VANCOUVER, British Columbia, May 14, 2020 (GLOBE NEWSWIRE) -- Isracann Biosciences Inc. (CSE: IPOT) (XFRA: A2PT0E) (OTC: ISCNF) (the “Company” or “Isracann”) an Israel-based company focused on becoming a premier low cost, high quality cannabis producer is accelerating efforts to service an anticipated increase in demand for both domestic and European markets.
As the current COVID-19 health crisis extends into the second quarter of the year, global supply chains for cannabis are facing new challenges to meet growing demands. Licensed North American and European Cannabis operations require significant and ongoing inputs of fertilizers and nutrients along with extensive skilled labour to ensure their timely ability to plant, grow, harvest, test and receive approval to ship at scale in order to service their domestic and international obligations. As noted in the European Cannabis Report (5th Edition, Feb. 2020) actions to increase domestic European supply are fragmented with Germany in the midst of regulatory framework development, Italy contracting with a Canadian supplier to meet demand and Denmark importing virtually all its supply needs. This environment indicates the overall EU supply is lagging. Combined with the current unprecedented health circumstances, production stressors may result in potential delivery shortfalls, testing existing suppliers’ ability to meet the needs of clinical trials and medical consumers throughout the EU.
Isracann aims to respond to this anticipated undersupply by leveraging Israel’s advanced agronomics, excellent domestic input supply, over 300 days of sunshine annually and access to major Mediterranean shipping routes to create an achievable and rapid path to success. The previously announced distribution partnership on the island of Malta offers obvious financial incentives plus sophisticated and highly regarded EU trading relations, but the Company remains open to a number of intriguing options ensuring rapid transhipment of future harvested goods to the many high value continental markets.
“Regarding our European plans, our Hefer valley farm is making great strides this week,” states VP of Operations Matt Chatterton. “We engaged a specialist Israeli consultant to advance the certification of the farm to EU-GMP standards thereby paving the way for our export distribution. In addition, the related post-harvest export facility is nearing readiness and should be completed next week.”
Today, the Company received notification that the local authorities have completed the mandatory security inspection of the facility. No early reports of any deficiencies were identified, and the certification consultant is preparing the final report to the Ministry of Health for recommendation of final approvals. Subsequent plans to advance to planting are imminent and anticipated to commence next week.
Company CEO Darryl Jones notes, “All reports from Israel are highly favourable and we appear to be days away from having seeds in the ground. This news combined with a growing sense of urgency across the domestic and European marketplace is genuinely exciting.”
In related news, the Company wishes to announce that it has granted 2,800,000 stock options at an exercise price of CAD$0.19 to directors and officers of the Company to purchase an aggregate 2,800,000 common shares in the capital of the Company. The stock options are exercisable for a term of three years and vest immediately. The Company has also granted 200,000 stock options at an exercise price of $0.19 to investor relations consultants which vest 25% every 3 months for one year. All stock options are granted in accordance with the terms of the Company's stock option plan and the policies of the CSE.
ON BEHALF OF THE BOARD OF DIRECTORS
“Darryl Jones”
Darryl Jones
Chief Executive Officer and President
About Isracann Biosciences Inc. (CSE: IPOT) (XFRA: A2PT0E) (OTC: ISCNF)
Isracann is an Israeli-based cannabis company focused on becoming a premier cannabis producer offering low-cost production targeting undersupplied, major European marketplaces. Based in Israel's agricultural sector, Isracann will leverage its development within the most experienced country in the world with respect to cannabis research. The Company has secured agreements within Israel for medicinal marijuana cultivation. For more information visit: www.isracann.com.
The CSE does not accept responsibility for the adequacy or accuracy of this release.
All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, “may”, “will”, “would”, “project”, “should”, “believe” and similar expressions are intended to identify forward-looking statements. There can be no assurance that such statements, including the impacts of the COVID-19 pandemic and supply and demand trends in the cannabis industry, will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ, materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time with the Canadian Securities Exchange, the British Columbia Securities Commission, the Ontario Securities Commission, and the Alberta Securities Commission.
Contact
Investor Relations
Toll Free: +1 855.205.0226
Email: inquiries@isracann.com
Web: www.isracann.com