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Hi Tipsy, I realize that the information I sent you is not real recent. I included the contact info at the bottom of the page so you can follow up, I will continue to look. Maybe between us we can find more.
Enjoy your weekend.
hbg, I'll guess you are full-out fan of OGI. That's OK.
I'd just like some good news that is less than two years old (or older).
I, also, bought shares in OGI and I thought it a good idea at the time.
Not so much, now.
Organigram Makes Additional $2.5 Million Investment in Hyasynth Biologicals, a Leading Cannabinoid Biosynthesis Company
With growing interest in sustainable and bio-based cannabinoids, and after completing a strategic review of Hyasynth including their intellectual property (IP) and R&D platforms, Organigram remains excited about Hyasynth’s future and growth plans December 22nd, 2021
MONCTON, New Brunswick--(BUSINESS WIRE)--As an early investor in biosynthesis, Organigram Holdings Inc. (NASDAQ: OGI), (TSX: OGI), the parent company of Organigram Inc. (the “Company” or “Organigram”), a leading licensed producer of cannabis, and Hyasynth Biologicals Inc. (“Hyasynth”) a private biotechnology company and pioneer in the field of cannabinoid science and biosynthesis are pleased to announce that Organigram has acquired an additional $2.5 million of secured convertible debentures in Hyasynth (the “Debentures”). Additionally, the parties have amended certain of the Debentures’ terms purchased by Organigram from Hyasynth in previous tranches. Proceeds of the investment are designated to advance Hyasynth’s production scalability as well as investment into new cannabinoid technologies (including rare cannabinoids), business development efforts and company growth.
“Hyasynth’s advantage lies with its unique products derived from natural sugars and proprietary enzyme engineering.”
In September 2018, Organigram acquired $5.0 million of Hyasynth Debentures followed by an additional $2.5 million in October 2020. Today’s transaction brings Organigram’s total investment in Hyasynth to $10.0 million building upon previously completed milestones and recent successes of the company in advancing technology and business development. Organigram retains its two nominees to Hyasynth’s Board of Directors comprised of seven members.
In addition, Organigram continues to be a preferred partner for Hyasynth and has the option to purchase Hyasynth’s cannabinoids, subject to the terms of its agreement with Hyasynth, at a discount to the wholesale market price for a period of ten years from the date of Hyasynth’s commencement of commercial production.
“Organigram continues to be extremely focused on delivering meaningful innovation to cannabis consumers, which is why we are so excited about deepening our relationship with Hyasynth. They have achieved tremendous scientific advancement in the cannabinoid biosynthesis space with technology expected to be protected by intellectual property,” said Beena Goldenberg, Chief Executive Officer of Organigram. “Our review noted that its pathway provides greater catalytic efficiency and streamlines strain optimization which should make it more scalable than some of its competitors’ pathways. We remain committed to our investment in this strategic partner and look forward to helping Hyasynth advance its commercialization efforts.”
“Hyasynth is now at a key inflection point in bringing our products to market. Organigram has been an exceptional partner and this follow-on investment will enable us to bridge into an exciting 2022 where we intend to launch large scale production with commercial partners,” said Kevin Chen, Chief Executive Officer and Co-founder of Hyasynth. “We’ve demonstrated our ability not only to achieve scalable production of CBD/CBDA but also improve the cost of production exponentially. We are in the process of developing a series of rare cannabinoids to ultimately become the supplier of choice for sustainable and high-quality ingredients.”
Strategic Rationale
“When considering the enormous opportunity that lies ahead for cannabinoids in the medical, wellness and recreational spaces, and how they intersect with evolving research and regulatory frameworks being considered globally, we see biosynthesis as a crucial path in developing key active ingredients for cannabis-based products,” said Paolo De Luca, Chief Strategy Officer of Organigram. “Hyasynth’s advantage lies with its unique products derived from natural sugars and proprietary enzyme engineering.”
Biosynthesis is most commonly known as the primary production methodology for insulin used in the treatment of diabetes. Unlike chemical synthesis, or agricultural methods, biosynthesis results in products and final ingredients that are pesticide-free and are based on natural ingredients. Hyasynth’s biosynthesis process uses patent-pending yeast strains and enzymes to produce pure cannabinoids (not synthetic) without relying on cannabis plants. In addition to the major cannabinoids such as CBD and THC, Hyasynth has also demonstrated and submitted patent applications on the production of rare cannabinoids for which traditional cultivation is cost prohibitive since these cannabinoids are found in only very low levels in cannabis plants. Rare cannabinoids are believed to be the next frontier of cannabis research and novel cannabis product development.
The advantages of biosynthesis compared to traditional plant cultivation are expected to be as follows:
feasible production of rare cannabinoids;
reduced operating and capital costs;
consistency and purity of products (e.g. CBD without THC);
smaller environmental footprint; and
leverages existing infrastructure and techniques already popular for food and pharmaceutical ingredient production.
About Hyasynth Biologicals Inc.
Hyasynth Biologicals Inc. is a Montreal, Canada based technology company that produces pure and sustainable products through fermentation. It was founded in 2014 to satisfy a growing demand for cannabinoids by the pharmaceutical and consumer markets. Hyasynth’s proprietary fermentation technology enables scalable, low-cost production of THC, CBD, CBG, and rare cannabinoids not typically accessible by plant cultivation. Investors in Hyasynth include the venture capital firm SOSV and IndieBio, AngesQuebec, and the strategic investor, Organigram Holdings inc. For more information see www.hyasynthbio.com
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly owned subsidiaries include: Organigram Inc., a licensed producer of cannabis and cannabis-derived products in Canada, The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused soft chews in Canada and Laurentian Organic Inc., a licensed producer of cannabis and cannabis-derived products in Canada.
Organigram is focused on producing high-quality, indoor-grown cannabis for patients and adult recreational consumers in Canada, as well as developing international business partnerships to extend the Company's global footprint. Organigram has also developed a portfolio of legal adult use recreational cannabis brands including The Edison Cannabis Company, Monjour, Big Bag o’ Buds, SHRED, Trailblazer, Tremblant and Laurentian. Organigram's facility is located in Moncton, New Brunswick with other manufacturing facilities in Winnipeg, Manitoba and Lac-Supérieur (near Mt. Tremblant), Quebec . The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
Forward-Looking Information
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information including achievement of milestones, prospects for biosynthesis and factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
Contacts
For Organigram Investor Relations enquiries:
investors@organigram.ca
For Organigram Media enquiries:
Megan McCrae, Senior Vice President, Marketing and Communications
megan.mccrae@organigram.ca
For Hyasynth enquiries:
Kevin Chen, Chief Executive Officer and Co-founder
kevin.chen@hyasynthbio.com
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SOURCE:
https://investors.organigram.ca/press-releases/organigram-makes-additional-25-million-investment-in-hyasynth-biologicals-a-leading
Organigram invests in Hyasynth Biologicals Inc., helps bring transformative "cellular agriculture" to Canadian cannabis industry
Organigram Holdings Inc. (CNW Group/OrganiGram)
NEWS PROVIDED BY
OrganiGram
13 Sep, 2018, 06:00 ET
SHARE THIS ARTICLE
Investment solidifies Organigram's commitment to next generation delivery
of cannabinoid products to global medical and adult recreational cannabis markets
MONCTON, NB, Sept. 13, 2018 /CNW/ - Organigram Holdings Inc. (TSX VENTURE: OGI) (OTCQX: OGRMF), the parent company of Organigram Inc. (the "Company" or "Organigram"), a leading licensed producer of medical marijuana, is pleased to announce the closing of its strategic investment in convertible secured debentures (the "Debentures"), to be purchased in three tranches and valued in the aggregate at $10 million, of Hyasynth Biologicals Inc. ("Hyasynth"), a biotechnology company based in Montreal and leader in the field of cannabinoid science and biosynthesis.
Hyasynth Corporate Video Organigram invests in Hyasynth Biologicals Inc., helps bring transformative "cellular agriculture" to Canadian cannabis industry
Organigram Holdings Inc. (CNW Group/OrganiGram)
NEWS PROVIDED BY
OrganiGram
13 Sep, 2018, 06:00 ET
SHARE THIS ARTICLE
Investment solidifies Organigram's commitment to next generation delivery
of cannabinoid products to global medical and adult recreational cannabis markets
MONCTON, NB, Sept. 13, 2018 /CNW/ - Organigram Holdings Inc. (TSX VENTURE: OGI) (OTCQX: OGRMF), the parent company of Organigram Inc. (the "Company" or "Organigram"), a leading licensed producer of medical marijuana, is pleased to announce the closing of its strategic investment in convertible secured debentures (the "Debentures"), to be purchased in three tranches and valued in the aggregate at $10 million, of Hyasynth Biologicals Inc. ("Hyasynth"), a biotechnology company based in Montreal and leader in the field of cannabinoid science and biosynthesis.
