Transcanna Holdings Inc (TCAN)

[MontereyBud]

TransCanna Receives Adelanto Adult Use Permits For Manufacturing and Distribution

"Transcanna Holdings Inc. (CSE:TCAN: XETR: TH8) (“TransCanna” or the “Company”) is pleased to announce the Company’s wholly owned subsidiary, TCM Distribution, Inc., has received an Adult Use Cannabis Manufacturing permit and an Adult Use cannabis distribution permit from the City of Adelanto, California," according to online reports.

"As previously reported on April 18, 2019, TCM Distribution sub-leased 10,000 square feet of warehouse space in Adelanto. Thereafter, TCM Distribution applied for the above two referenced permits with the City of Adelanto which were received on May 28, 2019. TCM Distribution has applied for its state of California Adult Use permanent manufacturing license and distribution licenses, which are pending."

“The purpose of the Adelanto facility is two-fold; first, it’ll be used as one of our southern California satellite facilities for goods being transported from our 196,000 square foot vertically integrated, cannabis focused facility in Modesto. Second, with the non-volatility manufacturing license we’ll be able to accommodate the production and packaging of pre-rolled cannabis products and other products of similar nature, then distribute them accordingly,” stated Jim Pakulis, CEO of TransCanna.

“GoodFellas, one of the entities the Company is preparing to acquire, will be transferring all revenue generating distribution and manufacturing processes to Adelanto once the facility receives its Certificate of Occupancy from the city, and state distribution and manufacturing permits. We anticipate this being completed by the end of June.”

In addition, the TCM Distribution recently purchased and upgraded its state mandated transportation vehicle. The vehicle was purchased in March and received the state required alterations in order to assure state compliance.

In other news, the Company is pleased that the Adelanto city counsel in May approved reducing the tax on transportation, distribution, manufacturing and cannabis testing lab services from 5% down to 1%. The counsel also voted to reduce the cultivation tax from $5 per month per square foot to 42 cents per month per square foot. The dispensaries tax was also reduced from 5% down to 3%.