VANCOUVER, British Columbia, March 01, 2019 (GLOBE NEWSWIRE) -- Chemesis International Inc. (CSE: CSI) (OTC: CADMF) (FRA: CWAA) (the “Company” or “Chemesis”), announces unaudited fiscal Q2 revenues for the period ending December 31, 2018 of $2,820,105 CDN, a 47% increase from the previous quarter.
In its second quarter of operations, the Company generated revenues through its state compliant manufacturing, packaging, and distribution facility Desert Zen. With current distribution throughout Southern California, the Company continues to expand its reach within the legal dispensary network. The successful launch of the Jay & Silent Bob brand has generated significant demand which has continued into fiscal Q3.
Chemesis closed the acquisition of Natural Ventures in fiscal Q2 and has been building out its operations on the island to serve increasing customer demand. The Company subsequently announced it will be cultivating and manufacturing CBD products for the Puerto Rican medical cannabis market in the fiscal year.
Edgar Montero, CEO of Chemesis stated, “The Company is moving forward in every aspect of its business plan and we are looking forward to the expansion of our assets. Chemesis recently announced a $4 million annual purchase order, which we believe to be the start of high demand, as consumers and businesses continue to recognize our high-quality cultivation, and manufacturing processes.”
Subsequent to the quarter end, Chemesis closed the acquisition of La Finca Interacviva-Arachna Med on January 9th, 2019. The Company anticipates its first harvest and commencing construction of its GMP certified extraction facility, in the spring of 2019. Furthermore, the acquisition of La Finca brought the company in excess of CDN $2,000,000 in working capital.
Additionally, the Company’s industrial scale extraction facility in California, has obtained all necessary licensing and has proceeded with commercialization. The Company looks forward to scaling up in the coming months to meet increasing demand in the legal California cannabis market.
With the current financing completed of CDN $2,760,000 and up to $10,000,000 in equity facility as of today's announcement, Chemesis is in a strong cash position to meet its near-term cash commitments to ensure expansion build out and revenue growth. The additional equity facility gives Chemesis access to a total of CDN $34,250,000 in draw down equity facilities between Alumina Partners Inc. and Global Emerging Markets.
The unaudited condensed consolidated interim financial Statements and MD&A for the three months ended December 31, 2018 will be filed on SEDAR and available at www.sedar.com.
On Behalf of The Board of Directors
CEO and Director
About Chemesis International Inc.
Chemesis International Inc. is a vertically integrated global leader in the cannabis industry, currently operating within California, Puerto Rico, and Colombia.
Chemesis is developing a strong foothold in key markets, from cultivation, to manufacturing, distribution and retail. Chemesis has facilities in both Puerto Rico and California, allowing for cost effective production and distribution of its products. In addition, Chemesis leverages exclusive brands and partnerships and uses the highest quality extraction methods to provide consumers with quality cannabis products.
Chemesis will add shareholder value by exploring opportunities in emerging markets while consistently delivering quality product to its consumers from seed to sale.
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Forward-Looking Information: This news release contains "forward-looking information" within the meaning of applicable securities laws relating to statements regarding the Company's business, products and future of the Company’s business, its product offerings and plans for sales and marketing, including finalizing an acquisition in Colombia. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking information. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance and developments to differ materially from those contemplated by these statements depending on, among other things, the risks that the Company's products and plan will vary from those stated in this news release and the Company may not be able to carry out its business plans as expected. Except as required by law, the Company expressly disclaims any obligation and does not intend to update any forward-looking statements or forward-looking information in this news release. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct and makes no reference to profitability based on sales reported. The statements in this news release are made as of the date of this release.
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