Golden Cross
5 years ago
News out - RavenQuest Receives Health Canada Permit for Export to Australia
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October 08, 2019 06:00 ET | Source: RavenQuest BioMed Inc.
VANCOUVER, British Columbia, Oct. 08, 2019 (GLOBE NEWSWIRE) -- RavenQuest BioMed Inc. (CSE: RQB OTCQB: RVVQF Frankfurt: 1IT) (the “Company” or “RavenQuest”), one of Canada’s most innovative cannabis producers, announces that it has received a permit from Health Canada to allow the Company to export cannabis to Australia.
The permit allows for the export of dried cannabis flower from the Company to Medcan Australia (“Medcan”), a federally licensed Australian medical cannabis provider. Shipments from RavenQuest to Medcan are targeted to begin in mid-October.
Founded in 2016, Medcan has a singular vision to provide Australian patients with a high-quality, fair-priced product. With a vertically integrated model, Medcan is licenced under the Office Drug Control to cultivate, produce, manufacture, export and import high quality medicinal cannabis products for both clinical trials and individual patient access throughout Australia.
RavenQuest CEO, George Robinson, stated “the Australian medical cannabis model is well developed and mirrors Canada’s early evolution in many respects. With a population of over 24 million residents, this is a significant market with real growth potential. The Special Access Scheme in Australia has been updated recently, making it easier to access medical cannabis. Of the 14,420 applications approved, 13,217, or 92%, occurred within the last 12 months, and 2,893, or 20%, in August 2019 alone. It’s clear to us that the Australian medical cannabis market is growing very rapidly and we can now participate in this growth through our export permit with Health Canada.”
Medcan CEO, Craig Cochran, commented “we are very excited to begin receiving cannabis from Canada’s RavenQuest. After a comprehensive facility tour through RavenQuest’s ultra-modern, laboratory-grade cultivation facilities, we are confident their product easily meets our high cleanliness and safety standards. We also had in depth discussions with RavenQuest’s plant science leader, Dr. Simerjeet Kaur and are very comfortable with the RavenQuest team’s ability to continue our commitment to provide the safest and highest quality cannabis to our patients.”
For more information, access RavenQuest’s investor presentation, fact sheet and videos here.
Follow RavenQuest:
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About RavenQuest BioMed Inc.
RavenQuest is a diversified publicly traded cannabis company with divisions focused upon cannabis production, management services & consulting and specialized research & development. RavenQuest is a licensed producer with facilities located in Markham, Ontario and Edmonton, Alberta.
RavenQuest maintains a research partnership with McGill University focused upon cultivar (strain) recognition, plant stabilization and yield maximization of the cannabis plant. The Company focuses on partnerships with Indigenous communities.
On Behalf of the Board of Directors of
RAVENQUEST BIOMED INC.
“George Robinson”
Chief Executive Officer
For further information, please contact:
Mathieu McDonald, Corporate Communications
1-877-282-1586
centurycom
5 years ago
Some financials as reported in CEDAR:
RESULTS OF OPERATIONS
Six months ended April 30, 2019 and 2018
For the six months ended April 30, 2019, the Company’s business operated primarily through two operating segments – consulting business, and cultivation and sale of medical cannabis. The Company reports activities not directly attributable to an operating segment under corporate. These operating segments are monitored by the Company’s chief operating decision makers, and strategic decisions are made on the basis of segment operating results.
Revenue Gross profit Net loss before
income tax
$ 634,775 $ $ 693,386 $
$ (407,773) $
318,495 $ (59,371) $
(2,198,287) $
Consulting Medical cannabis
Corporate
- $
- $
(3,793,251) $
Total 953,270
634,015
(6,399,311)
We incurred a net and comprehensive loss of $6,399,311 for the period ended April 30, 2019 (2018 - $4,456,586). The $953,270 in revenue (2018 - $611,395) was as a result of the operations purchased as part of the acquisition made in Q4 2017 and Q2 2018.
