Kelowna, BC, Dec. 02, 2019 (GLOBE NEWSWIRE) —
GTEC Holdings Ltd. (TSX-V:GTEC) (OTCQB:GGTTF) (FRA:1BUP) (“GTEC” or the “Company”), a multi-licenced producer of premium indoor flower, announced that it has formally launched its recreational adult-use brands in the Provinces of British Columbia and Saskatchewan.
“We set out a mandate to produce ultra-premium cannabis that is superior to the available selection in the current legal marketplace, produced from exclusive cultivars,” said Norton Singhavon, Founder, Chairman and CEO of GTEC. “This product launch marks a pivotal chapter in our growth and strategy. We are very excited about our fiscal 2020 year, as we expect to realize significant increases in production, revenue and gross margins, which we anticipate will drive GTEC into profitability.”
“Since day one, it has been our goal to build a brand and product portfolio that caters to what consumers are searching for; whether new to the market, or legacy cannabis connoisseurs,” said Adil Hirji, Head of Marketing at GTEC. “We are confident that our meticulous efforts from seed to shelf will separate ourselves from others, establishing a sustainable competitive advantage while building consumer loyalty.”
Initial orders were fulfilled and shipped in November to the British Columbia Liquor Distribution Branch (“BCLDB”) and a private Saskatchewan distributor, with wholesale and retail sales commencing during the week of November 25, 2019. The purchase orders have provided GTEC’s products access to 135 retail stores between both Provinces. The products have been priced amongst the highest tier within BCLDB sales channels, and promptly sold-out within hours of being available for wholesale distribution and to public consumers, which demonstrates the robust demand for GTEC’s products in British Columbia.
A subsequent purchase order was received from the BCLDB, which is currently being fulfilled and expected to be delivered this week. The Company expects to continue to expand its national distribution into other Provinces in the near future.
Launched products include:
The recently launched products have been produced from GTEC’s exclusive cultivar collection, with the quality of flowering increasing from premium to ultra-premium, resulting in a significant increase in GTEC’s selling price. Management anticipates that its average selling price and sector-leading gross margins(A) will continue to increase as it realizes economies of scale and transitions its production to its exclusive cultivar collection.
Note A: This analysis is based on the most recently available Financial Statements on SEDAR from publicly listed Licenced Producers (including GTEC), as of November 19, 2019. Companies included, were those listed on New Cannabis Ventures Canadian Cannabis LP Index, that currently produce in a; greenhouse, indoor operation, or a combination of both, with quarterly sales greater than $1 million. Those with outdoor operations were excluded from the analysis. Based on the analysis GTEC had the third highest gross margin in the sector, and the no.1 highest based on those solely with indoor operations.
GTEC Holdings Limited is a specialized cannabis company which produces and distributes highly sought-after ultra-premium cannabis products in Canada. The Company has four licensed and operational assets and is currently distributing cannabis through medical and recreational sales channels. GTEC’s products are currently achieving amongst the highest gross margins and retail pricing within its sector in Canada (A).
GTEC’s exclusive cultivar collection includes rare and unique cultivars, which are not currently available from other Licenced Producers. GTEC’s premium and ultra-premium product portfolio includes; BLK MKT, Tenzo, GreenTec, Cognōscente and Treehugger.
The Company wholly owns operations in BC, Alberta and Ontario, and is licensed by Health Canada for the following: cultivation at three operations, sales into recreational supply chains, direct sales to medical patients, extraction, and analytical testing.
GTEC is a publicly traded corporation, listed on the TSX Venture Exchange (GTEC), OTCQB Venture Market (GGTTF) and Frankfurt Stock Exchange (1BUP). The Company’s headquarters is based out of Kelowna, British Columbia.
To view more about the company or to request our most recent corporate presentation, please visit our website at www.gtec.co
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION:
This news release includes certain “forward-looking statements” under applicable Canadian securities legislation. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; delay or failure to receive board, shareholder or regulatory approvals, where applicable and the state of the capital markets. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. For instance, there can be no assurance that production, average selling price, revenue or gross margins will increase, that the Company will achieve profitability, that the Company will be successful in establishing a sustainable competitive advantage or building consumer loyalty, that similar demand for GTEC’s products will continue, that the Company will be able to fulfill the purchase order received from the BCLDB, that distribution into other Provinces will be approved or that it will be achieved in the near future or that average selling prices will continue to increase. Accordingly, readers should not place undue reliance on forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.