AgraFlora Organics to Acquire Curated Portfolio of Elite Live-Plant Cannabis Genetics - Seite 2

PSC’s investment in elite Live-Plant Genetics is expected to generate a positive impact on the three key drivers of profitability for a cultivator: improved sales prices, greater per-plant yields and shorter flowering time.  Management believes the Canadian market has suffered from a lack of strong genetics resulting in low THC values, undesirable flavour profiles, and a lack of product differentiation.  These Live-Plant Genetics will allow PSC to cultivate more desirable varieties with a focus on high-THC content.

The Live-Plant Genetics are expected to contribute to meeting or exceeding PSC’s expectations for annual financial productivity per square foot, because the selections were made to maximize per-plant yield and crop cycles per year in addition to maximizing THC concentration per gram.

“Having the right genetics are a must-have in the vegetable business, and choosing the right genetics means life or death for a cultivator.  We believe cannabis is no different.  We are used to working with genetics that have been specifically curated and selected for our cultivation strategy and with this deal we now have that level of confidence in our cannabis genetics,” said Ruben Houweling, General Manager of Houweling Nurseries. “We are excited to begin cultivating the Live-Plant Genetics quickly upon receipt of our Cultivation License and will be able to bring our cannabis products to market faster by avoiding the need for a complicated and time-consuming seed selection process.  I am confident that the combination of these Live-Plant Genetics with the quality of the team and greenhouse we are developing in Delta, BC will position PSC to be a leading brand with a goal of producing the highest-potency THC cannabis at the lowest-cost.”

PSC’s success as a licensed cannabis entity will require strength in three elements: cultivation, post-harvest processing and genetics.  These three elements, when taken together, are the key drivers of unit revenue and pricing, demand and volume, and unit cost.  The PSC team’s multi-generational experience, as well as the unique characteristics of the existing location in Delta, BC affords the Company a strong platform for cultivation and positions it well to produce high potency cannabis at a low cost. Delta, BC enjoys strong levels of sunlight throughout the year, temperate weather and low humidity.  These factors reduce the capital and operational expense incurred by many cultivators with respect to environmental controls, HVAC and increased levels of artificial lighting.