James E. Wagner Cultivation Corporation Announces Letter of Intent to License Its Technology to Ascendo Group (PTY) Ltd.
KITCHENER, Ontario, April 23, 2019 (GLOBE NEWSWIRE) -- James E. Wagner Cultivation Corporation (“JWC” or the “Corporation”) (TSX VENTURE: JWCA; OTCQX: JWCAF), is pleased to announce that on April 17, 2019, it entered into a non-binding Letter of Intent (“LOI”) to provide a Technology Licence for its GrowthSTORM™ Dual Droplet™ System to Ascendo Group (PTY) Ltd. (“Ascendo Group” or the “Licensee”), for use at the Licensee’s proposed cultivation facility in South Africa. It has been and continues to be JWC’s vision that the GrowthSTORM Dual Droplet System, which has been engineered for cannabis cultivation, has global applicability. This LOI establishes the first step in bringing that vision to the reality of an international application of the technology.
Both parties have agreed to continue negotiations with the intent of executing a Definitive Agreement, at which time JWC will provide the Licensee with technology rights and proprietary knowledge of its technology and equipment for use in the growth and cultivation of plants at the Licensee’s proposed cultivation facility, located in South Africa. Pursuant to the LOI, the terms of the Definitive Agreement, once executed, will include a royalty term to provide JWC with a fixed percentage of the total revenues earned from the Licensee’s proposed cultivation facility. The royalty is to be provided for the whole term that the Technology Licence is in place under the Definitive Agreement, as compensation for the consulting services and materials, and for the Technology Licence, as provided to the Licensee. The percentage amount of the royalty will be determined by the package of services and materials which the Licensee elects to subscribe for under the Definitive Agreement.
With this agreement to support Ascendo Group as they work toward beginning the cultivation of cannabis in South Africa, JWC has taken an important step in bringing the GrowthSTORM™ Dual Droplet System to the world stage. Alongside Ascendo and our other GrowthSTORM™ family companies, JWC will continue to develop unique technologies and advance the adoption of aeroponic cultivation practises around the world. We are excited to be a part of the Ascendo Group’s journey as they work to begin cannabis cultivation in South Africa
said Nathan Woodworth, President and Chief Executive Officer of James E. Wagner Cultivation.
We were really impressed with JWC, and how they have built a strong foundation for themselves. They continue to stand in the forefront of their industry, pioneering novel methods of growing cannabis. Our visit was a great opportunity for us to have the honour of meeting Nathan and for him to show us JWC’s novel approach to solving difficult cultivation questions that most people have not yet considered. JWC has taken great strides already to work actively with us and our management team to help Ascendo Group achieve our goals of pioneering the future in medical cannabis around the world
said David Huang, Chief Executive Officer of Ascendo Group.
About Ascendo Group (PTY) Ltd.
Ascendo Group is a family run business that is built on a solid foundation, that is forward-looking, dynamic, and passionate about the fast growing medical cannabis industry. Ascendo Group has been committed to quality products, brands, and services for the past 30 years; from textile to LED lighting technology and now its newest venture in medical cannabis cultivation. Ascendo Group aspires to create and deliver quality products and services that meet the evolving needs in the global medical cannabis market.
About JWC’s GrowthSTORM™ Dual Droplet™ System
JWC’s GrowthSTORM™ System offers several significant advantages over other cultivation techniques, including its new advancement, the GrowthSTORM™ Dual Droplet System (“DDS”). The aeroponic GrowthSTORM™ DDS is designed to achieve a higher availability of air and water at the root zone, and a more controlled delivery of nutrients. This results in significant improvements in plant health in all measurable categories, as well as a higher volume of production by each plant. Additionally, this proprietary system is designed to eliminate all contaminants from the cultivation facility, allowing for maximum control of the growth environment to provide clean and consistent cannabis from every plant lifecycle.
JWC’s wholly-owned subsidiary is a Licensed Producer under the Cannabis Regulations, formerly the Access to Cannabis for Medical Purposes Regulations (“ACMPR”). JWC is a premium cannabis brand, focusing on producing clean, consistent cannabis. JWC uses an advanced and proprietary Dual Droplet™ aeroponic platform named GrowthSTORM™. JWC was founded as a family company and is based on family values. JWC began as a collective of patients and growers under the Marihuana Medical Access Regulations (the precursor to ACMPR). Since its inception, JWC has remained focused on providing the best possible patient experience. JWC’s operations are based in Kitchener, Ontario. Learn more at www.jwc.ca.
Notice regarding forward-looking statements:
This press release contains statements including forward-looking information for purposes of applicable securities laws (“forward-looking statements”) about JWC and its business and operations which include, among other things, statements regarding the benefits in production under its aeroponic platform, the entering into of a Definitive Agreement and the terms to be contained therein. The forward-looking statements can be identified by the use of such words as “will”, “expected”, “approximately”, “may”, “could”, “would” or similar words and phrases. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results to differ materially from those implied in the forward-looking statements. For example, risks include risks regarding the cannabis industry, economic factors, the equity markets generally, building permit related risks and risks associated with growth and competition as well as the risks identified in the Corporation’s Filing Statement available under the Corporation’s profile at www.sedar.com. Although JWC has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release and are based on current assumptions which management believes to be reasonable. The Corporation disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.