Hyasynth Corporate Video Organigram invests in Hyasynth Biologicals Inc., helps bring transformative "cellular agriculture" to Canadian cannabis industry Organigram Holdings Inc. (CNW Group/OrganiGram) NEWS PROVIDED BY OrganiGram 13 Sep, 2018, 06:00 ET SHARE THIS ARTICLE Investment solidifies Organigram's commitment to next generation delivery of cannabinoid products to global medical and adult recreational cannabis markets MONCTON, NB, Sept. 13, 2018 /CNW/ - Organigram Holdings Inc. (TSX VENTURE: OGI) (OTCQX: OGRMF), the parent company of Organigram Inc. (the "Company" or "Organigram"), a leading licensed producer of medical marijuana, is pleased to announce the closing of its strategic investment in convertible secured debentures (the "Debentures"), to be purchased in three tranches and valued in the aggregate at $10 million, of Hyasynth Biologicals Inc. ("Hyasynth"), a biotechnology company based in Montreal and leader in the field of cannabinoid science and biosynthesis. Hyasynth Corporate Video Hyasynth Corporate Video Hyasynth's patent-pending enzymes, yeast cells and processes make it possible to produce phytocannabinoids and phytocannabinoid analogues in genetically modified strains of yeast. Hyasynth's proprietary enzymes and yeast strains have to date allowed them to make CBG, CBD and other cannabinoids for novel and specialized products, including vapourizable cannabis products and cannabis-infused beverages, as well as pharmaceutical ingredients, for a fraction of the cost of traditional plant-based production. The company will continue to develop a comprehensive platform of cannabinoids beyond THC, CBD and CBG for both medical and recreational use. "Hyasynth's technology offers us access to the future of cannabinoid production today," says Greg Engel, CEO, Organigram. "We know that cost-efficiency and scalability will be necessary to meet the needs of the Canadian and the global cannabis markets. Working with Hyasynth, we can throw out old assumptions about the scale, speed and precision with which we can produce both extract-based medical products and a comprehensive and diverse range of recreational use products like edibles and beverages." Engel adds that while there will always be a market for premium, indoor grown cannabis flowers, the opportunity to utilize large scale production of cannabinoids through bio-fermentation that is not dependent on the weather or the variations inherent in a traditional growing cycle will fundamentally change the global cannabis industry. "Working with Hyasynth there are now few limits on how quickly we can respond to market demand for cannabinoid based recreational and medical products." Hyasynth has previously demonstrated their production method for a range of cannabinoids at a small scale under a research exemption from Health Canada. They have recently received a Dealer's License from Health Canada which enabled them to expand their work beyond research and into production. The funding provided by Organigram, the largest announced direct investment in this kind of cellular agriculture technology in Canada, will allow the company to refine and optimize their processes at scale via a contract manufacturer as well as fund a purpose-built manufacturing facility for production. In conjunction with Organigram's purchase of Debentures, Organigram and Hyasynth have entered into an agreement that allows Organigram to purchase a significant quantity of cannabinoids produced by Hyasynth. "We are proud to work with Organigram and make this transformative technology available to the Canadian and global cannabis industry," says Kevin Chen, CEO, Co-founder, Hyasynth. "Applying our research to the engineering of cannabinoid-based products means we can help companies like Organigram create more, better and more accessible products, while also essentially eliminating product shortages. Our goal is to not only contribute to the evolution of a new industry but to also help take care of the people who use and rely on these products." Pursuant to a debenture purchase agreement dated as of today's date (the "Debenture Purchase Agreement") among Hyasynth, Organigram and certain other investors purchasing debentures concurrently with Organigram (the "Investors"), Organigram has purchased $5 million in secured convertible 8% debentures, and Organigram will purchase up to an additional $5 million of Debentures of Hyasynth in a series of two other tranches of $2.5 million each based on Hyasynth attaining certain funding milestones and the satisfaction of certain other customary closing conditions.in respect of tranches two and three. Under the terms of the Debenture Purchase Agreement, the principal amount of the outstanding Debentures (but not interest) are convertible from time to time into common shares of Hyasynth at the option of the holder. In addition, in certain circumstances described in the Debenture Purchase Agreement, the principal amount of outstanding Debentures (but not interest) shall be automatically converted into common shares of Hyasynth upon the occurrence of certain events. Each such conversion will be at the various conversion prices applicable to each tranche of Debentures specified in the Debenture Purchase Agreement, which such conversion prices shall be subject to adjustment in accordance with the terms and conditions of the Debenture Purchase Agreement. If not converted, the principal amount of the Debentures, accrued interest, and other amounts payable thereunder mature on August 31, 2023, unless such maturity is accelerated in accordance with the provisions of the Debenture Purchase Agreement. Upon conversion, and if fully converted, the Hyasynth common shares issued to Organigram would represent a substantial interest in Hyasynth based on the current capitalization structure for Hyasynth, provided that such capitalization structure remains as such at the time of conversion. Organigram also has been granted certain investor rights and board representation. Organigram and the other Investors have been granted a security interest over the assets of Hyasynth as security for Hyasynth's obligations under the Debentures. About Organigram Holdings Inc. Organigram Holdings Inc. is a TSX Venture Exchange listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of cannabis and cannabis-derived products in Canada. Organigram is focused on producing the highest-quality, indoor-grown cannabis for patients and adult recreational consumers in Canada, as well as developing international business partnerships to extend the company's global footprint. In anticipation of the legal adult use recreational cannabis in Canada, Organigram has developed a portfolio of brands including The Edison Cannabis Company, Ankr Organics and Trailer Park Buds. Organigram's primary facility is located in Moncton, New Brunswick and the Company is regulated by the Access to Cannabis for Medical Purposes Regulations ("ACMPR"). Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release contains forward-looking information which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. Important factors - including the availability of funds, consummation of definitive documentation, the results of financing efforts, crop yields - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. For more information on Organigram please visit: www.Organigram.ca SOURCE OrganiGram For further information: on this press release, please contact: Organigram Holdings Inc., Paolo De Luca, Chief Financial Officer, paolo.deluca@organigram.ca, (416) 661-0947; Organigram Holdings Inc., Dylan Rogers, Investor Relations Analyst, drogers@organigram.ca, (506) 232-0121; Hyasynth Biologicals Inc., Kevin Chen, Chief Executive Officer, kevin.chen@hyasynthbio.com, (438) 863-6074 Organization Profile OrganiGram
The Above is from Hyasynth Corporate Video
Hyasynth's patent-pending enzymes, yeast cells and processes make it possible to produce phytocannabinoids and phytocannabinoid analogues in genetically modified strains of yeast. Hyasynth's proprietary enzymes and yeast strains have to date allowed them to make CBG, CBD and other cannabinoids for novel and specialized products, including vapourizable cannabis products and cannabis-infused beverages, as well as pharmaceutical ingredients, for a fraction of the cost of traditional plant-based production. The company will continue to develop a comprehensive platform of cannabinoids beyond THC, CBD and CBG for both medical and recreational use.
"Hyasynth's technology offers us access to the future of cannabinoid production today," says Greg Engel, CEO, Organigram. "We know that cost-efficiency and scalability will be necessary to meet the needs of the Canadian and the global cannabis markets. Working with Hyasynth, we can throw out old assumptions about the scale, speed and precision with which we can produce both extract-based medical products and a comprehensive and diverse range of recreational use products like edibles and beverages."
Engel adds that while there will always be a market for premium, indoor grown cannabis flowers, the opportunity to utilize large scale production of cannabinoids through bio-fermentation that is not dependent on the weather or the variations inherent in a traditional growing cycle will fundamentally change the global cannabis industry. "Working with Hyasynth there are now few limits on how quickly we can respond to market demand for cannabinoid based recreational and medical products."
Hyasynth has previously demonstrated their production method for a range of cannabinoids at a small scale under a research exemption from Health Canada. They have recently received a Dealer's License from Health Canada which enabled them to expand their work beyond research and into production.
The funding provided by Organigram, the largest announced direct investment in this kind of cellular agriculture technology in Canada, will allow the company to refine and optimize their processes at scale via a contract manufacturer as well as fund a purpose-built manufacturing facility for production. In conjunction with Organigram's purchase of Debentures, Organigram and Hyasynth have entered into an agreement that allows Organigram to purchase a significant quantity of cannabinoids produced by Hyasynth.
"We are proud to work with Organigram and make this transformative technology available to the Canadian and global cannabis industry," says Kevin Chen, CEO, Co-founder, Hyasynth. "Applying our research to the engineering of cannabinoid-based products means we can help companies like Organigram create more, better and more accessible products, while also essentially eliminating product shortages. Our goal is to not only contribute to the evolution of a new industry but to also help take care of the people who use and rely on these products."
Pursuant to a debenture purchase agreement dated as of today's date (the "Debenture Purchase Agreement") among Hyasynth, Organigram and certain other investors purchasing debentures concurrently with Organigram (the "Investors"), Organigram has purchased $5 million in secured convertible 8% debentures, and Organigram will purchase up to an additional $5 million of Debentures of Hyasynth in a series of two other tranches of $2.5 million each based on Hyasynth attaining certain funding milestones and the satisfaction of certain other customary closing conditions.in respect of tranches two and three. Under the terms of the Debenture Purchase Agreement, the principal amount of the outstanding Debentures (but not interest) are convertible from time to time into common shares of Hyasynth at the option of the holder. In addition, in certain circumstances described in the Debenture Purchase Agreement, the principal amount of outstanding Debentures (but not interest) shall be automatically converted into common shares of Hyasynth upon the occurrence of certain events. Each such conversion will be at the various conversion prices applicable to each tranche of Debentures specified in the Debenture Purchase Agreement, which such conversion prices shall be subject to adjustment in accordance with the terms and conditions of the Debenture Purchase Agreement. If not converted, the principal amount of the Debentures, accrued interest, and other amounts payable thereunder mature on August 31, 2023, unless such maturity is accelerated in accordance with the provisions of the Debenture Purchase Agreement. Upon conversion, and if fully converted, the Hyasynth common shares issued to Organigram would represent a substantial interest in Hyasynth based on the current capitalization structure for Hyasynth, provided that such capitalization structure remains as such at the time of conversion. Organigram also has been granted certain investor rights and board representation. Organigram and the other Investors have been granted a security interest over the assets of Hyasynth as security for Hyasynth's obligations under the Debentures.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a TSX Venture Exchange listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of cannabis and cannabis-derived products in Canada.
Organigram is focused on producing the highest-quality, indoor-grown cannabis for patients and adult recreational consumers in Canada, as well as developing international business partnerships to extend the company's global footprint. In anticipation of the legal adult use recreational cannabis in Canada, Organigram has developed a portfolio of brands including The Edison Cannabis Company, Ankr Organics and Trailer Park Buds. Organigram's primary facility is located in Moncton, New Brunswick and the Company is regulated by the Access to Cannabis for Medical Purposes Regulations ("ACMPR").
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking information which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. Important factors - including the availability of funds, consummation of definitive documentation, the results of financing efforts, crop yields - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
For more information on Organigram please visit: www.Organigram.ca
SOURCE OrganiGram
For further information: on this press release, please contact: Organigram Holdings Inc., Paolo De Luca, Chief Financial Officer, paolo.deluca@organigram.ca, (416) 661-0947; Organigram Holdings Inc., Dylan Rogers, Investor Relations Analyst, drogers@organigram.ca, (506) 232-0121; Hyasynth Biologicals Inc., Kevin Chen, Chief Executive Officer, kevin.chen@hyasynthbio.com, (438) 863-6074
Organization Profile
OrganiGram
Hyasynth Corporate Video
Hyasynth's patent-pending enzymes, yeast cells and processes make it possible to produce phytocannabinoids and phytocannabinoid analogues in genetically modified strains of yeast. Hyasynth's proprietary enzymes and yeast strains have to date allowed them to make CBG, CBD and other cannabinoids for novel and specialized products, including vapourizable cannabis products and cannabis-infused beverages, as well as pharmaceutical ingredients, for a fraction of the cost of traditional plant-based production. The company will continue to develop a comprehensive platform of cannabinoids beyond THC, CBD and CBG for both medical and recreational use.