During the six months ended April 30, 2019, the Company sold 5,765 plants (2018 - Nil) resulting in revenue of $172,950 (2018 - $Nil).
Cost of Sales
Plants that are in pre-harvest are considered biological assets and are capitalized on the balance sheet at fair market value less cost to sell at their point of harvest. Fair market value estimates are based on the Company’s selling list prices for specific cannabis plant strains. Costs to sell include post-harvest, trimming, fulfilment, testing and shipping costs. The Company capitalizes all the direct and indirect costs as incurred related to the biological transformation of the biological assets between the point of initial recognition and the point of harvest including labour related costs, grow consumables, materials, utilities, facilities costs, and quality and testing costs. As they continue to grow through the pre-harvest stages, a corresponding non-cash unrealized gain is recognized in income, reflecting the changes in fair value of the biological assets. At harvest, the biological assets are transferred to inventory at their fair value, which becomes the deemed cost for inventory. Inventory is later expensed to cost of sales when sold.
The cost of sales of ($58,611) (2018 - $397,001) during the period ended April 30, 2019 was comprised of inventory production costs expensed of $76,149 offset by reversals of previously recorded cost of $134,760.
During the period ended April 30, 2019, the Company recorded cost of sales including realized portion of change on inventory sold of $140,305 (2018 - $Nil).
During the period ended April 30, 2019, the Company recorded unrealized loss on changes in the fair value of biological assets of $237,561 (2018 - $Nil).
Some of the items comprising the loss for the six months ended April 30, 2019 were:
? Advertising and promotion of $197,863 (2018 - $544,794) decreased primarily as a result of decreased activities in the current period to raise awareness regarding the Company’s activities.
? Depreciation and amortization of $1,251,872 (2018 - $5,205) increased primarily as a result of an increase in additions to plant and equipment and intangible assets subsequent to the acquisition made in Q4 2017 and Q2 2018.
? Filing fees of $23,128 (2018 - $33,721) decreased due to decreased share activities during the current period.
? Interest and accretion of $1,545,369 (2018 - $465,472) increased primarily due to interest accrued on the convertible debentures and loans payable during the current period.
? Management and consulting fees of $372,800 (2018 - $1,491,295) decreased primarily due to a decrease in consulting fees during the current period.
? Office expenses of $556,979 (2018 - $164,910) increased as a result of increased expenses required to run the Company acquisitions made in Q4 2017 and Q2 2018.
? Rent of $457,867 (2018 - $299,401) increased due to rentals and leases assumed during the acquisitions made in Q4 2017 and Q2 2018.
? Share-based compensation of $1,080,089 (2018 - $1,363,286) decreased as a result of stock options granted during the period.
? Travel of $141,532 (2018 - $119,433) increased primarily as a result of more trips taken during the current period relating to new operations.
8
? Transfer agent fees of $12,123 (2018 - $17,304) decreased due to decreased share activities during the current period.
? Wages of $932,584 (2018 - $379,764) increased due to new operations in the current period.
Three months ended April 30, 2019 and 2018
For the period ended April 30, 2019, the Company’s business operated primarily through two operating segments – consulting business, and cultivation and sale of medical cannabis. The Company reports activities not directly attributable to an operating segment under corporate. These operating segments are monitored by the Company’s chief operating decision makers, and strategic decisions are made on the basis of segment operating results.
Consulting Medical cannabis
Corporate
- $
- $ (1,611,033) $
Total 653,240
(131,187) (3,797,158)
9
Revenue Gross profit Net loss before
income tax
$ 436,745 $ $ 413,064 $
$ (159,150) $
216,495 $ (544,251) $
(2,026,975) $
We incurred a net and comprehensive loss of $3,797,158 for the period ended April 30, 2019 (2018 - $3,436,044). The $653,240 in revenue (2018 - $614,360) was as a result of the operations purchased as part of the acquisition made in Q4 2017 and Q2 2018.
