TILT Signs Letter of Intent with Medical 420 to Service the European Market
Joint venture leverages M420’s resources to expand TILT’s processing, logistics and supply chain capabilities to Europe
BOSTON--(BUSINESS WIRE)-- TILT Holdings Inc. ("TILT" or the “Company”) (CSE:TILT) (OTC:SVVTF), a vertically-integrated infrastructure and technology platform for the cannabis industry, announced today its intended expansion into the European market. It has signed a letter of intent with Medical 420 (“M420”), a large-scale vertical cannabis company, to provide cannabis processing, logistical support and supply chain management to the European Union. By leveraging M420’s North Macedonian assets and wholesale materials, TILT intends to provide cannabis products to the entire European continent.
“We are very focused on expanding TILT’s broad technology and infrastructure product offerings into expanding cannabis markets like Europe, which also has a substantial addressable market,” said Alex Coleman, CEO of TILT. “While we continue to expect the US cannabis market to expand the fastest as well as be the largest, we see substantial potential within the EU. Our partnership with M420 is further validation of TILT’s leadership in the industry and mission to deliver effective, comprehensive cannabis solutions to the entire globe.”
Consideration for the M420 joint venture consists of US$10 million in cash. The outside date for the closing of the deal is February 15, 2019.
This joint venture comes on the heels of TILT’s announcement to officially begin trading on the Canadian Securities Exchange, and supports a series of moves to accelerate TILT’s goal of providing comprehensive operations and software solutions at each touchpoint in the supply chain. TILT also recently announced its acquisitions of Blackbird Holdings Corp. (“Blackbird”) and Standard Farms LLC (“Standard Farms”).
More information about the company’s other recent acquisitions and moves within the cannabis industry can be found here.
TILT Holdings Inc. is a vertically-integrated technology and infrastructure platform delivering the most comprehensive range of products and services across the cannabis industry. TILT strives to deliver the highest quality products and services through knowledge-based technology systems for both businesses and consumers. TILT technologies has a presence in more than 1,000 dispensaries across the U.S., Canada, Puerto Rico and Jamaica. For more information, please visit www.tiltholdings.com.
The CSE has neither approved nor disapproved the contents of this news release.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
This news release contains forward-looking information based on current expectations. Forward-looking information is provided for the purpose of presenting information about management’s current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. Forward looking information may include, without limitation, completion of the transaction with M420, statements regarding the operations, business, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, goals, ongoing objectives, milestones, strategies and outlook of TILT, and includes statements about, among other things, future developments, the future operations, strengths and strategy of the Company. These statements should not be read as guarantees of future performance or results. These statements are based upon certain material factors, assumptions and analyses that were applied in drawing a conclusion or making a forecast or projection, including TILT’s experience and perceptions of historical trends, current conditions and expected future developments, as well as other factors that are believed to be reasonable in the circumstances.
Examples of the assumptions underlying the forward-looking statements contained herein include, but are not limited to those related to: the receipt of all necessary consents and approval for the transaction with M420, the ability of TILT to obtain necessary financing in the future to pursue its business plans, the achievement of goals, the obtaining of all necessary permits and governmental approvals, as well as expectations regarding availability of equipment, skilled labour and services needed for cannabis operations, intellectual property rights, development, operating or regulatory risks, trends and developments in the cannabis industry, business strategy and outlook, expansion and growth of business and operations, the timing and amount of capital expenditures; future exchange rates; the impact of increasing competition; conditions in general economic and financial markets; access to capital; future operating costs; government regulations, including future legislative and regulatory developments involving medical and recreational marijuana and the timing thereto; receipt of appropriate and necessary licenses in a timely manner; the effects of regulation by governmental agencies; the anticipated changes to laws regarding the recreational use of cannabis; the demand for cannabis products and corresponding forecasted increase in revenues; and the size of the medical marijuana market and the recreational marijuana market.
Although such statements are based on management’s reasonable assumptions at the date such statements are made, there can be no assurance that they it be completed on the terms described above and that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Accordingly, readers should not place undue reliance on the forward-looking information. TILT Holdings assumes no responsibility to update or revise forward-looking information to reflect new events or circumstances unless required by applicable law.
By its nature, forward-looking information is subject to risks and uncertainties, and there are a variety of material factors, many of which are beyond the control of TILT, and that may cause actual outcomes to differ materially from those discussed in the forward-looking statements. These factors include, but are not limited to: denial or delayed receipt of all necessary consents and approvals; need for additional capital expenditures; increased costs and timing of operations; unexpected costs associated with environmental liabilities; requirements for additional capital; reduced future prices of cannabis; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the cannabis industry; delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities; title disputes; claims limitations on insurance coverage; risks related to the integration of acquisitions; fluctuations in the spot and forward price of certain commodities (such as diesel fuel and electricity); changes in national and local government legislation, taxation, controls, regulations and political or economic developments in the countries where the Company may carry on business in the future; liabilities inherent in cannabis operations; risks relating to medical and recreational cannabis; cultivation, extraction and distribution problems; competition for, among other things, capital, licences and skilled personnel; risks relating to the timing of legalization of recreational cannabis; changes in laws relating to the cannabis industry; and management’s success in anticipating and managing the foregoing factors.
Joel Milton, President of TILT Holdings
Source: TILT Holdings Inc.
Released December 13, 2018