LEAMINGTON, ONTARIO--(Marketwired - Aug. 19, 2016) - Aphria Inc. ("Aphria" or the "Company") (TSX VENTURE:APH)(OTCQB:APHQF) announced today that the Company entered into a purchase and sale agreement with DiNiro Farms Inc. ("DiNiro") to acquire 11 acres of additional property adjacent to its existing campus for a $2.1 million cash payment. The 11 acres of abutting property includes 345,000 square feet of existing greenhouses. Concurrent with this transaction, the abutting property will be merged into Aphria's existing municipal address, thereby avoiding the need to apply for a new Health Canada site licence.
As a condition of sale, DiNiro is entitled to continue to operate its greenhouse growing operations on the property until December 31, 2017. While continuing operations, DiNiro is responsible for all costs associated with the property but is occupying the property on a lease free basis.
"Together with the previously announced CF Greenhouse property acquisition of 36 acres, this additional 11 acres of property, to be incorporated into our master site plan, positions Aphria to be able to strategically capitalize on the anticipated demand that may be created by the legalization for recreational use legislation, which is expected to be tabled in the spring of 2017", said Vic Neufeld, Chief Executive Officer.
Aphria Inc., one of Canada's lowest cost producers, produces, supplies and sells medical cannabis. Located in Leamington, Ontario, the greenhouse capital of Canada. Aphria is truly powered by sunlight, allowing for the most natural growing conditions available. Aphria is committed to providing pharma-grade medical cannabis, superior patient care while balancing patient economics and returns to shareholders. Aphria was the first public licenced producer to report positive cash flow from operations and the first to report positive earnings in consecutive quarters.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Certain information in this news release constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "believe", "intend" or the negative of these terms and similar expressions. Forward-looking statements in this news release include, but are not limited to, statements with respect to internal expectations, estimated margins, expectations for future growing and extraction capacity, any commentary related to the legalization of marijuana and the timing related thereto, intended expansion of the Company's facilities and the costs and anticipated timing with respect to such expansion, expectations of Health Canada approvals and expectations with respect to future production costs. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments involving medical marijuana; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the medical marijuana industry in Canada generally, income tax and regulatory matters; the ability of Aphria to implement its business strategies; competition; crop failure; currency and interest rate fluctuations and other risks.
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President & CEO