Supreme Secures Multiple Long Term Supply Agreements
TORONTO, ONTARIO, May 20, 2016 (Marketwired via COMTEX) — TORONTO, ONTARIO–(Marketwired – May 20, 2016) – Supreme Pharmaceuticals Inc. (the “Company” or “Supreme”) (cse:SL)(otc pink:SPRWF) is pleased to announce that its wholly owned subsidiary AMMCan has entered into Letters of Intent (“LOIs”) with respect to the long-term supply of dried cannabis to five (5) Licensed Producers (as such term is defined in the Marihuana for Medical Purposes Regulations). These transactions are conditional upon the parties obtaining applicable regulatory approvals, including AMMCan obtaining a sales license under the MMPR, execution of definitive agreements, completion of satisfactory due diligence, and other customary closing conditions. Upon the execution and delivery of definitive agreements, such agreements would allocate for sale more than 250 kg of dried marijuana and 70 kg of dried marijuana trim in 2016, representing substantially all of AMMCan’s anticipated 2016 production. The agreements will be renewable for successive one year periods unless otherwise terminated in accordance with their terms.
Supreme is the first LP in Canada to focus exclusively on a B2B model intended to provide stable, quality and long-term supply to retail focused LPs.
These LOIs validate our B2B business model, leveraging our competitive advantage as a single-license producer operating one of the largest, most innovative production facilities in the country.
John Fowler, President and CEO
Our goal is to support aggregate growth in the industry by providing leading retailers with high quality, sun grown cannabis and today is the first step towards that goal.
Supreme is a Canadian publicly traded company committed to becoming a leading supplier of affordable medical cannabis through its wholly-owned subsidiary AMMCan. AMMCan is a federally licensed producer of medical marijuana pursuant to the MMPR operating a 7 Acre hybrid greenhouse facility. The Hybrid Greenhouse combines the best technology of indoor production with the efficiencies and sustainability of a greenhouse, in a single large-format production footprint. Please visit www.supreme.ca and www.ammcan.com for more information.
This news release contains forward-looking statements. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, “may”, “will”, “project”, “should”, “believe” and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These risks and uncertainties include, but are not limited to, the Company’s ability to satisfy the conditions associated with its cultivation license, the Company’s ability to obtain a sales license and the related timing considerations, the ability to satisfy conditions to closing of the proposed offtake transactions, the availability of further financing, consumer interest in its products, competition, regulation, operational and technological risks, including uncertainties relating to the quality and quantities of production, and anticipated and unanticipated costs and delays. These statements speak only as of the date of this news release. Actual results could differ materially from those currently anticipated due to a number of factors and risks including various risk factors discussed in the Company’s disclosure documents which can be found under the Company’s profile on www.sedar.com. This news release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbour provisions of the Private Securities Litigation Reform Act of 1995.
Supreme Pharmaceuticals Inc. Investor Relations (416) 630-7272 email@example.com www.supreme.ca