During the period ended April 30, 2019, the Company sold 2,365 plants (2018 - Nil) resulting in revenue of $70,950 (2018 - $Nil).
Cost of Sales
The cost of sales of $23,681 (2018 - $85,190) during the period ended April 30, 2019 was comprised of inventory production costs.
During the period ended April 30, 2019, the Company recorded cost of sales including realized portion of change on inventory sold of $140,305 (2018 - $Nil).
During the period ended April 30, 2019, the Company recorded unrealized loss on changes in the fair value of biological assets of $620,441 (2018 - $Nil).
Some of the items comprising the loss for the three months ended April 30, 2019 were:
? Advertising and promotion of $80,579 (2018 - $532,147) decreased primarily as a result of decreased activities in the current period to raise awareness regarding the Company’s activities.
? Depreciation and amortization of $480,940 (2018 - $3,958) increased primarily as a result of an increase in additions to plant and equipment and intangible assets subsequent to the acquisition made in Q4 2017 and Q2 2018.
? Filing fees of $17,782 (2018 - $31,028) decreased due to decreased share activities during the current period.
? Interest and accretion of $768,612 (2018 - $459,413) increased primarily due to interest accrued on the convertible debentures and loans payable during the current period.
? Management and consulting fees of $187,800 (2018 - $1,384,920) decreased primarily due to a decrease in consulting fees during the current period.
? Office expenses of $327,762 (2018 - $114,807) increased as a result of increased expenses required to run the Company subsequent to the acquisitions made in Q4 2017 and Q2 2018.
? Rent of $195,633 (2018 - $164,361) increased due to rentals and leases assumed during the acquisitions made in Q4 2017 and Q2 2018.
? Research and development $80,000 (2018 - $40,000) increased due to the timing of expenses recorded by the Company in the current period.
? Share-based compensation of $183,940 (2018 - $661,021) decreased as a result of stock options granted during the period.
? Travel of $72,209 (2018 - $68,204) increased primarily as a result of more trips taken during the current period relating to new operations.
? Transfer agent fees of $3,113 (2018 - $15,176) decreased due to decreased share activities during the current period.
? Wages of $443,548 (2018 - $227,804) increased due to new operations in the current period. LIQUIDITY AND CAPITAL RESOURCES
During the period from November 1, 2018 to June 28, 2019, the Company:
i) issued 1,014,000 shares pursuant to the exercise of options for proceeds of $659,100.
ii) completed a non-brokered private placement of units. In connection with completion of the non-brokered private placement, the Company issued 3,523,832 units at a price of $0.60 per unit for aggregate gross proceeds of $2,114,299.
Each unit consists of one common share of the Company, and one half of one share purchase warrant. Each warrant is exercisable to acquire an additional common share of the Company at a price of $0.08 per share for a period of 24 months. The Company also paid a finder’s fee to qualified finders in respect to the financing.
The Company also paid finders’ fees of $52,014 and issued 82,730 finder’s warrants (valued at $32,700). Each warrant entitles the holder to acquire a common share of the Company at a price per common share of $0.80 for a period of 24 months from the date of issuance.
iii) completed a non-brokered private placement of units. In connection with completion of the non-brokered private placement, the Company issued 166,000 units at a price of $0.60 per unit for aggregate gross proceeds of $99,600.
10
As of April 30, 2019, the Company had a cash position of $1,303,773, compared to $362,810 as at October 31, 2018, representing an increase of $940,963. As of April 30, 2019, the Company had a working capital deficiency of $3,072,462 compared to a working capital of $280,728 as at October 31, 2018.
Inventory at April 30, 2019 increased to $138,160 (October 31, 2018 - $Nil) and biological assets increased to $168,296 (October 31, 2018 - $78,244).
