Innovative extraction process opens door to
future cannabinoid based medical products
LEAMINGTON, ON, Aug. 15, 2017 /CNW/ - Aphria Inc.
("Aphria" or the "Company") (TSX: APH or USOTCQB:
APHQF), is pleased to announce that it invested $11.5 million in HydRx Farms, Ltd. (o/a Scientus
Pharma) ("Scientus Pharma") by way of a senior, secured
convertible debenture ("Debenture"). The Debenture has
a two-year term, bears interest at the rate of 8%, paid
semi-annually, is convertible into the common shares of Scientus
Pharma at the rate of $2.75 a share
and is secured by a first charge on all of the current and future
assets of Scientus Pharma.
Scientus Pharma is a vertically-integrated biopharmaceutical
company focused on the development of drugs that target the
endocannabinoid receptors throughout the body for the treatment of
diseases of the brain, organs, connective tissues, etc.
Scientus Pharma is raising the bar of cannabinoid products
from medical-grade to pharmaceutical-grade. Leveraging its
proprietary, patent-pending formulation and processing
technologies, Scientus Pharma is committed to leading the
medical cannabis market towards pharmaceutical standards in
manufacturing, formulations and dosing.
"We are excited to enhance our relationship with industry leader
Scientus Pharma," said Vic Neufeld,
Chief Executive Officer of Aphria. "Their proposed pipeline
of new and innovative products represent a major step forward for
cannabinoid based medical products in Canada. Gaining access
to their dealer's license provides Aphria immediate access in the
short-term to enhanced global opportunities."
"We are excited to welcome Aphria as a strategic investor," said
Trevor Folk, Chief Executive Officer
of Scientus Pharma. "Coming on the heels of the two companies
completing a major wholesale supply agreement in June, this sizable
investment serves to validate the Scientus Pharma business model to
be the leader in extractions, formulations and provider of best of
breed derivative medical cannabinoid based products. It also
significantly expands our existing partnership, allowing Scientus
Pharma to complete implementation of its patent pending commercial
scale microwave extraction platform, an important step toward
creating an active pharmaceutical ingredient that can be
subsequently formulated into a range of effective dosing forms, and
to execute the commercial launch of its first differentiated
product."
We Have a Good Thing Growing.
About Aphria
Aphria Inc., one of Canada's
lowest cost producers, produces, supplies and sells medical
cannabis. Located in Leamington,
Ontario, the greenhouse capital of Canada. Aphria is truly powered by sunlight,
allowing for the most natural growing conditions available. Aphria
is committed to providing pharma-grade medical cannabis, superior
patient care while balancing patient economics and returns to
shareholders. Aphria was the first public licensed producer to
report positive cash flow from operations and the first to report
positive earnings in consecutive quarters.
About Scientus Pharma
Scientus Pharma Inc. is a vertically-integrated
biopharmaceutical Licensed Dealer under the Narcotics Control
Regulations of Canada who conducts
fundamental research on cannabinoids (genetic, bio molecular, etc.)
with a focus on developing and commercializing pharmaceutical-grade
cannabinoid derivative products. Being one of a limited number of
Licensed Dealers in Canada
authorized to handle and conduct cannabinoid products,
Scientus Pharma has the ability to wholesale, buy, process and sell
cannabinoid derivatives, from and to Licensed Producers, as well as
international markets.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Certain
information in this news release constitutes forward-looking
statements under applicable securities laws. Any statements that
are contained in this news release that are not statements of
historical fact may be deemed to be forward-looking statements.
Forward looking statements are often identified by terms such as
"may", "should", "anticipate", "expect", "potential", "believe",
"intend" or the negative of these terms and similar expressions.
Forward-looking statements in this news release include, but are
not limited to, statements with respect to internal expectations,
estimated margins, expectations with respect to actual volumes
under the agreement, expectations for future growing capacity and
costs, the completion of any capital project or expansions, and
expectations with respect to future production costs.
Forward-looking statements necessarily involve known and unknown
risks, including, without limitation, risks associated with general
economic conditions; adverse industry events; marketing costs; loss
of markets; future legislative and regulatory developments
involving medical marijuana; inability to access sufficient capital
from internal and external sources, and/or inability to access
sufficient capital on favourable terms; the medical marijuana
industry in Canada generally,
income tax and regulatory matters; the ability of Aphria to
implement its business strategies; competition; crop failure;
currency and interest rate fluctuations and other risks.
Readers are cautioned that the foregoing list is not exhaustive.
Readers are further cautioned not to place undue reliance on
forward-looking statements as there can be no assurance that the
plans, intentions or expectations upon which they are placed will
occur. Such information, although considered reasonable by
management at the time of preparation, may prove to be incorrect
and actual results may differ materially from those
anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement.
SOURCE Aphria Inc.