Harvest Well being & Recreation Consents to California-based Falcon Worldwide Corp. – Take over Hashish Enterprise Govt
February 14, 2019 at 8:30 a.m. Eastern Standard Time
“California is a critically important state for any national cannabis company,” said Jason Vedadi, Executive Chairman of Harvest. “Our agreement to acquire Falcon accelerates our expansion in the state and adds brands that have thrived in the country’s most competitive product development market.”
The acquisition includes:
- Executive Team: A management team made up of professionals in the business and cannabis industries with experience managing high growth companies.
- Licenses: 16 cannabis licenses spanning the cultivation, manufacturing and distribution industries of the industry.
- Distribution: Falcon is one of the state’s largest distribution platforms, providing Harvest access to over 80 percent of California’s businesses. Falcon’s strong distribution network gives Harvest the ability to sell its own high quality brands to pharmacies across California.
- Manufacturing: Demanding automation and production functions with a capacity of over one million packaged units per month. The company is currently expanding its facility to three times its capacity, which will provide additional space for joint ventures or other production sites in the same location.
- Cultivation: Deep cultivation expertise and a robust supply chain to support flower brands indoors, outdoors and in greenhouses.
- Brands: A portfolio of the best-selling California brands including Cru Cannabis ™, Littles ™, and High Garden ™.
- Harvest will use Falcon as the backbone of its California operations and as the basis for national branding.
“The Falcon acquisition provides a home for our manufacturing and distribution companies across California,” said Vedadi. “We look forward to taking advantage of the brands we have acquired and using our presence to transport them quickly across the country.”
Under the merger agreement, Harvest will acquire Falcon for equity. The transaction is subject to customary closing conditions and is expected to close in the first half of 2019.
About Harvest Health & Recreation, Inc.
Harvest Health & Recreation Inc. is one of the first consistently profitable vertically integrated cannabis companies with one of the largest footprints in Harvest’s total vertical solution in the United States. This includes industry-leading grow, manufacturing, and retail facilities, construction, real estate, technology, operations and branding skills – leveraging in-house legal, human resources, and marketing teams, as well as proven experts in writing and winning government applications. The company employs more than 625 people with a proven track record of experience, expertise and understanding of internal best practices that are drawn upon each time Harvest enters new markets. The Harvest leadership team consists of executives in finance, compliance, real estate and operations. Since its inception in 2011, Harvest has grown its presence each year, ranked the 3rd largest cultivator in the US, and currently holds licenses to more than 140 facilities in the US. Harvest shares timely updates and releases as part of its regular course of business with the media and the interested public. For more information, please visit: https://www.harvestinc.com/.
Falcon International Corp. is a vertically integrated California cannabis company and a leader in cannabis research, development and branding. The company’s nationwide distribution platform and brand house currently serve over 80 percent of pharmacies in California.
This press release contains statements that constitute “forward-looking information” within the meaning of applicable securities laws, including statements regarding Harvest’s plans, intentions, beliefs and current expectations with respect to future business activities. Forward-looking information is often identified by the words “may,” “would,” “could,” “should,” “will,” “intend,” “plan,” “anticipate,” “believe,” “estimate.” “Expect” or similar expressions and contain information about: (i) expectations about the size of the US cannabis market, (ii) the Company’s ability to successfully achieve its business goals, (iii) plans to expand the crop, and (iv) Expectations for other economic, business and / or competitive factors.
Investors are cautioned that forward-looking information is not based on historical facts, but rather reflects the expectations, estimates or projections of harvest management with respect to future results or events based on the opinions, assumptions and estimates of management at the time of issuing the Statements were deemed appropriate. While Harvest believes that the expectations contained in such forward-looking information are reasonable, such information involves risks and uncertainties and undue reliance should not be placed on such information because unknown or unforeseeable factors could have a material adverse effect on future results, performance or the performance could have benefits of the combined entity. Key factors that could cause actual results to differ materially from those projected in the forward-looking information include the following: The potential impact of an announcement of a public transaction on relationships, including with regulators, employees, suppliers, customers, and Competitor; Changes in general economic, business and political conditions, including changes in financial markets; and in particular in relation to the Company’s ability to raise debt and equity in the amounts and at the cost it anticipates; adverse changes in the public’s perception of cannabis; Decrease in prevailing prices for cannabis and cannabis products in the markets in which the company operates; adverse changes in applicable laws; or adverse changes in the application or enforcement of applicable laws, including taxation; the inability to find and acquire suitable businesses, real estate and assets necessary to carry out the company’s business plans; and rising costs of complying with extensive government regulations. This forward-looking information can be influenced by risks and uncertainties in the harvest business and under market conditions.
Should one or more of these risks or uncertainties materialize or should the assumptions underlying the forward-looking information prove to be incorrect, actual results may differ materially from those described herein, as intended, planned, expected, assumed, estimated or expected. While Harvest has tried to identify important risks, uncertainties, and factors that could cause actual results to differ materially, there are others that cause results not to be as expected, estimated or intended. Harvest does not intend or undertake any obligation to update this forward-looking information unless otherwise required by applicable law.