Abattis acquires majority ownership of Gabriola cannabis company

Sounder News

Tuesday, March 6 2018

Abattis Bioceuticals Corp., a cannabis company based out of Vancouver, announced it has acquired a 90 per cent ownership interest in Gabriola Green Farms Inc. (GGF).

GGF has applied for a license to produce (LP) under the Access to Cannabis for Medical Purposes Regulations (ACMPR) on Gabriola Island. In the press release, Abattis notes that Gabriola Island has a consistent temperature and humidity level, which makes it well suited to greenhouse growing.

“We are excited to complete our acquisition of Gabriola. Gabriola’s anticipated LP will complete our suite of downstream offerings and be the highlight of our growth into a full-service cannabis company,” stated Rob Abenante, Abattis President and CEO.

No one from Gabriola Green Farms was quoted or named in the press release. Nor was a location of the proposed facility on Gabriola provided.

Calls and emails from the Sounder to Abattis for more information on the purchase were not answered by press time. Inquiries made on social media by members of the public about Gabriola Green Farms were consistently answered by Abattis with, “More information about Gabriola will be released in the coming weeks.”

Abattis says in the press release that GGF has plans for an approximately 26,000 square-foot production facility to produce medical-grade marijuana located on 18 acres in the agricultural land reserve on Gabriola. The facility will include a Level 8 security vault. It does not say where those 18 acres are located on the island.

GGF’s production facilities are expected to be constructed in two phases:

• Phase 1 - Buildout of a 6,000 square-foot facility, consistent with ACMPR standards.

• Phase 2 - Upon completion of the Phase 1 buildout, GGF will build out an expansion of approximately 20,000 square feet.

In connection with the Acquisition, Abattis issued an aggregate of 61,307,902 common shares of the company and paid $2.5 million in cash to the shareholders of GGF.

In connection with the Acquisition, Abattis has also secured (i) a right of first refusal on the remaining 10 per cent ownership interest in GGF from CannaNUMUS Blockchain Inc., and (ii) an option to acquire the lands on which Gabriola’s operations are conducted for $7 million until February 27, 2023, from an unrelated third party.