TORONTO, March 13, 2019 /CNW/ - Namaste Technologies Inc.
("Namaste" or the "Company") (TSXV: N) (FRANKFURT: M5BQ) (OTCMKTS:
NXTTF) today announced that it has completed the previously
announced acquisition of 49% of the common shares of Toronto-based Pineapple Express Delivery Inc.
("Pineapple Express"). In June 2018,
the Company announced that it had entered into a subscription
agreement to acquire 15% of the common shares of Pineapple for
$1,000,000 which comprised of
$850,000 in cash and $150,000 in Namaste common shares (the
"Subscription Agreement"). In December
2018, the Company announced that it had entered into a
binding agreement (the "Purchase Agreement") with shareholders of
Pineapple Express to acquire an additional 34% of the outstanding
common shares of Pineapple Express. Pursuant to the terms of the
Purchase Agreement, the Company issued the selling shareholders of
Pineapple Express such number of Namaste common shares having an
aggregate value of approximately $3.06
Million, based on the closing price of Namaste's common
shares on the TSX Venture Exchange on December 14, 2018 (the "Transaction"). Following
closing of the Transaction, Namaste now owns 49% of the issued and
outstanding common shares of Pineapple Express.
Under the terms of the Subscription Agreement dated June 2018, Namaste has the right to acquire an
additional 10% of the common shares of Pineapple Express for
$1,200,000 within 14 months from
closing of the Subscription Agreement. In connection with the
completion of the Transaction, Darren
Gill, Chief Strategy Officer of the Company, will be
appointed to the as a director of Pineapple Express.
"Pineapple Express is a premier delivery company when it comes
to cannabis in Canada, and we look
forward to working closely with Randy and his team to continue to
grow the business," said Meni Morim,
Interim CEO of Namaste Technologies Inc. "The acquisition of the
shares of Pineapple Express is an important component in Namaste's
growth strategy and customer service platform, and shows
follow-through, as we continue to operate business as usual and
moving forward. Having Pineapple Express as part of our family is
an efficient way to get medicinal cannabis to customers in the
Greater Toronto Area and across
Canada as quickly and efficiently as possible. We remain
focused on execution of our 2019 strategy and are pleased to have
seen this project through."
Namaste's purchase of shares of Pineapple Express supports the
Company's strategy to invest in innovative companies which bring
value to the Company and to the broader market as a value
service for Cannmart.com, Licensed Producers and regulated
dispensaries. Namaste believes that same-day delivery for medical
and recreational cannabis through Pineapple Express' platform will
provide patients and consumers with added-value now and expanded
service potential as the Pineapple Express platform expands.
"We're very happy to become a partner with Namaste through their
investment," said Randy Rolph, CEO
of Pineapple Express Delivery Inc. "Pineapple Express has made
great strides and works with some of the top cannabis companies in
Canada, and we look forward to
continue to grow our network with the support of Namaste."
About Pineapple Express Delivery Inc.
The Pineapple Express Delivery Inc. management team has over 10
years of experience offering same-day, 60-minute delivery services
in multiple industries across Canada. Pineapple Express offers a
personalized experience for its customers and has established
in-depth security and delivery protocols to facilitate same-day
delivery of medical and recreational cannabis across the country.
Pineapple Express has been providing a same day delivery option to
the legal cannabis industry from October
17th, 2018 and has provincial offices set up across
Canada. For more information
visit: www.pineappleexpressdelivery.com
About Namaste Technologies Inc.
Namaste Technologies powers the ultimate online customer
experience for medicinal cannabis and related products. Beginning
with NamasteMD.com, the Company's integrated telemedicine
application, we connect medical clients with health care
practitioners to more readily issue and renew cannabis
prescriptions online. Featuring the first Canadian Medical
Sales-Only Licence, the Company's own Cannmart.com is your
'everything cannabis store' offering clients a large variety of
strains to fill their prescription needs. Namaste's unique
artificial intelligence (AI) engine incorporated in its platforms
and related Uppy App, completes our ecosystem by identifying the
right product and pairing to address specific medical cannabis
requirements. Namaste also provides vaporizers and accessories
across several platforms operating in more than 20 countries.
Namaste's global technology addresses local needs in a burgeoning
cannabis industry requiring smart solutions. For more information
about Namaste, please visit www.Namastetechnologies.com
Further information on the Company and its products can be
accessed through the links below:
NamasteTechnologies.com
NamasteMD.com
NamasteVapes.ca
Everyonedoesit.ca
FORWARD-LOOKING INFORMATION - This news release contains
"forward-looking information" within the meaning of applicable
securities laws. All statements contained herein that are not
historical in nature contain forward-looking information.
Forward-looking information can be identified by words or phrases
such as "may", "will", "expect", "likely", "should", "would",
"plan", "anticipate", "intend", "potential", "proposed",
"estimate", "believe" or the negative of these terms, or other
similar words, expressions and grammatical variations thereof, or
statements that certain events or conditions "may" or "will"
happen, or by discussions of strategy. The forward-looking
information contained in this press release, includes, but is not
limited to, statements with respect to the Company's strategy of
leveraging its technologies and acquiring new innovative
technologies and the expected benefits thereof.
The forward-looking information contained herein is made as of
the date of this press release and is based on assumptions
management believed to be reasonable, including management's
perceptions of historical trends, current conditions and expected
future developments, as well as other considerations that are
believed to be appropriate in the circumstances. While we consider
these assumptions to be reasonable based on information currently
available to management, there is no assurance that such
expectations will prove to be correct.
By their nature, forward-looking information is subject to
inherent risks and uncertainties that may be general or specific
and which give rise to the possibility that expectations,
forecasts, predictions, projections or conclusions will not prove
to be accurate, that assumptions may not be correct and that
objectives, strategic goals and priorities will not be achieved. A
variety of factors, including known and unknown risks, many of
which are beyond our control, could cause actual results to differ
materially from the forward-looking information in this press
release. Such factors include, without limitation: risks relating
to the market price of the Common Shares and risks relating to the
Company's ability to execute its business strategy and the benefits
realizable therefrom.
Additional risk factors can also be found in the Company's
current MD&A and annual information form, both of which have
been filed under the Company's SEDAR profile at www.sedar.com.
Readers are cautioned not to put undue reliance on
forward-looking information. The Company undertakes no obligation
to update or revise any forward-looking information, whether as a
result of new information, future events or otherwise, except as
required by applicable law.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement.
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 or has in any way approved or disapproved
of the contents of this press release.
SOURCE Namaste Technologies Inc.