"Hyasynth's technology offers us access to the future of cannabinoid production today," says Greg Engel, CEO, Organigram. "We know that cost-efficiency and scalability will be necessary to meet the needs of the Canadian and the global cannabis markets. Working with Hyasynth, we can throw out old assumptions about the scale, speed and precision with which we can produce both extract-based medical products and a comprehensive and diverse range of recreational use products like edibles and beverages."
Engel adds that while there will always be a market for premium, indoor grown cannabis flowers, the opportunity to utilize large scale production of cannabinoids through bio-fermentation that is not dependent on the weather or the variations inherent in a traditional growing cycle will fundamentally change the global cannabis industry. "Working with Hyasynth there are now few limits on how quickly we can respond to market demand for cannabinoid based recreational and medical products."
Hyasynth has previously demonstrated their production method for a range of cannabinoids at a small scale under a research exemption from Health Canada. They have recently received a Dealer's License from Health Canada which enabled them to expand their work beyond research and into production.
The funding provided by Organigram, the largest announced direct investment in this kind of cellular agriculture technology in Canada, will allow the company to refine and optimize their processes at scale via a contract manufacturer as well as fund a purpose-built manufacturing facility for production. In conjunction with Organigram's purchase of Debentures, Organigram and Hyasynth have entered into an agreement that allows Organigram to purchase a significant quantity of cannabinoids produced by Hyasynth.
"We are proud to work with Organigram and make this transformative technology available to the Canadian and global cannabis industry," says Kevin Chen, CEO, Co-founder, Hyasynth. "Applying our research to the engineering of cannabinoid-based products means we can help companies like Organigram create more, better and more accessible products, while also essentially eliminating product shortages. Our goal is to not only contribute to the evolution of a new industry but to also help take care of the people who use and rely on these products."
Pursuant to a debenture purchase agreement dated as of today's date (the "Debenture Purchase Agreement") among Hyasynth, Organigram and certain other investors purchasing debentures concurrently with Organigram (the "Investors"), Organigram has purchased $5 million in secured convertible 8% debentures, and Organigram will purchase up to an additional $5 million of Debentures of Hyasynth in a series of two other tranches of $2.5 million each based on Hyasynth attaining certain funding milestones and the satisfaction of certain other customary closing conditions.in respect of tranches two and three. Under the terms of the Debenture Purchase Agreement, the principal amount of the outstanding Debentures (but not interest) are convertible from time to time into common shares of Hyasynth at the option of the holder. In addition, in certain circumstances described in the Debenture Purchase Agreement, the principal amount of outstanding Debentures (but not interest) shall be automatically converted into common shares of Hyasynth upon the occurrence of certain events. Each such conversion will be at the various conversion prices applicable to each tranche of Debentures specified in the Debenture Purchase Agreement, which such conversion prices shall be subject to adjustment in accordance with the terms and conditions of the Debenture Purchase Agreement. If not converted, the principal amount of the Debentures, accrued interest, and other amounts payable thereunder mature on August 31, 2023, unless such maturity is accelerated in accordance with the provisions of the Debenture Purchase Agreement. Upon conversion, and if fully converted, the Hyasynth common shares issued to Organigram would represent a substantial interest in Hyasynth based on the current capitalization structure for Hyasynth, provided that such capitalization structure remains as such at the time of conversion. Organigram also has been granted certain investor rights and board representation. Organigram and the other Investors have been granted a security interest over the assets of Hyasynth as security for Hyasynth's obligations under the Debentures.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a TSX Venture Exchange listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of cannabis and cannabis-derived products in Canada.
Organigram is focused on producing the highest-quality, indoor-grown cannabis for patients and adult recreational consumers in Canada, as well as developing international business partnerships to extend the company's global footprint. In anticipation of the legal adult use recreational cannabis in Canada, Organigram has developed a portfolio of brands including The Edison Cannabis Company, Ankr Organics and Trailer Park Buds. Organigram's primary facility is located in Moncton, New Brunswick and the Company is regulated by the Access to Cannabis for Medical Purposes Regulations ("ACMPR").
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking information which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. Important factors - including the availability of funds, consummation of definitive documentation, the results of financing efforts, crop yields - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
For more information on Organigram please visit: www.Organigram.ca
SOURCE OrganiGram
For further information: on this press release, please contact: Organigram Holdings Inc., Paolo De Luca, Chief Financial Officer, paolo.deluca@organigram.ca, (416) 661-0947; Organigram Holdings Inc., Dylan Rogers, Investor Relations Analyst, drogers@organigram.ca, (506) 232-0121; Hyasynth Biologicals Inc., Kevin Chen, Chief Executive Officer, kevin.chen@hyasynthbio.com, (438) 863-6074
Organization Profile
OrganiGram Organigram invests in Hyasynth Biologicals Inc., helps bring transformative "cellular agriculture" to Canadian cannabis industry
Organigram Holdings Inc. (CNW Group/OrganiGram)
NEWS PROVIDED BY
OrganiGram
13 Sep, 2018, 06:00 ET
SHARE THIS ARTICLE
Investment solidifies Organigram's commitment to next generation delivery
of cannabinoid products to global medical and adult recreational cannabis markets
MONCTON, NB, Sept. 13, 2018 /CNW/ - Organigram Holdings Inc. (TSX VENTURE: OGI) (OTCQX: OGRMF), the parent company of Organigram Inc. (the "Company" or "Organigram"), a leading licensed producer of medical marijuana, is pleased to announce the closing of its strategic investment in convertible secured debentures (the "Debentures"), to be purchased in three tranches and valued in the aggregate at $10 million, of Hyasynth Biologicals Inc. ("Hyasynth"), a biotechnology company based in Montreal and leader in the field of cannabinoid science and biosynthesis.
Hyasynth's patent-pending enzymes, yeast cells and processes make it possible to produce phytocannabinoids and phytocannabinoid analogues in genetically modified strains of yeast. Hyasynth's proprietary enzymes and yeast strains have to date allowed them to make CBG, CBD and other cannabinoids for novel and specialized products, including vapourizable cannabis products and cannabis-infused beverages, as well as pharmaceutical ingredients, for a fraction of the cost of traditional plant-based production. The company will continue to develop a comprehensive platform of cannabinoids beyond THC, CBD and CBG for both medical and recreational use.
"Hyasynth's technology offers us access to the future of cannabinoid production today," says Greg Engel, CEO, Organigram. "We know that cost-efficiency and scalability will be necessary to meet the needs of the Canadian and the global cannabis markets. Working with Hyasynth, we can throw out old assumptions about the scale, speed and precision with which we can produce both extract-based medical products and a comprehensive and diverse range of recreational use products like edibles and beverages."
Engel adds that while there will always be a market for premium, indoor grown cannabis flowers, the opportunity to utilize large scale production of cannabinoids through bio-fermentation that is not dependent on the weather or the variations inherent in a traditional growing cycle will fundamentally change the global cannabis industry. "Working with Hyasynth there are now few limits on how quickly we can respond to market demand for cannabinoid based recreational and medical products."
Hyasynth has previously demonstrated their production method for a range of cannabinoids at a small scale under a research exemption from Health Canada. They have recently received a Dealer's License from Health Canada which enabled them to expand their work beyond research and into production.
The funding provided by Organigram, the largest announced direct investment in this kind of cellular agriculture technology in Canada, will allow the company to refine and optimize their processes at scale via a contract manufacturer as well as fund a purpose-built manufacturing facility for production. In conjunction with Organigram's purchase of Debentures, Organigram and Hyasynth have entered into an agreement that allows Organigram to purchase a significant quantity of cannabinoids produced by Hyasynth.
"We are proud to work with Organigram and make this transformative technology available to the Canadian and global cannabis industry," says Kevin Chen, CEO, Co-founder, Hyasynth. "Applying our research to the engineering of cannabinoid-based products means we can help companies like Organigram create more, better and more accessible products, while also essentially eliminating product shortages. Our goal is to not only contribute to the evolution of a new industry but to also help take care of the people who use and rely on these products."
Pursuant to a debenture purchase agreement dated as of today's date (the "Debenture Purchase Agreement") among Hyasynth, Organigram and certain other investors purchasing debentures concurrently with Organigram (the "Investors"), Organigram has purchased $5 million in secured convertible 8% debentures, and Organigram will purchase up to an additional $5 million of Debentures of Hyasynth in a series of two other tranches of $2.5 million each based on Hyasynth attaining certain funding milestones and the satisfaction of certain other customary closing conditions.in respect of tranches two and three. Under the terms of the Debenture Purchase Agreement, the principal amount of the outstanding Debentures (but not interest) are convertible from time to time into common shares of Hyasynth at the option of the holder. In addition, in certain circumstances described in the Debenture Purchase Agreement, the principal amount of outstanding Debentures (but not interest) shall be automatically converted into common shares of Hyasynth upon the occurrence of certain events. Each such conversion will be at the various conversion prices applicable to each tranche of Debentures specified in the Debenture Purchase Agreement, which such conversion prices shall be subject to adjustment in accordance with the terms and conditions of the Debenture Purchase Agreement. If not converted, the principal amount of the Debentures, accrued interest, and other amounts payable thereunder mature on August 31, 2023, unless such maturity is accelerated in accordance with the provisions of the Debenture Purchase Agreement. Upon conversion, and if fully converted, the Hyasynth common shares issued to Organigram would represent a substantial interest in Hyasynth based on the current capitalization structure for Hyasynth, provided that such capitalization structure remains as such at the time of conversion. Organigram also has been granted certain investor rights and board representation. Organigram and the other Investors have been granted a security interest over the assets of Hyasynth as security for Hyasynth's obligations under the Debentures.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a TSX Venture Exchange listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of cannabis and cannabis-derived products in Canada.
