– EU-GMP
Certification Inspection of Pure Sunfarms Delta 3 Facility
Completed –
VANCOUVER, BC,
Sept. 29, 2021
/CNW/ - Village Farms International, Inc.
("Village Farms" or the "Company") (NASDAQ: VFF) (TSX: VFF)
today announced its wholly owned Canadian cannabis
subsidiary, Pure Sunfarms, has completed
its first export shipment of cannabis, supplying a variety of
high-quality, high-THC dried flower products to Village Farms'
minority interest investee, Australia-based Altum
International Pty Ltd. ("Altum")1, for the
Australian medicinal cannabis market. The products will be
sold under Altum's recently launched brand, Kind Medical
(www.kind.com.au). The shipment is the first
international export shipment for Pure Sunfarms and its first
shipment to Australia under a
three-year supply agreement with Altum.
Medicinal cannabis was federally legalized in Australia in 2016. Following a period of
moderate expansion, the Australian medicinal cannabis market is
currently experiencing strong growth, due in part to the
significant increase in the number of authorised prescribers.
Patient numbers have increased 15-fold over the past two
years2, with total market
sales for 2021 forecast to increase to approximately AU$200
million, double that of the approximately AU$100 million in total
market sales in
20202.
"This is another important milestone for Village Farms' cannabis
strategy for a number of reasons," said Michael DeGiglio, CEO, Village Farms
International. "For Pure Sunfarms, exportation of their
leading cannabis products represents a significant long-term
opportunity to leverage their scale and position as the
top-selling dried flower brand in three of Canada's largest provincial
markets3 for opportunities
beyond the Canadian market. For our partner Altum, it
marks commercial entry into their third Asia-Pacific market, and entry into their
first high-THC cannabis market. And for Village Farms
overall, it is an example of the significant synergies that are
developing amongst our family of brands and partners."
"We are excited to supply dried flower for consumers
internationally for the first time and look forward to supporting
our partner, Altum, as they expand their product offerings going
forward to build their own brand in the Australian medicinal
market," said Mandesh Dosanjh, President and Chief Executive
Officer, Pure Sunfarms. "We are confident that the
top-selling3 everyday premium products we
produce in Canada will be
favourably received by medicinal cannabis patients in Australia."
"Altum exists to bring the life-changing benefits of
cannabinoids back to the Asia-Pacific region," said Ean
Alexander, Chief Executive Officer, Altum International. "As the
Australian medicinal cannabis market has experienced rapid growth,
especially in the past year, the combination of quality,
affordability and availability has been largely unattainable for
patients. We have established Kind Medical to specifically
address that. With our partner, Pure Sunfarms, we look
forward to bringing some of the highest quality cannabis in the
world to the Australian market."
Pure Sunfarms Commences Cultivation in Second 1.1 Million
Square Foot Greenhouse Facility (Delta 2)
Village Farms also announced that Pure Sunfarms has commenced
cannabis cultivation in the completed half of its second 1.1
million square foot greenhouse facility, Delta 2. Harvesting in
Delta 2 is expected to begin in November of this year.
Pure Sunfarms Provides Update on EU-GMP Certification
Process: Inspection Completed
Village Farms also announced that EUDRA, the certifying body of
European Union Good Manufacturing Practices (EU-GMP), has completed
its inspection of Pure Sunfarms' Delta 3 cannabis production and
processing facility in Delta, British Columbia. If successful
in obtaining its EU-GMP certification prior to the end of this
year, Pure Sunfarms could begin shipping product to the EU in the
first quarter of 2022.
Notes
1. Village Farms has a 12% ownership interest in
Altum.
2. FreshLeaf Analytics: Australian Medicinal
Cannabis Market Patient, Product and Pricing Analysis, H1
2021.
3. Dried flower category in Ontario (based on Ontario Cannabis Store
market data for the quarter ended June 30,
2021 calculated by Pure Sunfarms from sales information
provided by OCS) and dried flower category in Alberta and British
Columbia based on data calculated by Pure Sunfarms from
sales information provided by Buddi retail store data from over 300
retailers across Alberta and
British Columbia as of
June 30, 2021.
About Village Farms International, Inc.
Village Farms leverages decades of experience
as a large-scale, Controlled Environment Agriculture-based,
vertically integrated supplier for high-value, high-growth
plant-based Consumer Packaged Goods, with a strong foundation as a
leading fresh produce supplier to grocery and large-format
retailers throughout the US and Canada, along with new high-growth
opportunities in the cannabis and CBD categories in North America and selected markets
internationally.
In Canada, the Company's
wholly-owned Canadian subsidiary, Pure Sunfarms, is one of the
single largest cannabis operations in the world, the lowest-cost
greenhouse producer and one of the best-selling brands.
