Lexaria Bioscience Corp (LEXX)

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Summary

2019 was the best year of corporate progress that Lexaria has ever experienced. We started the year with a major announcement with one of the world’s largest companies evaluating our technology, including a negotiated royalty fee applicable to world-wide sales of products utilizing DehydraTECH: our biggest licensing deal ever. We hope to announce ongoing progress with this relationship early in 2020, and we also hope to attract new Fortune 500 CPG licensees in the coming year as well.

Through a partner, we opened a new US facility capable of manufacturing at a potential current rate of up to 200,000 servings of enhanced DehydraTECH powders per day, and we expect this to begin generating licensing as well as fee-for-goods and services revenues for us in early 2020. We signed new corporate clients in the cannabinoid sector throughout the year, many of whom expect to commence retail operations in 2020, and we are increasingly attracting the interest of larger, more established MSOs in the field.

We received approval from Health Canada to open and operate our new cannabis R&D facility in our head office newly-built in Kelowna, Canada, through which we intend to continue to broaden our formulation and IP development and increasingly attract Canadian DehydraTECH licensees with the recent dawn of the legal edibles sector in Canada.

We received our first medical claim patent grants, opening the door to increased likelihood of pharmaceutical operations to come. Lexaria continues to develop its proprietary drug delivery platform and is working on commercial release of DehydraTECH version 2.0 sometime in 2020 with even faster delivery than ever before.

We continue to face headwinds that we need to overcome. We need to evidence wider adoption of our technology within the cannabinoid industries. We also need to provide evidence to the investing public that Lexaria is not a cannabis production company but instead should be distinguished and valued as a leading biotech company with a patented, proprietary drug delivery technology with applications to many industries.

Lexaria expects strong, sustainable revenue growth in 2020 and beyond. We are working towards an application for a national stock exchange listing; hoping to announce additional Fortune-500 relationships; and significant new client relationships.

We are working diligently so that, when we look back on 2020 we remember it only as, “It was the best of times…”