VANCOUVER, Jan. 15, 2018 /CNW/- INVICTUS MD STRATEGIES
CORP. ("Invictus MD" or the "Company") (TSXV: IMH; OTC: IVITF; FRA:
8IS1) is pleased to announce that since the release of
its financial results for the third quarter ended October 31, 2017, which were filed on SEDAR on
December 22, 2017, the Company has
received $9,484,547 from the exercise
of previously issued warrants and options. A total of 5,660,072
warrants and 21,000 options were exercised for proceeds of
$9,476,167 and $8,380, respectively. As a result of such
exercises, the Company currently has a total of 85,860,378 common
shares issued and outstanding.
Invictus MD's current cash balance is approximately $32 million. The target production capacity for
2019 is approximately 76,000 kg based on expanding facilities in
2019 to approximately 520,000 square feet. Invictus MD still has
approximately 18.7 million warrants outstanding that would bring
cash into the Company of approximately $33
million.
On January 8, 2018 the Company
reported AB Labs received its authorization by Health Canada to
sell dried marijuana under the ACMPR ("Sales
License"). AB Labs which has 130 kg of dried marijuana in
its vault intends to sell 100% of this inventory in January 2018 to Canopy Growth Corporation
(TSX:WEED), initiating its first revenue stream since
inception.
Invictus MD's total annual kilogram capacity after various
phases of expansion in 2018 and 2019, complete and in progress, is
expected to be approximately 76,000 kg. The expected net production
capacity to Invictus MD of approximately 67,000 kg after giving
effect to the additional investment contemplated in its Letter of
Intent with AB Labs that will bring Invictus MD's ownership of AB
Labs to 50%. With the recent exercise of warrants and options,
Invictus MD's funded capacity today is approximately 20,650 kg.
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Square
Feet
|
Status
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%
Funded
|
KG's
Produced to
Date
|
KG
Capacity
|
Forecast Invictus
MD Ownership
|
Invictus MD
KG Funded
Capacity
|
Invictus
MD
KG Expansion
Capacity
|
Acreage
Pharms
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Phase 1
|
6,600
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Complete
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100%
|
150
|
600
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100%
|
600
|
600
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Phase 2
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33,000
|
31-Jan-18
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100%
|
-
|
4,400
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100%
|
4,400
|
4,400
|
Phase 3
|
80,000
|
30-Sep-18
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89%
|
-
|
14,000
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100%
|
12,500
|
14,000
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Phase 4
|
80,000
|
1-Mar-19
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0%
|
-
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14,000
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100%
|
-
|
14,000
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Phase 5
|
160,000
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1-Sep-19
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0%
|
-
|
28,000
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100%
|
-
|
28,000
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Total Acreage
Pharms
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359,600
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|
|
150
|
61,000
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100%
|
17,500
|
61,000
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AB
Laboratories
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Phase 1
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15,600
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Complete
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100%
|
130
|
900
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50%
|
450
|
450
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Phase 2
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40,000
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15-Jun-18
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100%
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-
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4,000
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50%
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2,000
|
2,000
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Total AB
Laboratories
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55,600
|
|
|
130
|
4,900
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50%
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2,450
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2,450
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AB
Ventures
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|
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Phase 1
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21,000
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Pre-license
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100%
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-
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2,100
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33%
|
700
|
700
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Phase 2
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84,000
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Pre-license
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0%
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|
8,400
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33%
|
-
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2,772
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Total AB
Ventures
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105,000
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-
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10,500
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33%
|
700
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3,472
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TOTAL
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520,200
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280
|
76,400
|
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20,650
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66,922
|
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Dan Kriznic, Chairman and CEO commented, "We continue to focus
on utilizing our $32 million of cash
in treasury to build out additional square footage to meet the
expected demand once Canada
becomes recreationally legal this year. Our current funded capacity
of 20,650 kg, as well as our planned expansion to get to
approximately 76,000 kg in 2019 with a net to Invictus MD of 67,000
kg brings us in line with some of our peers that are leading the
industry. The Sales license for AB Labs has been a catalyst to
getting to this stage and the next catalyst will be our sales
license for Acreage Pharms that is expected to occur in this
first quarter of 2018."