Organigram is focused on producing the highest-quality, indoor-grown cannabis for patients and adult recreational consumers in Canada, as well as developing international business partnerships to extend the company's global footprint. In anticipation of the legal adult use recreational cannabis in Canada, Organigram has developed a portfolio of brands including The Edison Cannabis Company, Ankr Organics and Trailer Park Buds. Organigram's primary facility is located in Moncton, New Brunswick and the Company is regulated by the Access to Cannabis for Medical Purposes Regulations ("ACMPR").
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking information which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. Important factors - including the availability of funds, consummation of definitive documentation, the results of financing efforts, crop yields - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
For more information on Organigram please visit: www.Organigram.ca
SOURCE OrganiGram
For further information: on this press release, please contact: Organigram Holdings Inc., Paolo De Luca, Chief Financial Officer, paolo.deluca@organigram.ca, (416) 661-0947; Organigram Holdings Inc., Dylan Rogers, Investor Relations Analyst, drogers@organigram.ca, (506) 232-0121; Hyasynth Biologicals Inc., Kevin Chen, Chief Executive Officer, kevin.chen@hyasynthbio.com, (438) 863-6074
Organization Profile
OrganiGram
https://www.newswire.ca/news-releases/organigram-invests-in-hyasynth-biologicals-inc-helps-bring-transformative-cellular-agriculture-to-canadian-cannabis-industry-693130791.html
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Organigram and BAT Form Product Development Collaboration – Includes Strategic Investment from BAT for 19.9% Equity Interest March 11th, 2021
Accelerates Organigram’s R&D and product pipeline development, provides meaningful capital injection of ~C$221 million and strengthens Organigram’s ability to compete in existing markets and expand into U.S. and internationally
MONCTON, New Brunswick--(BUSINESS WIRE)-- Organigram Holdings Inc. (“OGI”, TSX: OGI and NASDAQ: OGI) is pleased to announce a C$221 million strategic investment from a wholly-owned subsidiary of BAT (LSE:BATS and NYSE:BTI). The BAT subsidiary has subscribed for approximately 58.3 million common shares of OGI, which represents a 19.9% equity interest1 on a post-transaction basis for total proceeds of approximately C$221 million (“Investment Proceeds”) at a price per share of C$3.792, based on a five-day volume weighted average price on the TSX ending March 9, 2021.
Organigram Inc., a leading licensed cannabis producer and a subsidiary of Organigram Holdings Inc. (together, “Organigram” or “the Company”), and BAT have also entered into a Product Development Collaboration Agreement (the “PDC Agreement”) pursuant to which a “Center of Excellence” will be established to focus on developing the next generation of cannabis products with an initial focus on CBD. The Center of Excellence will be located at Organigram’s indoor facility in Moncton, New Brunswick, which holds the Health Canada licenses required to conduct research and development (“R&D”) activities with cannabis products. Both companies will contribute scientists, researchers, and product developers to the Center of Excellence which will be governed and supervised by a steering committee consisting of an equal number of senior members from both companies. Under the terms of the PDC Agreement, both Organigram and BAT have access to certain of each other’s intellectual property (“IP”) and, subject to certain limitations, have the right to independently, globally commercialize the products, technologies and IP created by the Center of Excellence pursuant to the PDC Agreement.
“This is a tremendous milestone in the evolution of Organigram. It is instrumental in advancing our commitment to offering consumers innovative cannabis products and to furthering our long-term international strategy,” said Greg Engel, Chief Executive Officer of Organigram. “We have been extremely selective about aligning with a strategic partner and, in BAT, we’ve found a leading consumer goods business with sophisticated management, innovative product platforms, an impressive dedication to research and development, deep consumer insights, regulatory expertise and a commitment to responsible stewardship and consumer safety among many other enviable attributes. This collaboration is the culmination of extensive discussions and workshops and in-depth due diligence.”
Dr. David O’Reilly, Director, Scientific Research at BAT, commented: “Today’s announcement underscores BAT’s commitment to accelerating our transformation and building A Better Tomorrow. Our multi-category, consumer-centric approach, which is key to our transformation, aims to provide choice and meet the evolving needs of adult consumers. Choice that provides reduced risk alternatives2 to combustible cigarettes, as well as going beyond tobacco and nicotine into new and exciting areas of product innovation.
We believe this collaboration has significant potential to enhance our activities, allowing us to combine our world-class expertise while enabling scientists from both BAT and Organigram to work closely together and share information real-time. We know that in R&D this is how you make real breakthroughs and accelerate progress.
We have been impressed by the strong management team and culture at Organigram. This collaboration aligns with our long-term strategy and will enable us to work with Organigram at an R&D level, as well contributing to their wider operations.”
Strategic Rationale for the Deal
BAT’s investment in Organigram and the PDC Agreement is expected to strengthen Organigram’s balance sheet, accelerate its R&D program and product development activities and bolster its ability to enter the U.S. and other international markets. “In our view, the cannabis industry is still in the nascent stages of product development. We believe that product innovation backed by core fundamental R&D is necessary to establish a long-term competitive advantage in the cannabis industry,” stated Paolo De Luca, the Company’s Chief Strategic Officer. “This strategic collaboration strengthens our ability to deliver innovative, differentiated products that appeal to adult consumers and we expect it to be transformational for Organigram and its shareholders.”
Organigram believes BAT’s investment and the PDC will benefit the Company as follows:
Accelerates and strengthens Organigram’s R&D and product development activities, including granting access to certain BAT-owned IP. The Center of Excellence provides Organigram the opportunity to closely collaborate with BAT, a leading global consumer business with extensive expertise and experience in R&D, on the development of innovative and differentiated cannabis products, IP and technologies. The significant injection of capital from BAT also enables Organigram to further invest in its own R&D and product development activities.In addition, Organigram will gain access to certain BAT IP for the purpose of undertaking R&D activities under the PDC Agreement.
Raises significant capital to invest in growth opportunities, including entering the United States and other international markets. With the significant capital injection, Organigram is even better positioned to expand into the U.S. and further international markets at the appropriate time and subject to applicable law. Upon closing, Organigram will have pro-forma cash and short-term investments of approximately C$296 million (of which approximately C$30 million will be reserved in order to satisfy certain of Organigram’s obligations under the PDC Agreement and the balance of which can be used, among other things, for growth opportunities and other strategic investments including advancing Organigram’s international strategy). Under the PDC Agreement, the Company will be granted a worldwide, royalty-free, sub-licensable, perpetual license to exploit IP developed under the PDC in any field. This license which is non-exclusive outside of Canada and sole in Canada will also enhance Organigram’s ability to enter markets outside of Canada, including through sublicensing arrangements with established operators.
Allows Organigram to leverage BAT’s expertise for its wider operations through the Centre of Excellence and BAT’s representation on Organigram’s Board of Directors (“Board”). BAT is a leading consumer goods business with tremendous expertise and experience accumulated over more than a century in research and development and product innovation. Organigram will be provided direct access to BAT’s expertise through the Center of Excellence staff seconded from BAT (including members of the steering committee which will oversee the Center of Excellence, as well as a group of scientists, researchers, and product developers).
BAT is also entitled to add two Board members to Organigram’s Board.? At closing, Organigram added one BAT nominee, Mr. Jeyan Heper, to its Board and another nominee is expected to be added in the near term.? Mr. Heper, who is a Group Category Director at BAT, has over 23 years of diverse management, strategic leadership, and mergers and acquisitions experience at global companies including BAT, Procter & Gamble, Danone and LifeStyles Healthcare. His expertise includes growing value and volume share through global brand and equity building and consumer marketing. Both nominees are expected to bring deep R&D, product and strategic expertise to further complement Organigram’s existing Board capabilities as well as extend its international presence.? Further particulars regarding BAT’s second nominee and that nominee’s credentials will be provided upon appointment.
Key Transaction Terms
Investor Rights
Contemporaneously with the closing, Organigram and BAT entered into an investor rights agreement (the “Investor Rights Agreement”) providing BAT with certain rights including its right to participate in equity issuances to maintain its percentage shareholding, subject to customary exceptions, and periodic top-up rights to permit maintenance of its percentage ownership following exempt issuances.
The Investor Rights Agreement also includes customary pro rata piggy-back registration rights in favour of BAT, and certain share transfer restrictions for BAT’s shareholding interests in OGI.
Board Representation
BAT’s board representation rights under the Investor Rights Agreement, entitle BAT to appoint (i) 20% of the Board for so long as it holds at least 15% of the issued and outstanding common shares in OGI from time to time and (ii) 10% of the Board so long as BAT holds at least 10% of the issued and outstanding common shares of Organigram from time to time.
Product Development Collaboration
Pursuant to the terms of the PDC Agreement, approximately C$30 million of the Investment Proceeds shall be reserved in order to satisfy certain of Organigram’s obligations under the PDC Agreement (the “Allocated Investment Proceeds”), including Organigram’s portion of its funding obligations under a mutually agreed budget for the Center of Excellence, and then (together with the balance of the net Investment Proceeds) for general corporate purposes, subject to certain proceed restrictions. Costs relating to the Center of Excellence will be funded equally by Organigram and BAT.
Pursuant to the PDC Agreement, Organigram and BAT have agreed to jointly develop cannabis vapour products, cannabis oral products and any other products, IP or technologies the parties mutually agree to develop. BAT will own all IP developed under this collaboration and will grant to Organigram a royalty-free, perpetual, global licence to all such IP. Each party has also agreed to grant to the other a non-exclusive, perpetual and irrevocable license to certain existing IP of such party and its affiliates for purposes of conducting the development activities and exploiting the products, technologies and IP created by the Centre of Excellence pursuant to the PDC Agreement, subject to certain restrictions.
Advisors
BMO Capital Markets acted as exclusive financial advisor to Organigram and Goodmans LLP acted as its primary legal advisor with DLA Piper as its European counsel.
Herbert Smith Freehills LLP and Stikeman Elliott LLP acted as legal advisors to BAT.
Conference Call and Webcast
The Company will host a conference call and webcast to discuss this announcement:
Date:
March 11, 2021
8:00am Eastern Time
To register for the conference call, please use this link:
http://www.directeventreg.com/registration/event/7066166
To ensure you are connected for the full call, we suggest registering a minimum of 10 minutes before the start of the call. After registering, a confirmation will be sent through email, including dial in details and unique conference call codes for entry. Registration is open through the live call.
To access the webcast: https://event.on24.com/wcc/r/3068403/48F2A5FBA0B5C6B4184DD6205BE8A259
A replay of the webcast will be available within 24 hours after the conclusion of the call at https://www.organigram.ca/investors and will be archived for a period of 90 days following the call.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select and TSX listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of cannabis and cannabis-derived products in Canada.?
