THC Biomed International
THC Biomed International (THCBF) principal business is the production and sale of medical marijuana through THC BioMed Ltd. which is licensed to produce and sell medical marijuana under the provisions of the Access to Cannabis for Medical Purposes Regulations (“ACMPR”). The Company also conducts research and development of the products and services related to cannabis for medical purposes.
At the close of business on July 31, 2017, THC BioMed Ltd. and THC Meds Inc. were amalgamated and the name THC BioMed Ltd. was retained.
History of business
On February 18, 2016, THC BioMed Ltd. received its license to grow medical marijuana.
On May 24, 2016 the Company’s license was amended to include the production of fresh marijuana, cannabis oil, and cannabis resin.
On September 26, 2016, the Company announced that it signed a Letter of Intent to purchase 100% of Clone Shipper LLC, a US based company specializing in the packaging products used to transport live plants, for US$1,000,000. This is a strategic acquisition to allow the Company to penetrate the US and International cannabis market along with the ability to securely ship live plants with the increased legalization of medical marijuana. Clone Shipper is currently the only device that meets the legal requirements governing the transportation of controlled live plants. Clone Shipper products are currently available for sale at gardening supply outlets throughout the US and on popular sites like Amazon.com.
On October 17, 2016, the Company had its license amended again to be able to sell fresh marijuana, cannabis oil, and cannabis resin to other Licensed Producers.
As an interim step until the acquisition of Clone Shipper LLC was completed, the Company signed a Distribution Agreement with Clone Shipper LLC on October 27, 2016. The Distribution Agreement was for a period of two years and the Company paid Clone Shipper LLC US$75,000 for the Company to have the distribution rights for all Clone Shipper products in Canada.
On December 19, 2016, Health Canada amended THC BioMed Ltd.’s license to allow the sale of “starting materials” or marijuana plants immediately to legally authorized patients under the ACMPR.
In January 2017, the Company began sales of clones using the Clone Shipper packaging.
On March 16, 2017, the Company announced that it entered into a Capital Commitment Agreement with GEM Global Yield Fund LLC SCS for a $10,000,000 capital commitment from GEM to invest into THC. Proceeds raised from the investment will be used for working capital and general corporate purposes, and in particular, to close the Clone Shipper asset acquisition transaction.
On May 8, 2017, the acquisition of Clone Shipper assets was completed and $500,000 of the GEM facility was used to complete the transaction.
The Company announced on June 22, 2017 that they received an order to export dried marijuana to Germany. THC has initiated the process to meet the regulatory requirements to export to the European Union.
On July 21, 2017, the Company entered into a capital commitment from Alumina Partners (Ontario) Ltd. for up to $12,000,000.
On August 24, 2017, the Company announced that Health Canada amended the license again to allow the sale of dried marijuana to registered patients under the ACMPR.
On September 1, 2017, the Company signed a Secondary Site License Agreement (“Agreement”) with Canadian Biotechnology and Development Services Ltd.(“CBD”). The Agreement provides for the Company to apply to Health Canada for a second site license, the location to be determined by CBD, and the use of the Company’s laboratory facilities to conduct experiments in accordance with the ACMPR and the Company’s current licensing. CBD will pay the Company a total of $250,000 of which $130,000 is to be paid up front, and an additional $20,000 per month commencing October 1, 2017 to and including March 1, 2018.
On November 1, 2017, the Company completed the acquisition of two additional units to add to its existing facilities in Kelowna, British Columbia. The total purchase price of the two units was $485,000 in an arm’s-length transaction. $185,000 was paid in cash and a $300,000 mortgage was obtained by the Company. An agent’s fee of $10,000 per unit was paid to an arm’s length party. These additional units add 4,000 square feet to the Company’s facility. This acquisition increases the Company’s footprint to 20,000 square feet of owned and rented premises.
On December 1, 2017 the company announces that its subsidiary, THC2GO Dispensers, has officially submitted its application to operate cannabis retail stores in the province of Manitoba.
THC is also pleased to announce that Health Canada has amended THC’s ACMPR license to include 4 additional Grow Rooms. These additional Grow Rooms will allow THC to ramp up production, substantially adding an additional 400kg per annum. THC expects in the next few months to be the first Licensed Producer to offer a consistent supply of 21 different strains. The 4 Grow Rooms went into production on Friday the 15th December 2017.
THC further announces that it has entered into negotiations to purchase a greenhouse business in Ontario, Canada’s most populated province. The greenhouse business has been operating for more than 20 years and is well suited for growing cannabis. Successful completion of the acquisition would immediately give THC 100,000 square feet grow capacity with both facilities combined and an expansion capability of 300,000 square feet.