KINGSVILLE, Ontario – February 21, 2022 – Greenway Greenhouse Cannabis Corporation (CSE:GWAY) (“Greenway Greenhouse” or the “Company”) acknowledges one year of successful operations since being licensed for cultivation on February 5, 2021.
“We are proud of our team and what we have accomplished over our first year of operations, owing to the tireless efforts in the years of planning it took to get us here,” said Carl Mastronardi, President of Greenway Greenhouse.
“Our first year of operations has been a resounding success, I can’t think of a better and more sustainable way to enter the Canadian cannabis industry,” said Jamie D’Alimonte, CEO of Greenway Greenhouse. “We’re starting as a ‘right-sized’ operator that will never stray from the core fundamentals that have guided us to success.”
Product Development and Improvement
- Thirty cultivation lots of 250-2000 plants
- THC potency improved by over 33%
- Terpene production and retention improved by over 25%
Since cultivation began at Greenway Greenhouse, thirty lots ranging from 250 to 2000 plants have passed either completely, or in part, through growth, processing, and sale.
Since initial crops, Greenway cultivation has seen marked improvements in cannabinoid potency, terpene retention, visual appeal, and overall product quality. Continued cultivation optimizations and cultivar-specific adjustments have increased THC potency by over 33%, and improvements to growth and processing have increased terpene production and retention by over 25%.
“With every crop so far, we have seen improvements in all of our key quality metrics and performance indicators. Greenway Greenhouse maintains a culture of quality and constant improvement that pervades every aspect of our operations,” said Nicholas Nedin, Director of Product Development and Quality Assurance at Greenway Greenhouse.
- Private placement of 7,272,728 Units closed on December 24, 2021
- Each Unit consists of one common share and one common share purchase warrant
- Agreed to use reasonable commercial efforts to list the warrants on the CSE
- To be used for capital expenditures for additional greenhouse acreage
In December, 2021, Greenway Greenhouse announced the closing of its private placement (the “Offering”) as previously announced on November 23, 2021. The net proceeds from the offering are intended to be used for capital expenditures for additional greenhouse acreage, general working capital requirements and other corporate purposes.
The Offering consisted of the issuance of 7,272,728 units (each, a “Unit”) at a price of $1.10 per Unit for aggregate proceeds of $8,000,000. Each Unit consists of one common share in the capital of the Company (each, a “Common Share”) and one common share purchase warrant (each a “Warrant”) with each Warrant being exercisable for one Common Share at an exercise price of $1.65 for a period of nine months from the date of issuance ( ), subject to adjustment upon certain customary events.
All securities issued pursuant to the Offering are subject to a statutory hold period of four months and a day from the date of issuance ( ). Subject to the minimum requirements of the Canadian Securities Exchange (the “CSE”), the Company has agreed to use reasonable commercial efforts to list the warrants on the CSE at the end of the applicable four month statutory hold period.
Capital Resilience and Ownership
In September 2021, Greenway Greenhouse filed its final non-offering prospectus with the Ontario Securities Commission in order to qualify the Company as a reporting issuer in Ontario, listing its common shares on the Canadian Securities Exchange (the “CSE”). Greenway remained majority owned by Sunrite Greenhouses Ltd., an established cultivator of greenhouse grown produce within the Del Fresco Group of companies.
On November 23, the Company signed an exclusive fiscal advisory agreement with Abingdon Capital Corporation (“Abingdon”), an exempt market dealer, to advise the Company for this private placement as well as for ongoing capital markets advice.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in the United States nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “1933 Act”), or any state securities laws and may not be offered or sold in the United States unless registered under the 1933 Act and any applicable securities laws of any state of the United States or an applicable exemption from the registration requirements is available.
Greenway Greenhouse Cannabis Corporation is a federally licensed cultivator for the Canadian cannabis marketplace. Greenway is headquartered in Kingsville, Ontario, and leverages its agriculture and cannabis expertise in its aspiration to be a leading cannabis cultivator in Canada. More information can be found on Greenway.ca and updates can be followed on Instagram, Twitter, Facebook, and LinkedIn.
The CSE has in no way passed upon the merits of the business of the Company and has neither approved nor disapproved the contents of this news release and accepts no responsibility for the adequacy or accuracy hereof.
Greenway Greenhouse Cannabis Corporation
Darren Peddle, Director and CFO
Greenway Greenhouse Cannabis Corporation
Cautionary Note Regarding Forward-Looking Statements
This news release contains forward-looking statements that constitute forward-looking information (collectively, “forward-looking statements”) within the meaning of applicable Canadian securities legislation. All statements in this news release that are not purely historical statements of fact are forward-looking statements and include statements regarding the Offering and the intended use of proceeds thereof, and the Company’s beliefs, plans, expectations, future, strategy, objectives, goals and targets, the development of future operations, and orientations regarding the future as of the date of this news release. Although the Company believes that such statements are reasonable and reflect expectations of future developments and other factors which management believes to be reasonable and relevant, the Company can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: “believes”, “expects”, “aim”, “anticipates”, “intends”, “estimates”, “plans”, “may”, “should”, “would”, “will”, “potential”, “scheduled” or variations of such words and phrases and similar expressions, which, by their nature, refer to future events or results that may, could, would, might or will occur or be taken or achieved.
Forward-looking statements involve known and unknown risks, assumptions, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements, and includes those risks described in the Company’s final prospectus dated September 3, 2021, a copy of which is available under the Company’s profile at www.sedar.com. Forward-looking statements are made as of the date of this news release and, unless required by applicable law, the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in these forward-looking statements.