——————————
They sold over 5,000 plants with only revenue of approximately $172,000. I believe that maybe due to having prepaid upfront by Wyland group of $2,000,000.00
centurycom
5 years ago
Back YahooFINANCE
RavenQuest Provides Corporate Update
GlobeNewswireJune 26, 2019, 6:00 AM EDT
VANCOUVER, British Columbia, June 26, 2019 (GLOBE NEWSWIRE) -- RavenQuest BioMed Inc. (the “Company” or “RavenQuest”) – (CSE: RQB OTCQB: RVVQF Frankfurt: 1IT) is pleased to provide the following full update on all aspects of the Company’s production, distribution and expansion plans for 2019 and beyond.
RavenQuest is gearing up for rapid growth in Canada as well as in Europe. Canadian production will accelerate to full capacity by summer 2019 and our European expansion is swiftly taking shape. We anticipate profitable operations in the near term, driven by our focused approach outlined herein.
Canadian Production
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Both of our two ultra-modern grow facilities are built and producing cannabis now. RavenQuest boasts a full license to sell cannabis and two completed and licensed cannabis facilities located in Markham, Ontario and Edmonton, Alberta.
With an eye on prudence, Edmonton production began cautiously to ensure the success of our disruptive Orbital Garden technology. The extensive science behind Orbital Gardening results in a unique cannabis plant, one which expresses as a much more efficient plant with very little wasted leaf (fan leaf) and instead produces almost entirely large buds (image shown below). We are very excited with the results, and as we near completion of the first harvest, we are now comfortable with our processes and are in the midst of rapidly ramping production. The shorter 8-week grow cycle of the Orbital Gardens (compared to 12-14 week cycles for flat table growing) further adds to annual yield. We expect the Edmonton facility to reach full capacity by this summer (2019), placing RavenQuest’s Canadian production run-rate at about 11,000 kg per annum.
Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/8afc2871-793c-4a19-bdc0-7cb7c1492944
https://www.globenewswire.com/NewsRoom/AttachmentNg/31bdfb14-f980-484f-82f7-0dca7999993f
https://www.globenewswire.com/NewsRoom/AttachmentNg/ff0a5167-f99e-4083-b662-56e63c4d27a3
Markham production is ramping up nicely with the addition of Dr. Simerjeet Kaur, PhD (McGill) demonstrating her value as a plant science leader. RavenQuest plans to convert the Markham facility to Orbital Gardens in mid-2019.
From a production standpoint, we see 2019 as an inflection year for our Company as we accelerate from nominal production in 2018 to an expected run-rate of approximately 11,000 kg per year by mid-summer 2019.
Canadian Sales & Distribution
RavenQuest has a business-to-business supply agreement in place for up to 8,000 kg in 2019.
In addition, RavenQuest has signed an MOU (Memorandum of Understanding) with the province of British Columbia to supply approximately 2,000 kg. We are currently engaged with several other provinces with a view toward diversifying our geographic footprint with the potential for supply agreements with additional provinces in the near future.
With our business-to-business supply agreement and potential sales to British Columbia, our Company has pre-sold the bulk of our production for 2019, and are working on similar arrangements in both the B2B and recreational markets for 2020 as well.
The cannabis market remains in short supply and we expect this dynamic to persist well into 2020, especially for high quality, indoor grown dried flower or full plant extracts, which is an area of focus for our Company.
We see the evidence in other cannabis markets that dried flower and vaporizers are still a preferred delivery method even after the introduction of edibles and concentrates. Dried flower and vaporizers still account for upwards of 65% of the marketplace in many fully legal edibles environments. We anticipate adding an elegant and disposable vaporized product to our portfolio leading into Cannabis 2.0 (legalization of edibles). We believe strongly in the concept of the “entourage effect”, or the “full plant experience” for cannabis enthusiasts and our vaporizers will carry this same emphasis on the “full plant extract”. We think in terms of the “Fresh Squeezed Orange Juice” of cannabis, rather than the “Tang” or “Kool-Aid” approach, which tends to focus upon fractional distillates.