About Invictus MD Strategies Corp.
Invictus MD Strategies Corp. is focused on two main verticals
within the Canadian cannabis sector, namely the Licensed
Producers under the ACMPR, being its 100% investment in Acreage
Pharms Ltd., located in West-Central Alberta, and 33% investment in
AB Laboratories Inc., located near Hamilton, Ontario which has both its
cultivation and sales license under ACMPR. Combined the two
licenses and an expected third license under AB Ventures have an
approximate annual run-rate production capacity of 76,000 kg by
2019. In addition to ACMPR licenses the Company has an 82.5%
investment in Future Harvest Development Ltd. a Fertilizer and
Nutrients manufacturer based in Kelowna, British Columbia.
For more information, please visit www.invictus-md.com.
On Behalf of the Board,
Dan Kriznic
Chairman & CEO
Larry Heinzlmeir
Vice President, Marketing & Communications
604-537-8676
Cautionary Note Regarding Forward-Looking Statements: This
release includes certain statements and information that may
constitute forward-looking information within the meaning of
applicable Canadian securities laws or forward-looking statements
within the meaning of the United States Private Securities
Litigation Reform Act of 1995. All statements in this news release,
other than statements of historical facts, including statements
regarding future estimates, plans, objectives, assumptions or
expectations of future performance, including the potential
production capacity of AB Labs, AB Ventures and Acreage Pharms'
production facilities, the granting of regulatory approval and
anticipated timing of AB Labs reaching full production capacity,
the granting of a sales license under the ACMPR to AB Ventures and
Acreage Pharms, Acreage Pharms' receipt of a sales license and the
success and timing of Acreage Pharms' expansion plans, expected
sales of inventory and the completion of the transaction
contemplated by the LOI and the resulting increase in the Company's
ownership interest in AB Labs are forward-looking statements and
contain forward-looking information. Generally, forward-looking
statements and information can be identified by the use of
forward-looking terminology such as "intends" or "anticipates", or
variations of such words and phrases or statements that certain
actions, events or results "may", "could", "should", "would" or
"occur". Forward-looking statements are based on certain material
assumptions and analysis made by the Company and the opinions and
estimates of management as of the date of this press release,
including the assumptions that AB Labs, AB Ventures and Acreage
Pharms will satisfy all conditions for, and receive, regulatory
approval to sell medical cannabis at their production facilities'
full capacity, AB Ventures will satisfy all conditions for and be
granted a license under the ACMPR, AB Ventures is able to
successfully build a production facility, Acreage Pharms will
satisfy all conditions for and successfully obtain the anticipated
sales license and will successfully complete its expansion plans,
the anticipated sales of inventory will take place on the terms and
timing expected by management and all conditions to the transaction
contemplated by the LOI will be satisfied and the transaction will
complete on the expected terms. These forward-looking statements
are subject to known and unknown risks, uncertainties and other
factors that may cause the actual results, level of activity,
performance or achievements of the Company to be materially
different from those expressed or implied by such forward-looking
statements or forward-looking information. Important factors that
may cause actual results to vary, include, without limitation, the
risk that AB Labs, AB Ventures and Acreage Pharms will not receive
regulatory approval to sell medical cannabis at their production
facilities for their full production capacity or at all, that AB
Labs, AB Ventures or Acreage Pharms will not reach full production
capacity, that AB Ventures will not be granted a license under the
ACMPR, that AB Ventures is not able to successfully build a
production facility, that Acreage Pharms is not able to obtain the
anticipated sales license when expected by management or at all or
is not able to successfully complete its expansion plans, that the
anticipated sales of inventory will not occur on the terms and
timing expected by management or at all and that the transaction
contemplated by the LOI will not complete on the expected terms or
at all. Although management of the Company has attempted to
identify important factors that could cause actual results to
differ materially from those contained in forward-looking
statements or forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
statements and forward-looking information. Readers are cautioned
that reliance on such information may not be appropriate for other
purposes. The Company does not undertake to update any
forward-looking statement, forward-looking information or financial
out-look that are incorporated by reference herein, except in
accordance with applicable securities laws. We seek safe
harbor.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Invictus MD Strategies