CALGARY, April 13, 2020 /CNW/ - Sugarbud Craft Growers
Corp. (TSXV: SUGR, SUGR.WT) ("Sugarbud") is pleased to
announce that it has entered into an exclusive wholesale
distribution and supply agreement with National Cannabis
Distribution ("NCD") for the Province of Saskatchewan.
Under the terms of the agreement, NCD will act as the exclusive
provincial wholesaler and distributor for Sugarbud and/or its
intermediaries to authorized private retailers in the Province of
Saskatchewan for an initial period
of two years. The supply agreement will initially encompass
Sugarbud's craft cannabis dry flower products and will be amended
to include new product offerings as they become available and
approved for sale in the Province of Saskatchewan.
Unlike many other Canadian provinces, Saskatchewan has a unique private wholesale
and retail cannabis distribution model," stated Sugarbud CEO,
John Kondrosky. "Our partnership
with NCD provides us with a clear route to market and is a strong
endorsement of both Sugarbud's approach and product offering.
Our agreement with NCD also marks a very important first step
in our commercial rollout and entry into our target Canadian
markets for adult use recreational cannabis products. Sugarbud and
NCD share common goals, a passion for exceptional cannabis products
and an unwavering commitment to quality and the consumer
experience. We are extremely pleased to be partnering with an
organization like NCD and look forward to launching our Craft
Cannabis Collection in Saskatchewan in the very near future,"
concluded Mr. Kondrosky.
"National Cannabis Distribution is focused on curating the best
assortment of products for our retail partners and we look forward
to offering the Sugarbud Craft Cannabis Collection to the
Saskatchewan marketplace," stated
NCD President of Operations, Eleanor
Lynch.
The terms and conditions of the agreement remain subject to
customary licensing and regulatory approvals. As previously
reported Sugarbud submitted its sales license amendment for dried
cannabis to Health Canada in February
2020 and expects to receive approval in the second half of
2020. Sugarbud currently expects to launch its first recreational
premium dried cannabis products in late Q3 2020.
READ: Sugarbud Provides Update on Operations and COVID-19
Preparedness
About Sugarbud
Sugarbud is a federally licensed Alberta based craft cannabis company, focused
on the cultivation and production of genetically diverse, high
quality, select-batch cannabis products. Our mission is to delight
the most discerning cannabis consumer and evolve the way people
think about incorporating cannabis into their daily lives.
http://www.sugarbud.ca/
About National Cannabis Distribution
National Cannabis Distribution is a Canadian consumer-focused
company that distributes cannabis products and cannabis accessories
across a broad network in Saskatchewan and Canada.
https://ncdcanada.ca
Forward Looking and Cautionary Statements
This news release contains forward-looking statements. More
particularly, and without limitation, this news release contains
statements concerning: Sugarbud's assessment of future plans,
operations and cannabis cultivation, including the shipment of the
first commercial batch of cannabis and the launch its first adult
recreational premium dried cannabis products and the timing
thereof; the Company's ability to remain operating in accordance
with developing public health efforts to contain COVID-19; product
quality; the supply agreements and partnerships; and the timing of
obtaining necessary approvals required to conduct the contemplated
business of the supply agreements. When used in this document, the
words "will," "anticipate," "believe," "estimate," "expect,"
"intent," "may," "project," "should," and similar expressions are
intended to be among the statements that identify forward-looking
statements. The forward-looking statements are founded on the basis
of expectations and assumptions made by Sugarbud. Forward-looking
statements are subject to a wide range of risks and uncertainties,
and although Sugarbud believes that the expectations represented by
such forward-looking statements are reasonable, there can be no
assurance that such expectations will be realized. Any number of
important factors could cause actual results to differ materially
from those in the forward-looking statements including, but not
limited to: currently contemplated expansion and development plans
may cease or otherwise change; production of cannabis may be lower
than expected, Sugarbud may not obtain the required approvals from
Health Canada, including approving an amendment to its dried
cannabis sales licence to permit interprovincial sales; demand for
Sugarbud's products may be lower than anticipated; results of
production and sale activities; results of scientific research;
changes in prices and costs of inputs; demand for labour; demand
for products; failure of counter-parties to perform contractual
obligations; failure to maintain consumer brand recognition and
loyalty of customers; reliance on relationships with wholesalers
and retailers for distribution of products and failure to maintain
strategic business relationships; intense competition, including
from illicit sources; uncertainty and continued evolution of
markets; product liability litigation; reliance on information
technology; infringement on intellectual property; failure to
benefit from partnerships; sensitivity of end-customers to
increased sales taxes and economic conditions; failure to comply
with certain regulations; departure of key management personnel or
inability to attract and retain talent; actions and initiatives of
federal and provincial governments and changes to government
actions, initiatives and policies and the execution and impact
thereof; the ability to implement corporate strategies; the state
of domestic capital markets; the ability to obtain financing;
changes in general market conditions; industry conditions and
events; the size of the medical marijuana market and the
recreational marijuana market; government regulations, including
future legislative and regulatory developments involving medical
and recreational marijuana; construction delays; risks inherent in
the agricultural business, such as insects, plant diseases and
similar agricultural risks which can have a significant impact on
the size and quality of the harvest of cannabis crops; competition
from other industry participants; and other factors more fully
described from time to time in the reports and filings made by
Sugarbud with securities regulatory authorities. In addition, the
Company cautions that current global uncertainty with respect to
the spread of the COVID-19 virus and its effect on the broader
global economy may have a significant negative effect on the
Company. While the precise impact of the COVID-19 virus on the
Company remain unknown, rapid spread of the COVID-19 virus may have
a material adverse effect on global economic activity, and can
result in volatility and disruption to global supply chains,
operations, mobility of people and the financial markets, which
could affect interest rates, credit ratings, credit risk,
inflation, business, financial conditions, results of operations
and other factors relevant to the Company. Please refer to
Sugarbud's most recent annual information form and management's
discussion and analysis for additional risk factors relating to
Sugarbud, which can be accessed under Sugarbud's profile
on www.sedar.com. Except as required by applicable laws,
Sugarbud does not undertake any obligation to publicly update or
revise any forward-looking statements.
Neither the TSXV nor its regulation services provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this
release.
SOURCE SugarBud Craft Growers Corp.