CGrowth Capital, Inc. Updates Shareholders on Cannabis Lease and Washington Market
August 12 2015 - 4:15PM
Access Wire
SILVERDALE, WA / ACCESSWIRE / August 12, 2015 /
CGrowth Capital, Inc. (PINKSHEETS: CGRA) (the "Company") is pleased
to update shareholders on progress made towards its first turnkey
lease to a cannabis producer in Washington State. As previously
announced, the Lessee has completed its initial interviews and
approvals with the Washington State Liquor Control Board ("LCB"),
paving the way for the future site(s). The Company has followed
this up with preliminary approval from Stevens County for the
placement of the facility, and is now preparing for formal permit
and site development submission. The Company has budgeted up to $1m
for the complete buildout and remodel and is working with investors
and lenders to arrive at acceptable financing terms.
Recent changes in the recreational cannabis space in Washington
State continue to improve the feasibility of the project. The state
enacted changes to its tax structure in July of this year which
eliminated the multi-tier tax structure on the producer and
processor, and has now shifted to a flat tax at the retail sale
only. This lowers the overall cost to the Lessee and improves gross
margins. Additionally, medical cannabis dispensaries are being
phased out by the end of June 2016, shifting all sales to the new
state retail system supported by the producer / processors. The
results of this change should positively impact the demand for
legal production by up to tenfold, as a majority of sales are still
completed via medical dispensary sales - who get their product from
co-ops - which will be effectively restricted for sale under the
new system.
"Predictions abound about a future of 'big pot.' ArcView, a
cannabis industry research firm, put the size of the legal
marijuana market at $2.6 billion in 2014. Another study by a
pro-marijuana group said the industry, if fully legalized across
the country by 2020, could be worth $35 billion each
year."
"Whether you are a proponent or not, the cannabis movement is
upon us," stated Bill Wright, CEO of CGrowth Capital, Inc. "Many
observers predict this to be the fasted growing market segment in
the years to follow. We believe that positioning the Company to be
a part of this opportunity, both as a legal lessor now, as well as
being in position to complete a future rollup upon national
legalization, is a prudent business move to maximize shareholder
opportunity."
About CGrowth Capital, Inc.:
CGrowth Capital, Inc. The Company continues to serve as an
alternative asset management company for businesses and assets
focused on all aspects of mining, minerals, exploration, and
commercial real estate. The processing of metal ore mining, mineral
and specialty rock extraction, as well as oil and gas production,
are multi-billion dollar market opportunities which is capitalized
on through processing, sales, contracting and licensing of assets.
CGrowth Capital's services and solutions are designed to assist
land owners with monetizing undervalued assets by bringing
commodities such as gold, silver, oil and gas, dolomite, and
terrazzo to market. CGrowth Capital will focus on acquiring land
assets, while also providing partners and affiliates with
management services, capital, contract management and logistical
services necessary for the successful execution of operations.
Through wholly owned subsidiaries, the Company has begun to
strategically leverage assets for maximum value within the legally
developing cannabis industry currently underway in Washington
State.
For more information and updates about CGrowth Capital,
visit their website or Facebook page:
http://www.CGrowthCapital.com
https://www.facebook.com/CGrowthCapital
Investor Inquiries:
CGrowth Capital, Inc.
888-218-2472
Safe Harbor
Statements about the Company's future expectations and all other
statements in this press release other than historical facts, are
"forward-looking statements" within the meaning of Section 27A of
the Securities Act of 1933, Section 21E of the Securities Exchange
Act of 1934, and as that term is defined in the Private Securities
Litigation Reform Act of 1995. The Company intends that such
forward-looking statements be subject to the safe harbors created
thereby. The above information contains information relating to the
Company that is based on the beliefs of the Company and/or its
management as well as assumptions made by and information currently
available to the Company or its management. When used in this
document, the words "anticipate," "estimate," "expect," "intend,"
"plans," "projects," and similar expressions, as they relate to the
Company or its management, are intended to identify forward-looking
statements. Such statements reflect the current view of the Company
regarding future events and are subject to certain risks,
uncertainties and assumptions, including the risks and
uncertainties noted. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
to be incorrect, actual results may vary materially from those
described herein as anticipated, believed, estimated, expected,
intended or projected. In each instance, forward-looking
information should be considered in light of the accompanying
meaningful cautionary statements herein. Factors that could cause
results to differ include, but are not limited to, successful
performance of internal plans, the impact of competitive services
and pricing and general economic risks and uncertainties. The
Company disclaims any obligation to update or revise any
forward-looking statements.
SOURCE: CGrowth Capital, Inc.
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