Aphria maintains 25% holding in Althea and
existing supply agreement
LEAMINGTON, ON, Sept. 20, 2018 /CNW/ - Aphria Inc.
("Aphria" or the "Company") (TSX: APH and
US OTC: APHQF) today announced that its Australian-based
partner Althea Company Pty Ltd. ("Althea" or the
"Australian Company") has successfully completed the fund
raising for its proposed listing on the Australian Securities
Exchange ("ASX") via an Initial Public Offering
("IPO"). Demand for shares in Althea significantly exceeded
the proposed maximum fund raising under the IPO of AUD$19.65
million.
Aphria took a cornerstone position in the IPO by subscribing for
an additional 17 million shares which has resulted in a 25% holding
in Althea (AUD$3.4 million investment). Having previously invested
AUD$5 million in pre-IPO funding, Aphria continues to be hands-on
in support of Althea's growth strategy in Australia.
Through a previously announced exclusive supply agreement with
Aphria, Althea commenced importing and supplying five co-branded
medicinal products to eligible patients in Australia in cannabis oil and dried flower
form, generating sales revenue starting in May 2018.
"We are thrilled that our Australian partner has successfully
listed on the ASX, and we are looking forward to continuing our
work with Althea to realize the market's potential and ensure that
Australian patients have access to high-quality medical cannabis,"
said Gregg Battersby, Vice President
of Commercial Strategy at Aphria.
"Althea's aim is to educate and support patient access to
medicinal cannabis in Australia
and our measured three-stage growth plan supports our vision to
become a leading and trusted medicinal cannabis brand," said
Joshua Fegan, CEO and Managing
Director of Althea.
"Funds from the IPO will enable Althea to increase brand
awareness for our co-branded medicinal cannabis products in the
medical community and also fund the design, construction,
commissioning and completion of a fully scalable 4,080m² medicinal
cannabis cultivation, extraction and manufacturing facility," Fegan
added.
"Althea wish to acknowledge the ongoing support received from
our Canadian partner Aphria, whose dedication to the Australian
medicinal cannabis market is unrivalled."
We Have A Good Thing Growing
About Aphria
Aphria is a leading global cannabis company driven by an
unrelenting commitment to our people, product quality and
innovation. Headquartered in Leamington,
Ontario – the greenhouse capital of Canada – Aphria has been setting the standard
for the low-cost production of safe, clean and pure
pharmaceutical-grade cannabis at scale, grown in the most natural
conditions possible. Focusing on untapped opportunities and backed
by the latest technologies, Aphria is committed to bringing
breakthrough innovation to the global cannabis market. The
Company's portfolio of brands is grounded in expertly-researched
consumer insights designed to meet the needs of every consumer
segment. Rooted in our founders' multi-generational expertise in
commercial agriculture, Aphria drives sustainable long-term
shareholder value through a diversified approach to innovation,
strategic partnerships and global expansion, with a presence in
more than 10 countries across 5 continents.
For more information, visit: aphria.ca
About Althea
Althea was founded in Melbourne
in 2017 with a view to acquiring the necessary licences and permits
to import, cultivate, produce and supply medicinal cannabis for
eligible patients across Australia. Through strategic supply and
distribution partnerships, Althea has been able to commence sales
of five Althea branded medicinal cannabis products in Australia.
Althea's focus on patient care underpins its business strategy
and its innovative web-based platform and mobile application, known
as Althea Concierge, is designed to educate and support patient
access to medicinal cannabis in Australia. Althea has also engaged a team of
medical science liaisons to assist medical practitioners to become
prescribers, and pharmacists to become suppliers, of Althea
products.
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", "potential", "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 with respect to actual production
volumes, expectations for future growing capacity and costs, the
completion of any capital project or expansions, 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.
Readers are cautioned that the foregoing list is not exhaustive.
Readers are further cautioned not to place undue reliance on
forward-looking statements as there can be no assurance that the
plans, intentions or expectations upon which they are placed will
occur. Such information, although considered reasonable by
management at the time of preparation, may prove to be incorrect
and actual results may differ materially from those
anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement.
SOURCE Aphria Inc.