TIDMFFWD
RNS Number : 7792N
FastForward Innovations Limited
11 August 2017
11 August 2017
FastForward Innovations Limited
("FastForward")
Investee Company Update
Nuuvera enters into a strategic partnership
FastForward is pleased to provide an update on its investee
company, Nuuvera Corp ("Nuuvera" or "the Company"), a privately
held company in which FastFoward has a 4.45% equity interest and
which was formed to capitalize on the global secular trend towards
the legalization of cannabis. Nuuvera has announced that it entered
into a global strategic partnership with Aphria Inc. ("Aphria")
(TSX: APH or USOTCQB: APHQF), a Canadian company involved in the
production, supply and marketing of medical cannabis.
Extracts of the announcement by Aphria read as follows:
'Initially focused on the Canadian market, the partnership
includes joint relationships with Nuuvera to expand production
across the globe, including Europe, Israel and Latin America.
As part of the partnership, the parties entered into five
separate and distinct commercial transactions:
1. Aphria invested $2 million in a Nuuvera common share offering;
2. Aphria entered into a supply agreement with Nuuvera to supply
annual requirements of 1,500 kgs, growing to 17,000 kgs when Aphria
completes its four-part expansion plan in 2018 ("Supply
Agreement");
3. Aphria will sell 100 of the 200 acres of land the Company
owns on Mersea Road 8 ("Mersea Property") in Leamington to Nuuvera,
in exchange for a cash payment of $4 million ("Land
Acquisition");
4. Aphria will provide consulting services to Nuuvera on the
design and build of a 1 million square foot state-of-the-art
greenhouse on the Mersea Property, in exchange for a fee equal to
8% of Nuuvera's cost to build the facility, exclusive of its land
acquisition costs; and,
5. Aphria entered into an operational services agreement with
Nuuvera to operate the Mersea Property in exchange for a fee of
$0.10 per gram of cannabis harvested in the facility ("Operational
Services"). Based on Aphria's current expected yield from its 1
million square feet of greenhouse, it is anticipated that the
operational services agreement will yield an annual payment of more
than $10 million per year to Aphria, once Nuuvera's greenhouse is
fully built out. Based on Aphria's current production costs, it is
anticipated that Nuuvera will, like Aphria, be one of Canada's
lowest cost producers.
"This is an exciting strategic partnership for Aphria and
Nuuvera. By combining our unparalled experience in cannabis
production with Nuuvera's extensive international network, we will
bring the best of two leaders to meet the growing global demand for
cannabis," said Vic Neufeld, Chief Executive Officer, Aphria. "This
partnership is further recognition by the global cannabis industry
of the strength of our greenhouse growing intellectual property,
and of Aphria's strategy to monetize it, in order to create
additional shareholder value". We look forward to building a
long-term partnership with Nuuvera to create an even more valuable
presence in the market."
Nuuvera has also announced its intention to build a 1 million
square foot state-of-the-art, Dutch-style greenhouse, along with
over 350,000 square feet of infrastructure, in multiple phases
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 licenced
producer to report positive cash flow from operations and the first
to report positive earnings in consecutive quarters.
About Nuuvera Corp.
Nuuvera is a global cannabis business focused on the secular
trend towards the legalization of cannabis and is committed to
rapidly capturing meaningful market share in regulated
jurisdictions. Through its subsidiaries, ARA - Avanti Rx Analytics
Inc. and Avalon Pharmaceutical Inc., Nuuvera holds a Dealer License
(GMP) under the Narcotic Control Regulations, and Office of
Controlled Substances, and is currently in the final stages of the
Health Canada review process to become a Licensed Producer of
medical marijuana under the ACMPR, having recently received its
"letter to build" approval. Nuuvera is also pursuing various
cannabis-related opportunities in Europe, Israel and Latin
America.'
Lorne Abony, Chief Executive Officer of FastForward, said,
"Through this partnership, Nuuvera will be one of the largest
Canadian producers with one of the lowest cost production
facilities in Canada and internationally. Nuuvera is thrilled to
partner with Aphria, a true pioneer in harnessing the power of the
sun to grow pharma-grade medical cannabis."
For further information please visit www.fstfwd.co or
contact:
FastForward Innovations Limited info@fstfwd.co
Josh Epstein/ Ian Burns
------------------------------------------------------------
Beaumont Cornish Limited (Nomad) Tel: +44 (0) 207 628 3396
James Biddle / Michael Cornish
------------------------------------------------------------
Optiva Securities Limited (Broker) Tel: +44 (0) 203 411 1881
Ed McDermott
------------------------------------------------------------
CAUTIONARY STATEMENT
The AIM Market of London Stock Exchange plc does not accept
responsibility for the adequacy or accuracy of this release. No
stock exchange, securities commission or other regulatory authority
has approved or disapproved the information contained herein. All
statements, other than statements of historical fact, in this news
release are forward-looking statements that involve various risks
and uncertainties, including, without limitation, statements
regarding potential values, the future plans and objectives of
FastForward Innovations Ltd. There can be no assurance that such
statements will prove to be accurate, achievable or recognizable in
the near term.
Actual results and future events could differ materially from
those anticipated in such statements. These and all subsequent
written and oral forward-looking statements are based on the
estimates and opinions of management on the dates they are made and
are expressly qualified in their entirety by this notice.
FastForward Innovations assumes no obligation to update
forward-looking statements should circumstances or management's
estimates or opinions change.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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