Organigram is focused on producing high-quality, indoor-grown cannabis for patients and adult recreational consumers in Canada, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed a portfolio of legal adult use recreational cannabis brands including The Edison Cannabis Company, SHRED and Trailblazer. Organigram’s facility?is located in?Moncton, New Brunswick and the Company is regulated by the?Cannabis Act and the?Cannabis Regulations?(Canada).
About BAT
BAT is a leading, multi-category consumer goods business, established in 1902. Our purpose is to build A Better Tomorrow™ by reducing the health impact of our business which entails:
Committing to providing adult consumers with a wide range of enjoyable and less risky products
Continuing to be clear that combustible cigarettes pose serious health risks, and the only way to avoid these risks is not to start or to quit
Encouraging those who otherwise continue to smoke, to switch completely to scientifically-substantiated, reduced-risk alternatives**
Tracking and sharing progress of our transformation
BAT has announced a target of increasing the number of its non-combustible product consumers to 50 million by 2030; and to achieve at least £5 billion in New Categories revenues in 2025.
** Based on the weight of evidence and assuming a complete switch from cigarette smoking. These products are not risk free and are addictive.
Forward-Looking Information
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). In addition, there can be no assurance that the collaboration will enhance Organigram’s ability to enter international markets, result in the development of successful new products, or otherwise achieve the anticipated benefits. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. The descriptions of the terms of the agreements referenced in this release are qualified by the terms of the agreements themselves, copies of which shall be filed under Organigram’s profile on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov).
1 Calculated on a non-diluted basis
2 Reduced Risk is based on the weight of evidence and assuming a complete switch from cigarette smoking to these products. These products are not risk free and are addictive.
For Investor Relations enquiries, please contact:
Amy Schwalm
Vice President, Investor Relations
amy.schwalm@organigram.ca
(416) 704-9057
For Media enquiries, please contact:
Marlo Taylor
mtaylor@gagecommunications.ca
Source: https://investors.organigram.ca/organigram-and-bat-form-product-development-collaboration-includes-strategic-investment-from-bat
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Thank you. That all sounds very lovely.
But, between the boiler plate and the round-and-round language, it really didn't tell me anything I was not already aware of.
I find the Hyasynth deal much more intriguing. I wonder how that is progressing?
On the Message Board if you scroll down to the Blue Box and hover your mouse you can click it and it will take you there directly. Or you can go to https://www.organigram.ca/
I'm curious about
Thanks for the $OGI update HunchBackGeek :)
OGI~OrganiGram Fiscal 2023 Results HIGHLIGHTS
• Recreational net revenue was $92.5 million for the nine months ended May 31, 2023, an increase of $8.0 million over the same prior-year period
• Increased sequential net revenue from Canadian recreational business by 7% vs. Q2 driven by continued success in hash and rebound in flower
• Organigram regained the #3 position in May and held it through June with 6.7% national market share
• Held the #1 position in milled flower, the #1 position in concentrates, and moved into the #2 position in gummies nationally in May1
• International sales for the first nine months of fiscal 2023 of $18.4 million exceeded the $9.5 million realized for the same prior-year period by 94%
• Completed first U.S. investment in Phylos Bioscience Inc. ("Phylos") to commercialize THCV and transition a portion of production capacity to more cost-effective and consistent seed-based production over time
• Completed investment in Green Tank Technologies Corp. ("Greentank") for initial exclusive access to new vapour heating technology
• Product Development Collaboration with BAT moving rapidly toward product commercialization
• SHRED brand is one of the largest cannabis brands in the Canadian market approaching $190 million in retail sales in the last 12-months
• Successfully launched 28 SKUs in the quarter for a total of 127 in market
• Completed ramp up of SHRED X Rip Strip production and distribution to meet strong consumer demand
• Announced supply agreement with Sanity Group GmbH ("Sanity Group") to supply medical cannabis to the promising German market
• Strong balance sheet with $75 million in cash and negligible debt
SOURCE: https://investors.organigram.ca/press-releases/organigram-reports-third-quarter-fiscal-2023-results
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At some point you run out of excuses. The best I can do with this one is use it to offset gains in other stocks.
Yep. Earnings disappointed me a bit as I don't like how they were blaming things like thc inflation. I have yet to listen to the cc that took place this am. As. For the usa. https://www.cannabisbusinesstimes.com/news/safe-banking-act-cannabis-gop-support-senate/
Yet, there is still the fanboy who speaks from a place of delusion.
This investment has been one huge disappointment! Nothing but a constant slide downwards with diminishing returns. A reverse split and now another failed quarter. Despite all of the initial hope and promise, what a joke this company has become.
Now I wish they kept it to themselves lol.
So where is the financial report that was supposed to come today? It was announced on "Business Wire" over a week ago.
I'm hopeful they accomplished everything they set out to do since the last cc!
I believe its going to heat up again soon. Some big names are bringing down the whole industry. Ogi, hiti, and I believe aurora canabis are ahead of the others in regards to clean things up since the hype back then. These 3 companies are all talking about being cashflow positive. Still risky, but this is even without usa and europe coming online.
STRONG BALANCE SHEET AND LIQUIDITY......
• Capital position is healthy, and there is sufficient liquidity
available for the near to medium term
• On November 30, 2022, the Company had cash and short-term
investments (excluding restricted funds) of $95 million
• Negligible debt (less than $0.3 million)
https://investors.organigram.ca/sites/default/files/documents/ogi_investors_Q1_2023_0.pdf
Thanks bud :)
OGI~OrganiGram conference call to discuss its results with... details as follows:
Date: Friday, July 14, 2023
Time: 8:00 am Eastern Time
To register for the conference call, please use this link: https://conferencingportals.com/event/RUyBPhzX
To ensure you are connected for the full call, we suggest registering a day in advance or at minimum 10 minutes before the start of the call. After registering, a confirmation will be sent through email, including dial in details and unique conference call codes for entry. Registration is open through the live call.
To access the webcast: https://events.q4inc.com/attendee/444750435
Participants will receive their details via email.
A replay of the webcast will be available within 24 hours after the conclusion of the call at organigram.ca/investors and will be archived for a period of 90 days following the call.
https://investors.organigram.ca/press-releases/organigram-to-report-third-quarter-fiscal-2023-results-on-july-13-2023
Organigram to Report Third Quarter Fiscal 2023 Results... on July 13, 2023
TORONTO--(BUSINESS WIRE)—July 7, 2023, Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), the parent company of Organigram Inc. (together, the “Company” or “Organigram”), a leading licensed producer of cannabis, announced today it will report earnings results for its third quarter fiscal 2023 ended May 31, 2023, on Thursday, July 13, 2023, after market close.
July 10th, 2023
The Company will host a conference call to discuss its results with details as follows:
Date: Friday, July 14, 2023
Time: 8:00 am Eastern Time
To register for the conference call, please use this link: https://conferencingportals.com/event/RUyBPhzX
To ensure you are connected for the full call, we suggest registering a day in advance or at minimum 10 minutes before the start of the call. After registering, a confirmation will be sent through email, including dial in details and unique conference call codes for entry. Registration is open through the live call.
To access the webcast: https://events.q4inc.com/attendee/444750435
Participants will receive their details via email.
A replay of the webcast will be available within 24 hours after the conclusion of the call at organigram.ca/investors and will be archived for a period of 90 days following the call.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly-owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused soft chews in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Big Bag O’ Buds, SHRED, SHRED’ems, Holy Mountain, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Megan McCrae
SVP, Marketing & Communications
megan.mccrae@organigram.ca
For investor enquiries:
Max Schwartz
Director of Investor Relations
investors@organigram.ca
Source: Organigram Holdings Inc.
https://investors.organigram.ca/press-releases/organigram-to-report-third-quarter-fiscal-2023-results-on-july-13-2023
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Well, OK, all know is some of these Canadian reefer stocks returned anywhere from 100 to 2000 percent a few years ago
The world has simply moved on to more lucrative endeavours
Not totally accurate, a few are holding their own until fed. regulation eases up. Home grown pot is also hurting sales.
Everything about all the reefer stocks has been uneventful since 2020
The hype about OGI's potential has been uneventful at best.
Wish they asked for an extension. O well.
Thanks for the latest $OGI PR HunchBackGeek
OGI~Organigram Announces Completion of Share Consolidation July/6th/2023 https://investors.organigram.ca/press-releases/organigram-announces-completion-of-share-consolidation
TORONTO--(BUSINESS WIRE)—July 5, 2023 - Organigram Holdings Inc. (“Organigram” or the “Company”) (TSX: OGI; NASDAQ: OGI) announced today that, further to its earlier press releases, it has completed the proposed consolidation of the Company’s issued and outstanding common shares at a consolidation ratio of four (4) pre-consolidation common shares for every one (1) post-consolidation common share (the “Share Consolidation”).
As of the date hereof, and following the Share Consolidation, there are 80,498,692 common shares issued and outstanding. Immediately prior to the Share Consolidation, the Company had 321,994,768 common shares issued and outstanding. No fractional common shares will be issued in connection with the Share Consolidation and no cash will be paid in lieu of fractional post-consolidation common shares. In the event that a registered shareholder would otherwise be entitled to receive a fractional common shares upon the occurrence of the Share Consolidation, such fraction will be rounded up or down to the nearest whole number.
A letter of transmittal with respect to the Consolidation is being mailed to the Company's registered shareholders only. All registered shareholders with certificated Common Shares will be required to send their share certificate(s) representing pre-consolidation Common Shares, along with a properly executed letter of transmittal, to the Company's transfer agent, TSX Trust, in accordance with the instructions provided in the letter of transmittal for share certificates representing post-consolidation common shares following the Share Consolidation or, alternatively, a Direct Registration System ("DRS") Advice/Statement representing the number of post-consolidation common shares they hold following the Share Consolidation. Registered shareholders may also obtain a copy of the letter of transmittal by accessing the Company's SEDAR profile at www.sedar.com or the Company's EDGAR profile at www.sec.gov. No action is required by beneficial shareholders (i.e. non-registered shareholders) to receive post-consolidation common shares in connection with the Consolidation. Beneficial shareholders who hold their common shares through intermediaries and who have questions regarding how the Share Consolidation will be processed should contact their intermediaries with respect to the Share Consolidation.
