and Peru by the end of the year following the completion of the offering. VerdeMed plans to establish a comprehensive business footprint over all of the most significant legal markets in Latin America for medical cannabis and cannabinoid-based pharmaceuticals.
For more information, please visit www.verdemed.com
President and CEO
VerdeMed is a Canadian pharmaceutical cannabis company with the goal of improving the health of millions of patients in Latin America. VerdeMed brings a unique combination of Canadian cannabis industry expertise; Latin American smart capital; international pharmaceutical business knowledge; superior regulatory affairs capabilities and top-notch medical experience.
Based out of Toronto, VerdeMed’s multi-level and multi-market approach aims to bridge the gap between the European and North American cannabis pharmaceutical landscape and unmet clinical needs in Latin America. The Company’s international footprint provides strategic access to market novelties, in addition to well-known proven cannabis therapies. Over the next few years, VerdeMed has plans to offer to the Latin American market a range of cannabinoid-based medications that are expected to be approved by the leading regulatory agencies in the region – such as ANMAT, Anvisa, COFEPRIS, DIGEMID, Invima, and ISP.
VerdeMed is uniquely positioned to address the high regulatory hurdles in Latin America with Canadian products. The Company aspires to become the platform of choice for the global innovators to enter Latin America with new medical cannabis products.
This release includes certain statements and information that may constitute forward-looking information or forward-looking statements. Forward-looking information and forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this press release. Forward-looking information and forward-looking statements are 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 statements or forward-looking information. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or 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 statements 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 statements and forward-looking information. The Company does not undertake to update any forward-looking statement, forward-looking information or financial outlook contained in this release.
SOURCE Verdemed Holdings Inc.