It has been evidenced that those companies with a more simplified approach are having the greatest on-the-ground as well as financial success, and we intend to walk this path as well. We have a select number of high-quality SKUs, a conservative branding budget and a laser focus upon delivering quality product in simple, biodegradable packaging that emphasizes moisture and quality. We believe this is the pathway to success and this has been demonstrated by a select peer group thus far in the broader market. In our view, quality and consistency will outpace volume and advertising as we address our consumer base. We anticipate profitable operations near term as a result of this focused, sensible approach to the business of cannabis.
European Expansion
RavenQuest sees tremendous opportunity in Europe, and has announced a Heads of Agreement toward a Joint Venture with Norway’s Biocare, which intends to produce upwards of 35,000 kg per year, split on a 50/50 basis between RavenQuest and Biocare.
Of note is that funding of the expansion is anticipated to come from Biocare, while RavenQuest brings its technology, facility design and expertise.
Europe has a population of over 700 million and a growing acceptance of cannabis as both a medicine and a recreational product. RavenQuest has aggressive expansion plans in Europe with our partner, Biocare.
Led by Gerhardt Ludvigsen and his team from Petronor/Hemla, our Norwegian partners completed an extensive due diligence process, which included some of the largest players in the cannabis space. Ultimately, they decided to partner with RavenQuest because our organization has placed the foundation of our business into science and innovation. Our Orbital Gardens can produce far greater quantities of cannabis on a per-square-foot basis than virtually anyone else in the space, and at greater economic efficiencies due to the substantial savings on input costs of the automated system – a system which requires only five grow-room visits per cycle. All of these benefits contribute to profitability while producing some of the most consistent, repeatable and high-quality cannabis anywhere.
We are delighted to be working alongside such an esteemed group with global reach, who also see the tremendous value in RavenQuest, a company that thoroughly understands the science behind growing the cannabis plant properly and at scale.
The first facility is expected to be constructed in Portugal, and the final stages of site selection are ongoing as we write this new release. We anticipate finalizing our agreement by summer 2019 and moving toward breaking ground shortly thereafter.
Operational Summary
Between our Canadian ramp-up and European expansion, its an exciting time for us at RavenQuest. We’re now producing cannabis at scale, accelerating production rapidly and have begun selling cannabis and realizing revenues.
Now that our Orbital Garden technology has been proven inside our Edmonton facility, our relationship with Biocare is expected allow us to take production to scale in Europe.
For more information, access RavenQuest’s investor presentation, fact sheet and videos here.
Follow RavenQuest on Twitter @RQBGlobal.
About RavenQuest BioMed Inc.
RavenQuest BioMed Inc. is a diversified publicly traded cannabis company with divisions focused upon cannabis production, management services & consulting and specialized research & development. RavenQuest is a licensed producer with facilities located in Markham, Ontario and Edmonton, Alberta.
RavenQuest maintains a research partnership with McGill University focused upon cultivar (strain) recognition, plant stabilization and yield maximization of the cannabis plant. The Company focuses on partnerships with Indigenous communities.
On Behalf of the Board of Directors of
RAVENQUEST BIOMED INC.
“George Robinson”
Chief Executive Officer
For further information, please contact:
Mathieu McDonald, Corporate Communications –-877-282-1586
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this press release, which has been prepared by management.
Cautionary Note Regarding Forward-Looking Statements
All statements in this press release, other than statements of historical fact, are “forward-looking information” with respect to the Company within the meaning of applicable securities laws, including production at our Edmonton and Markham facilities, the supply of cannabis to the Province or British Columbia pursuant to the MOU, the state of the cannabis market, our expansion into Europe, statements with respect to the execution of a definitive JV agreement between RavenQuest and Cannabis BioCare, the construction of cannabis production facilities in certain geographic regions and the production capacity of those facilities. The Company provides forward-looking statements for the purpose of conveying information about current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. These risks and uncertainties include but are not limited to those identified and reported in the Company’s public filings under the Company’s SEDAR profile at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.
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