It is anticipated that the post-consolidation common shares will commence trading on the Toronto Stock Exchange (the "TSX") and Nasdaq Global Select Market (the "Nasdaq") under the new CUSIP number 68620P705 (CA68620P7056) at market open on July 7, 2023, subject to final confirmation from the TSX and the Nasdaq. The Company's name and current trading symbol (NASDAQ: OGI, TSX: OGI) will remain unchanged following the Consolidation.
As previously described, the Share Consolidation was implemented to ensure the Company continues to comply with Nasdaq listing requirements. On January 23, 2023, the Company received notification from Nasdaq that, as a result of its common share price falling below an average of US$1.00 for a consecutive 30 trading-day period, it is not in compliance with the continued listing standards. The Company expects the Share Consolidation to restore compliance with the Nasdaq’s continued listing standards, and to continue to provide access to a broad universe of investors, access to equity capital and trading liquidity. In addition, the Share Consolidation may also provide the potential benefits of (i) enhancing the marketability of the common shares given that an increase in the price per common share could increase the interest of institutional and other investors with policies that prohibit them from purchasing shares below a minimum price, and (ii) reducing volatility as a result of small changes in the share price of the common shares.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly-owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused soft chews in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Megan McCrae
SVP, Marketing & Communications
megan.mccrae@organigram.ca
For investor enquiries:
investors@organigram.ca
Source: Organigram Holdings Inc.Organigram Announces Completion of Share Consolidation July/6th/2023 https://investors.organigram.ca/press-releases/organigram-announces-completion-of-share-consolidation
TORONTO--(BUSINESS WIRE)—July 5, 2023 - Organigram Holdings Inc. (“Organigram” or the “Company”) (TSX: OGI; NASDAQ: OGI) announced today that, further to its earlier press releases, it has completed the proposed consolidation of the Company’s issued and outstanding common shares at a consolidation ratio of four (4) pre-consolidation common shares for every one (1) post-consolidation common share (the “Share Consolidation”).
As of the date hereof, and following the Share Consolidation, there are 80,498,692 common shares issued and outstanding. Immediately prior to the Share Consolidation, the Company had 321,994,768 common shares issued and outstanding. No fractional common shares will be issued in connection with the Share Consolidation and no cash will be paid in lieu of fractional post-consolidation common shares. In the event that a registered shareholder would otherwise be entitled to receive a fractional common shares upon the occurrence of the Share Consolidation, such fraction will be rounded up or down to the nearest whole number.
A letter of transmittal with respect to the Consolidation is being mailed to the Company's registered shareholders only. All registered shareholders with certificated Common Shares will be required to send their share certificate(s) representing pre-consolidation Common Shares, along with a properly executed letter of transmittal, to the Company's transfer agent, TSX Trust, in accordance with the instructions provided in the letter of transmittal for share certificates representing post-consolidation common shares following the Share Consolidation or, alternatively, a Direct Registration System ("DRS") Advice/Statement representing the number of post-consolidation common shares they hold following the Share Consolidation. Registered shareholders may also obtain a copy of the letter of transmittal by accessing the Company's SEDAR profile at www.sedar.com or the Company's EDGAR profile at www.sec.gov. No action is required by beneficial shareholders (i.e. non-registered shareholders) to receive post-consolidation common shares in connection with the Consolidation. Beneficial shareholders who hold their common shares through intermediaries and who have questions regarding how the Share Consolidation will be processed should contact their intermediaries with respect to the Share Consolidation.
It is anticipated that the post-consolidation common shares will commence trading on the Toronto Stock Exchange (the "TSX") and Nasdaq Global Select Market (the "Nasdaq") under the new CUSIP number 68620P705 (CA68620P7056) at market open on July 7, 2023, subject to final confirmation from the TSX and the Nasdaq. The Company's name and current trading symbol (NASDAQ: OGI, TSX: OGI) will remain unchanged following the Consolidation.
As previously described, the Share Consolidation was implemented to ensure the Company continues to comply with Nasdaq listing requirements. On January 23, 2023, the Company received notification from Nasdaq that, as a result of its common share price falling below an average of US$1.00 for a consecutive 30 trading-day period, it is not in compliance with the continued listing standards. The Company expects the Share Consolidation to restore compliance with the Nasdaq’s continued listing standards, and to continue to provide access to a broad universe of investors, access to equity capital and trading liquidity. In addition, the Share Consolidation may also provide the potential benefits of (i) enhancing the marketability of the common shares given that an increase in the price per common share could increase the interest of institutional and other investors with policies that prohibit them from purchasing shares below a minimum price, and (ii) reducing volatility as a result of small changes in the share price of the common shares.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly-owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused soft chews in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Megan McCrae
SVP, Marketing & Communications
megan.mccrae@organigram.ca
For investor enquiries:
investors@organigram.ca
Source: Organigram Holdings Inc.
https://investors.organigram.ca/press-releases/organigram-announces-completion-of-share-consolidation
Awesome! My absence here lately is only because of being consumed with life events! I believe safe and rescheduling are going to happen this fall, with ogi, hiti, and my acb stocks all talking about being cashflow positive, and the usa catalyst i believe is coming, we have the potential for some nice rewards. Still very risky...and with the over supply issues... hopefully these companies being irresponsible with overproduction get absorbed over this year as well as maybe that will help us out on the margins once that happens
June 20th, 2023 Organigram Announces Effective Date of Share Consolidation https://investors.organigram.ca/press-releases/organigram-announces-effective-date-of-share-consolidation
TORONTO--(BUSINESS WIRE)—June 19, 2023 - Organigram Holdings Inc. (“Organigram” or the “Company”) (TSX: OGI; NASDAQ: OGI) announced today that its Board has approved the consolidation of the Company’s issued and outstanding common shares at a consolidation ratio of four (4) pre-consolidation common shares for every post-consolidation common share (the “Share Consolidation”). The Share Consolidation is being implemented to ensure the Company continues to comply with Nasdaq listing requirements, reduce volatility and to enhance the marketability of the common shares to institutional investors.
The Share Consolidation is subject to approval by the Toronto Stock Exchange and the Nasdaq Global Select Market and is expected to become effective on July 5, 2023 with the post-Share Consolidation common shares commencing trading on the Toronto Stock Exchange and Nasdaq Global Select Market at market open on July 7, 2023. Shareholders do not need to take any action with respect to the Share Consolidation, as the process will be completed automatically through the Company's transfer agent.
Upon completion of the Share Consolidation, the Company's common shares will continue to trade on the Toronto Stock Exchange and Nasdaq Global Select Market under the same ticker symbols.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly-owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused soft chews in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Paolo De Luca
Chief Strategy Officer
paolo.deluca@organigram.ca
For investor enquiries:
investors@organigram.ca
Source: Organigram Holdings Inc.
Ultra High-THC Infused Pre-Rolls, SHRED X Heavies...
SHRED X Heavies is one of the only infused pre-roll offerings to combine diamonds, distillate, and botanical terpenes, providing an unparalleled experience in a convenient 0.5g pre-roll.
https://investors.organigram.ca/press-releases/organigram-introduces-ultra-high-thc-infused-pre-rolls-shred-x-heavies
Organigram Makes First Strategic U.S. Investment in Phylos Bioscience to Commercialize THCV and Scale Seed Based Productionhttps://investors.organigram.ca/press-releases/organigram-makes-first-strategic-us-investment-in-phylos-bioscience-to-commercialize
Phylos is a recognized leader in seed genetics with a growing IP portfolio including the highest potency THCV cultivars available
Organigram will launch new products in Canada containing THCV, a novel and rare cannabinoid referred to by consumers as “Diet Weed”, and that is gaining popularity for its reported effects of wellness, energy and focus.
Organigram expects to launch whole plant derived THCV vape and gummy SKUs as early as summer of 2023.
Phylos will develop production ready first generation (“F1”) hybrid cannabis seeds for Organigram, further unlocking low cost, high potency flower for multiple product formats.
TORONTO, May 25, 2023 --- Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), (the "Company" or "Organigram"), a leading licensed producer of cannabis, announced today that it has reached agreement with Phylos Bioscience Inc. (“Phylos”), a U.S. cannabis genetics company and provider of production ready seeds, based in Portland, Oregon, to initiate a wide-ranging technical and commercial relationship in Canada. This innovation relationship is expected to further support Organigram’s industry leading cultivation efforts in Canada with patent-pending foundational technologies and genetics. In the future, subject to receipt of any required approvals and permits, Organigram intends to export THCV products to select legal international markets.
“This marks Organigram’s first U.S. investment and advances its strategy to create cost-effective, innovative cannabis products that consumers want. We know consumers are using cannabis products for a variety of purposes, which is why genetics with high concentrations of novel cannabinoids like THCV are of particular interest. THCV is often referenced for its apparent appetite suppressing effect1, and provides an energizing, focusing and uplifting consumer experience, one that is clearly differentiated from the real or perceived appetite-stimulating effects of THC”, says Beena Goldenberg, Chief Executive Officer of Organigram. “This Canadian arrangement also creates a commercial path from seed to flower that is expected to significantly reduce operating costs and improve margins. Using genetically identical seeds with stabilized characteristics such as potency, terpene profile, aroma, minor cannabinoid concentrations, and more, precludes the need for cloning and propagation, decreasing genetic maintenance and increasing plant vigor and health. We intend to explore opportunities to expand our reach with THCV and robust, stabilized cannabis genetics into emerging and profitable international markets.”
Chief Executive Officer of Phylos, Ralph Risch says, “Phylos is built on science. We mapped the cannabis genome in 2016 and have developed a suite of proprietary and patent pending processes, technologies and products. This will enable Organigram to efficiently accelerate its product development efforts as well as become a more cost-effective producer. With our shared science and innovation driven approach, we see immediate benefits to aligning our capabilities in legal markets.”
THCV (Delta 9-Tetrahydrocannabivarin)
THCV is a minor cannabinoid that has been shown to provide a distinctive user experience with an energizing and focused effect, low to no cognitive impairment or intoxication2 compared to THC and has been shown to have potential as an appetite suppressant. Phylos has developed, and is continuing to develop, proprietary high-THCV genetics in various THCV:THC ratios where each ratio creates a differentiated user experience and can be delivered in a wide range of product formats.
