AgraFlora Organics to Acquire Curated Portfolio of Elite Live-Plant Cannabis Genetics

VANCOUVER, British Columbia, Feb. 28, 2020 (GLOBE NEWSWIRE) -- AgraFlora Organics International Inc.  (“AgraFlora” or the “Company”) (CSE: AGRA) (Frankfurt: PU31) (OTCPK: AGFAF), a growth oriented and diversified international cannabis company, is pleased to announce that one of its subsidiaries, Propagation Services Canada Inc. (“PSC”), has entered into an agreement to acquire a curated portfolio of elite live-plant cannabis genetics (the “Live-Plant Genetics") that will accelerate the Company’s plans to disrupt the Canadian cannabis market.   The Live-Plant Genetics will be acquired from an award-winning Canadian cannabis cultivator (the “Vendor”) with extensive experience in genetic development and commercialization for at-scale cannabis production. 

The curated portfolio of Live-Plant Genetics has been assembled, selected and refined by the Vendor over the past 24-months to meet the needs of large-scale commercial cannabis production.  The Live-Plant Genetics have been tailored to work with PCS’s infrastructure and cultivation program to optimize three primary commercial characteristics: cannabinoid and terpene content, plant yield and crops per year.  These elements are intended to be the cornerstone of the PSC brand for cannabis products: the highest potency at the lowest cost. 

By acquiring Live-Plant Genetics, the Company will expedite its go-to-market timeline and strategy.  Live-Plant Genetics can be put immediately into production whereas seed-based genetics require at least one preliminary selection crop cycle which can take up to six months to complete.  This transaction will provide PSC with award-winning genetics that are focused on high-potency, strong flavours and desirable terpene content, all while preserving strong agricultural characteristics such as yield and flowering time.  Securing these Live-Plant Genetics is an important element of the Company’s plans to position PSC, once licensed, to disrupt the Canadian dried flower market.  Dried flower represents the largest channel of focused revenue in the Canadian cannabis industry. According to recent market data aggregated by Health Canada, dried cannabis flower sales comprised 92 per-cent of total sales during the relevant period.¹