In the US, wholly owned Balanced Health Botanicals is one
of the leading CBD brands and e-commerce platforms in the
country. Subject to compliance with all applicable US federal
and state laws and stock exchange rules, Village Farms plans to
enter the US high-THC cannabis market via multiple strategies,
leveraging one of the largest greenhouse operations in the country
(more than 5.5 million square feet in West Texas), as well as the operational and
product expertise gained through Pure Sunfarms' cannabis success in
Canada.
Internationally, Village Farms is targeting selected,
nascent, legal cannabis and CBD opportunities with significant
medium- and long-term potential, with an initial focus on the
Asia-Pacific region and
Europe.
About Altum International Pty Ltd
Altum International exists to
bring the life-changing benefits of cannabinoids back to the
Asia-Pacific region. Through its
comprehensive range of B2C and B2B cannabinoid products, Altum
navigates a complex regulatory landscape in order to meet an
exploding regional demand for the next generation of consumer
wellness; all powered by quality, cost-competitive and highly
effective cannabinoids. From 2019, Altum has
launched a line of consumer-friendly CBD products (Felix
& Co), as well as plug-and-play CBD inputs for business
operators (LIFE CBD) for the Asia-Pacific markets. Following this, Altum
launched Found, Asia-Pacific's first CBD retail platform and
café – designed to educate consumers and elevate category
awareness. In 2021 Altum launched Kind Medical, its
first THC-containing medicinal cannabis in the Australian
market. With a global mindset and regionally oriented team,
Altum is creating sustainable value for its shareholders and
partners through "World-First" concepts, resonant brands, and safe,
compliant access to cannabinoids for Asia-Pacific. For more
information, visitwww.altum.group
Cautionary Statement Regarding Forward-Looking
Information
This press release contains forward-looking
statements within the meaning of the United States Private
Securities Litigation Reform Act of 1995, Section 27A of the
Securities Act of 1933, as amended, (the "Securities Act") and
Section 21E of the Securities Exchange Act of 1934, as amended
(the "Exchange Act"), and is subject to the safe harbor
created by those sections. This press release
also contains "forward-looking information" within
the meaning of applicable Canadian securities law. Forward-looking
information can be identified by such terms as "outlook", "may",
"might", "will", "could", "should", "would", "occur", "expect",
"plan", "anticipate", "believe", "intend", "try", "estimate",
"predict", "potential", "continue", "likely", "schedule",
"objectives", or the negative or grammatical variation thereof or
other similar expressions concerning matters that are not
historical facts, although not all forward-looking statements
contain these identifying words. The forward-looking
statements in this press release are subject to risks that may
include, but are not limited to Company's expansion plans,
expectations regarding cannabis and CBD categories in North America, Australia and selected markets
internationally, Pure Sunfarms Delta 2 operational capabilities and
harvesting capacity, uncertainties in Pure Sunfarms obtaining the
EU-GMP certification before the end of 2021, timing of EU shipments
in first quarter of 2022, the retail CBD and high-THC cannabis
markets, the legal and regulatory status of the cannabis and the
CBD business in the North America
and Asia-Pacific markets; risks
associated with Altum's expansion, regional demand for its products
and other lines of businesses risks relating to obtaining
additional financing, dependence upon credit facilities,
profitability, product pricing, cannabis, hemp and agricultural
businesses, relating to the conversion of our greenhouses to
cannabis the ongoing and developing COVID-19 pandemic and tax
risks. The Company has based these forward-looking statements
on factors and assumptions about future events and financial trends
that it believes may affect its financial condition, results of
operations, business strategy and financial needs. Although the
forward-looking statements contained in this press release are
based upon assumptions that management believes are reasonable
based on information currently available to management, there can
be no assurance that actual results will be consistent with these
forward-looking statements. Forward-looking statements necessarily
involve known and unknown risks and uncertainties, many of which
are beyond the Company's control, that may cause the Company's or
the industry's actual results, performance, achievements, prospects
and opportunities in future periods to differ materially from those
expressed or implied by such forward-looking statements. These
risks and uncertainties include, among other things, the factors
contained in the Company's filings with securities regulators
available on SEDAR and EDGAR. When relying on forward-looking
statements to make decisions, the Company cautions readers not to
place undue reliance on these statements, as forward-looking
statements involve significant risks and uncertainties and should
not be read as guarantees of future results, performance,
achievements, prospects and opportunities. The
forward-looking statements made in this press release relate only
to events or information as of the date on which the statements are
made in this press release. Except as required by law, the Company
undertakes no obligation to update or revise publicly any
forward-looking statements, whether as a result of new
information, future events or otherwise, after the date on
which the statements are made or to reflect the occurrence of
unanticipated events.
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SOURCE Village Farms International, Inc.