Production-Ready Seeds
F1 Hybrid Phylos Production-Ready Seed™ enables direct sowing of cannabis seeds compared to today's clone-based production. Seed-based production offers the economic advantages of reduced labour while recapturing existing facility footprint currently used by Organigram for raising clones for production. Further, Phylos maintains a suite of phenotypically stable ‘parent’ genetics which provide an avenue for breeding vigorous, uniform plants with intentionally selected, stable and highly consistent desirable qualities that today’s consumers seek.
Strategic Rationale and Opportunities
This transaction is poised to strengthen Organigram’s capabilities as follows:
Organigram would become the first Canadian licensed producer to release high potency whole plant derived THCV in Canada based on Phylos’ genetics platform;
Enabling Organigram to modernize cannabis production and employ seed-based production at scale;
Providing Organigram with access to new, proprietary genetic identification tools that are expected to enable efficient and rapid development of unique, proprietary cultivars driven by consumer preferences; and
Enabling Organigram to develop seed-based F1 hybrid genetics for key Organigram brands such as SHRED, providing future opportunities to offer ‘turn-key’ U.S. and International licensing of seed-based genetics and an established cannabis brand when and where legal.
Convertible Loan Details
Under the terms of the Loan Agreement, Organigram will advance up to US $8 million to Phylos in three tranches. Organigram advanced Phylos an initial US $3.25 million on the date hereof (the “Initial Closing Date”) with a commitment to fund up to an additional US $4.75 million over two tranches within 12 and 24 months from the Initial Closing Date, upon the completion of certain milestones.
The Convertible Loan will accrue paid-in-kind interest (“PIK”) at a rate of U.S. Prime + 3.5% (with an overall cap of 11%) subject to certain conditions. The maturity date of the Convertible Loan will be on the fifth anniversary of the Initial Closing Date subject to one-year extensions and subject to certain conditions. The Convertible Loan (principal and PIK outstanding) is convertible into common share equity of Phylos under certain circumstances (including but not limited to federal legalization or decriminalization of cannabis in the United States).
About Organigram Holdings Inc.
Organigram Holdings Inc. is a Nasdaq Global Select Market and TSX listed company whose wholly owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused edibles in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
About Phylos Bioscience Inc.
Phylos is a cannabis genetics company focused on producing genetics for the highest quality varietals that can be grown at scale in a cost-effective way. Phylos owns and sells products that are legal under US and Canadian laws – seeds that the US Drug Enforcement Administration (“DEA”) has deemed are hemp and exempt from the CSA under US law – and intellectual property related to the seeds. Phylos supports commercial-scale cultivation with the industry’s first Production-Ready Seed™: premium, phenotypically stable, fully feminized F1 hybrid seeds that deliver exceptional flower quality, potency, vigor, and yield. Phylos also leverages its proprietary technologies and its cultivation, extraction, and formulation expertise to provide partners with unparalleled THCV genetics for natural, safe and effective ingredients.
Forward-Looking Information
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include regulatory conditions, timing for federal legalization of cannabis in the U.S. and changing regulatory conditions, availability of import and export permits, changes to market conditions, consumer preferences and regulatory climate, and factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Paolo De Luca
Chief Strategy Officer
paolo.deluca@organigram.ca
For investor enquiries:
Max Schwartz
Director of Investor Relations
investors@organigram.ca
Footnotes
Jadoon, Khalid A et al. “Efficacy and Safety of Cannabidiol and Tetrahydrocannabivarin on Glycemic and Lipid Parameters in Patients With Type 2 Diabetes: A Randomized, Double-Blind, Placebo-Controlled, Parallel Group Pilot Study.” Diabetes care vol. 39,10 (2016): 1777-86. doi:10.2337/dc16-0650 https://pubmed.ncbi.nlm.nih.gov/27573936/
Cascio, Maria Grazia et al. “The phytocannabinoid, ??-tetrahydrocannabivarin, can act through 5-HT1A receptors to produce antipsychotic effects.” British journal of pharmacology vol. 172,5 (2015): 1305-18. doi:10.1111/bph.13000 https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4337703/
"Organigram Introduces Ultra High-THC Infused Pre-Rolls, SHRED X Heavies"
SHRED X Heavies is one of the only infused pre-roll offerings to combine diamonds, distillate, and botanical terpenes, providing an unparalleled experience in a convenient 0.5g pre-roll. June 21st, 2023
SHRED X HEAVIES
Toronto, Ontario – June 21, 2023 - Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), (the “Company” or “Organigram”), a leading licensed producer of cannabis, is pleased to announce the launch of SHRED X Heavies, a line of innovative infused pre-rolls. Infused with both diamonds and distillate, this is the first infused pre-roll offering from Organigram that will have a potency of over 40%. The infusion of botanical terpenes further enhances the natural terpene profiles of the blends, taking them to new and delicious heights.
Each Heavies package, or “doob tube”, will contain three 0.5g infused pre-rolls and will be available in Tropic Thunder and Gnarberry, two of SHRED’s best-selling pre-milled blends, as well as the popular Blueberry Blaster flavour, a smooth blueberry and Kush flavour blend from the Rip-Strip hash range.
"We recognized the growing consumer demand for infused pre-rolls, which accounted for over a quarter of all pre-roll sales, and more than 9% of the total cannabis category in March 2023 (Source: Hifyre). We are dedicated to exceeding our consumers' expectations by offering them exceptional products that deliver remarkable value and an unforgettable brand experience," says Beena Goldenberg, Chief Executive Officer at Organigram.
SHRED X Heavies not only establishes itself as the first infused pre-roll in the SHRED product portfolio but also joins the esteemed lineup of value-driven, convenient, and boldly flavoured offerings such as SHRED X Rip-Strip Hash, SHRED pre-milled flower, SHRED Jar of Joints, SHRED’ems gummies and SHRED X vapes.
"Addressing the key factors that drive consumer purchases - price, potency, and flavour – SHRED X Heavies is poised to become a category leader in all three aspects. This exciting new product offers the perfect summer indulgence, satisfying the preferences that our consumer base cares about most," says Megan McCrae, SVP, Marketing and Communications at Organigram.
"At Organigram, we take pride in using valuable consumer insights to guide our product development process, focusing on specific consumer segments and needs. We strive to be a trusted companion in the cannabis journey for our consumers, providing them with best-in-class products that are expertly executed from production to packaging,” added Borna Zlamalik, Senior Vice President of Innovation and R&D at Organigram.
Learn more by following along on our Twitter page (@SHREDWEED) and visit our website at shredcann.com
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused edibles in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
Contacts
For Investor Relations enquiries:
Max Schwartz
Director of Investor Relations
investors@organigram.ca
For Media enquiries:
Megan McCrae
SVP, Marketing and Communications
megan.mccrae@organigram.ca
1 for 4. Not terrible. Hate splits but one of the better CA companies. I will hold.
Lol, I meant GUMMIES. Looks like I made a fruedian slip.
I agree. Ready to move-up. Exports, Vapes, Gimmies, Organic products and at this PPS!
Poised for upward movement.
Thanks for the company info HunchBackGeek
OGI ~OrganiGram "KEY INTERNATIONAL SUPPLY ARRANGEMENTS"...
• $5.9 million of flower revenue in Q1 F23, growing 71% from $3.4 million in Q1 F22
• High margin and not subject to excise tax
• Continued supply of dried flower to Canndoc for processing and distribution into Israeli medical
market1
• November 17, 2022: entered into a new multi-year Strategic Agreement with Canndoc to
supply up to 20,000kg of dry flower to Israel
• Opportunity to launch Organigram-branded medical products in Israel, and grants exclusivity
and related rights to Canndoc in Israel market
• Continued shipments made to Medcan and Cannatrek in Australia
The above information is located in OrganiGram's "Investor Presentation" download Page 28.
https://investors.organigram.ca/sites/default/files/documents/ogi_investors_Q1_2023_0.pdf
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Hunchbackgeek thanks for the $OGI DD from the company
OGI ~ OrganiGram Edibles and Infusions... https://investors.organigram.ca/press-releases/organigram-announces-achievement-of-earnout-by-the-edibles-and-infusions-corporation#main-content
Achievement of Earnout by The Edibles and Infusions Corporation
TORONTO, May 19, 2023 --- Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), (the "Company" or "Organigram"), a leading licensed producer of cannabis, announced today that its wholly-owned subsidiary, The Edibles and Infusions Corporation (“EIC”) has met certain of the remaining earnout milestones that formed part of the terms of its acquisition in April, 2021.
Organigram acquired EIC in April 2021 for consideration of $22 million plus up to an additional $13 million in share consideration based on the achievement of certain milestones. In September 2021, the Company issued 1,039,192 common shares to the vendors in that acquisition (the “Vendors”) as consideration for the first milestone earnout representing $3.5 million in consideration.
Effective today, Organigram has issued an additional 7,943,107 common shares to the vendors representing $5 million in consideration for achievement of a second and final milestone. This represents total earnout consideration for the acquisition of $8.5 million. Up to an additional $2 million in Organigram common shares may be subsequently issued depending on the outcome of outstanding contractual matters relating to the EIC acquisition.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused edibles in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
Forward-Looking Information
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information including factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Paolo De Luca
Chief Strategy Officer
paolo.deluca@organigram.ca
For investor enquiries:
Max Schwartz
Director of Investor Relations
investors@organigram.ca
"Organigram to Enter German Market Supplying Sanity Group"......
May 23rd, 2023 https://investors.organigram.ca/press-releases/organigram-to-enter-german-market-supplying-sanity-group
"Organigram to Enter German Market Supplying Sanity Group"
Organigram to supply the medical division of German cannabis company Sanity Group with high-quality medical flower for distribution in Germany.
Germany is expected to legalize recreational cannabis and remains the largest addressable cannabis market in Europe as a result.
Both Organigram and Sanity Group have received strategic investments from BAT
Toronto May 23, 2023 -- Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), (the "Company" or "Organigram"), a leading licensed producer of cannabis, is pleased to announce today that it has entered into a supply agreement (“the Agreement”) for dried flower with the medical division of German cannabis company Sanity Group, a health and life sciences company based in Berlin, Germany, dedicated to the medical applications of cannabinoids. Through exports from its flagship state-of-the-art cultivation facility in Moncton, Organigram already services medical patients in Israel and Australia, and will now add Germany to its growing list of international markets.
Under the terms of the Agreement, the Company will provide high-quality, indoor-grown dried flower product to Sanity Group and grant Sanity Group strain exclusivity on certain genetics.
“With the German cannabis industry slowly moving toward a recreational adult-use model, we are excited to begin solidifying our relationships with reputable medical cannabis product developers and distributors like Sanity Group”, says Beena Goldenberg, Chief Executive Officer of Organigram. “We are committed to providing customers and medical patients in Australia, Israel, and now Germany, with high-quality cannabis, produced through industry-leading research, development and consumer-led insights.”
“We look forward to bringing Organigram’s high-quality indoor-grown flower to our German medical patients,” said Finn Age Hänsel, Managing Director & Founder of Sanity Group. “Organigram consistently ranks as a leader in flower sales nationally in Canada and will be providing us with exclusivity on certain strains within the German market.”
Activities under the Agreement are subject to compliance with all applicable laws, including receipt of all requisite approvals from Health Canada, the German Ministry of Health, and any other applicable regulatory authorities.
About Sanity Group
Berlin-based Sanity Group aims to improve people’s quality of life through the use of cannabinoids and the endocannabinoid system. In addition to pharmaceuticals, the focus is also on wellbeing and cosmetic products that utilize cannabinoids. Sanity Group, founded in Berlin in 2018 by Finn Age Hänsel and Fabian Friede, includes Vayamed and AVAAY Medical (medicinal cannabis), Endosane Pharmaceuticals (finished pharmaceuticals), Belfry Medical (medical products and digital applications), VAAY (wellbeing) and This Place (natural cosmetics). Near Frankfurt am Main, Sanity Group also operates a production and processing facility for cannabis extracts. More information can be found on sanitygroup.com/press.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused edibles in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
Forward-Looking Information
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include changes to market conditions, consumer preferences and regulatory climate, and factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. This news release contains information concerning the cannabis industry and the markets in which the Company operates, including market position and market share, which is based on information from independent third-party sources. Although we believe these sources to be generally reliable, market and industry data is inherently imprecise, subject to interpretation and cannot be verified with complete certainty due to limits on the availability and reliability of raw data, the voluntary nature of the data gathering process, and other limitations and uncertainties inherent in any statistical survey or data collection process. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Paolo De Luca
Chief Strategy Officer
paolo.deluca@organigram.ca
For investor enquiries:
Max Schwartz
Director of Investor Relations
investors@organigram.ca
OGI ~ "First Strategic U.S. Investment"... https://investors.organigram.ca/press-releases/organigram-makes-first-strategic-us-investment-in-phylos-bioscience-to-commercialize
"Organigram Makes First Strategic U.S. Investment in Phylos Bioscience to Commercialize THCV and Scale Seed Based Production"
May 25th, 2023
Phylos is a recognized leader in seed genetics with a growing IP portfolio including the highest potency THCV cultivars available
Organigram will launch new products in Canada containing THCV, a novel and rare cannabinoid referred to by consumers as “Diet Weed”, and that is gaining popularity for its reported effects of wellness, energy and focus.
Organigram expects to launch whole plant derived THCV vape and gummy SKUs as early as summer of 2023.
Phylos will develop production ready first generation (“F1”) hybrid cannabis seeds for Organigram, further unlocking low cost, high potency flower for multiple product formats.
TORONTO, May 25, 2023 --- Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), (the "Company" or "Organigram"), a leading licensed producer of cannabis, announced today that it has reached agreement with Phylos Bioscience Inc. (“Phylos”), a U.S. cannabis genetics company and provider of production ready seeds, based in Portland, Oregon, to initiate a wide-ranging technical and commercial relationship in Canada. This innovation relationship is expected to further support Organigram’s industry leading cultivation efforts in Canada with patent-pending foundational technologies and genetics. In the future, subject to receipt of any required approvals and permits, Organigram intends to export THCV products to select legal international markets.
“This marks Organigram’s first U.S. investment and advances its strategy to create cost-effective, innovative cannabis products that consumers want. We know consumers are using cannabis products for a variety of purposes, which is why genetics with high concentrations of novel cannabinoids like THCV are of particular interest. THCV is often referenced for its apparent appetite suppressing effect1, and provides an energizing, focusing and uplifting consumer experience, one that is clearly differentiated from the real or perceived appetite-stimulating effects of THC”, says Beena Goldenberg, Chief Executive Officer of Organigram. “This Canadian arrangement also creates a commercial path from seed to flower that is expected to significantly reduce operating costs and improve margins. Using genetically identical seeds with stabilized characteristics such as potency, terpene profile, aroma, minor cannabinoid concentrations, and more, precludes the need for cloning and propagation, decreasing genetic maintenance and increasing plant vigor and health. We intend to explore opportunities to expand our reach with THCV and robust, stabilized cannabis genetics into emerging and profitable international markets.”
Chief Executive Officer of Phylos, Ralph Risch says, “Phylos is built on science. We mapped the cannabis genome in 2016 and have developed a suite of proprietary and patent pending processes, technologies and products. This will enable Organigram to efficiently accelerate its product development efforts as well as become a more cost-effective producer. With our shared science and innovation driven approach, we see immediate benefits to aligning our capabilities in legal markets.”
THCV (Delta 9-Tetrahydrocannabivarin)
THCV is a minor cannabinoid that has been shown to provide a distinctive user experience with an energizing and focused effect, low to no cognitive impairment or intoxication2 compared to THC and has been shown to have potential as an appetite suppressant. Phylos has developed, and is continuing to develop, proprietary high-THCV genetics in various THCV:THC ratios where each ratio creates a differentiated user experience and can be delivered in a wide range of product formats.
Production-Ready Seeds
F1 Hybrid Phylos Production-Ready Seed™ enables direct sowing of cannabis seeds compared to today's clone-based production. Seed-based production offers the economic advantages of reduced labour while recapturing existing facility footprint currently used by Organigram for raising clones for production. Further, Phylos maintains a suite of phenotypically stable ‘parent’ genetics which provide an avenue for breeding vigorous, uniform plants with intentionally selected, stable and highly consistent desirable qualities that today’s consumers seek.
Strategic Rationale and Opportunities
This transaction is poised to strengthen Organigram’s capabilities as follows:
Organigram would become the first Canadian licensed producer to release high potency whole plant derived THCV in Canada based on Phylos’ genetics platform;
Enabling Organigram to modernize cannabis production and employ seed-based production at scale;
Providing Organigram with access to new, proprietary genetic identification tools that are expected to enable efficient and rapid development of unique, proprietary cultivars driven by consumer preferences; andEnabling Organigram to develop seed-based F1 hybrid genetics for key Organigram brands such as SHRED, providing future opportunities to offer ‘turn-key’ U.S. and International licensing of seed-based genetics and an established cannabis brand when and where legal.
Convertible Loan Details
Under the terms of the Loan Agreement, Organigram will advance up to US $8 million to Phylos in three tranches. Organigram advanced Phylos an initial US $3.25 million on the date hereof (the “Initial Closing Date”) with a commitment to fund up to an additional US $4.75 million over two tranches within 12 and 24 months from the Initial Closing Date, upon the completion of certain milestones.
The Convertible Loan will accrue paid-in-kind interest (“PIK”) at a rate of U.S. Prime + 3.5% (with an overall cap of 11%) subject to certain conditions. The maturity date of the Convertible Loan will be on the fifth anniversary of the Initial Closing Date subject to one-year extensions and subject to certain conditions. The Convertible Loan (principal and PIK outstanding) is convertible into common share equity of Phylos under certain circumstances (including but not limited to federal legalization or decriminalization of cannabis in the United States).
About Organigram Holdings Inc.
Organigram Holdings Inc. is a Nasdaq Global Select Market and TSX listed company whose wholly owned subsidiaries include: Organigram Inc. and Laurentian Organic Inc., licensed producers of cannabis and cannabis-derived products in Canada, and The Edibles and Infusions Corporation, a licensed manufacturer of cannabis-infused edibles in Canada.
Organigram is focused on producing high-quality, cannabis for patients and adult recreational consumers, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).
About Phylos Bioscience Inc.
Phylos is a cannabis genetics company focused on producing genetics for the highest quality varietals that can be grown at scale in a cost-effective way. Phylos owns and sells products that are legal under US and Canadian laws – seeds that the US Drug Enforcement Administration (“DEA”) has deemed are hemp and exempt from the CSA under US law – and intellectual property related to the seeds. Phylos supports commercial-scale cultivation with the industry’s first Production-Ready Seed™: premium, phenotypically stable, fully feminized F1 hybrid seeds that deliver exceptional flower quality, potency, vigor, and yield. Phylos also leverages its proprietary technologies and its cultivation, extraction, and formulation expertise to provide partners with unparalleled THCV genetics for natural, safe and effective ingredients.
Forward-Looking Information
This news release contains forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “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 involves known and unknown risks, uncertainties and other factors that may cause actual results, events, performance or achievements of Organigram to differ materially from current expectations or future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information include regulatory conditions, timing for federal legalization of cannabis in the U.S. and changing regulatory conditions, availability of import and export permits, changes to market conditions, consumer preferences and regulatory climate, and factors and risks as disclosed in the Company’s most recent annual information form, management’s discussion and analysis and other Company documents filed from time to time on SEDAR (see www.sedar.com) and filed or furnished to the Securities and Exchange Commission on EDGAR (see www.sec.gov). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For media enquiries:
Paolo De Luca
Chief Strategy Officer
paolo.deluca@organigram.ca
For investor enquiries:
Max Schwartz
Director of Investor Relations
investors@organigram.ca
Footnotes
Jadoon, Khalid A et al. “Efficacy and Safety of Cannabidiol and Tetrahydrocannabivarin on Glycemic and Lipid Parameters in Patients With Type 2 Diabetes: A Randomized, Double-Blind, Placebo-Controlled, Parallel Group Pilot Study.” Diabetes care vol. 39,10 (2016): 1777-86. doi:10.2337/dc16-0650 https://pubmed.ncbi.nlm.nih.gov/27573936/
Cascio, Maria Grazia et al. “The phytocannabinoid, ??-tetrahydrocannabivarin, can act through 5-HT1A receptors to produce antipsychotic effects.” British journal of pharmacology vol. 172,5 (2015): 1305-18. doi:10.1111/bph.13000 https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4337703/
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