VANCOUVER, British Columbia – Village Farms International, inc. (“Village Farms” or the “Company”) (NASDAQ: VFF) (TSX: VFF) today announced its majority-owned joint venture for large-scale, low-cost, high-quality cannabis production, Pure Sunfarms, has begun shipping its first Cannabis 2.0 and bottled oil products. Shipments will initially be to British Columbia, with shipments to Ontario and Alberta planned to begin shortly.
“At Pure Sunfarms, flower is at the core of what we do. It’s our growing experience and our commitment to quality that has really inspired our evolution into Cannabis 2.0,” said Mandesh Dosanjh, President & CEO, Pure Sunfarms. “All Pure Sunfarms’ vape and oil products are made from our naturally-grown, signature strains, always using the best parts of the flower, to provide a safe and smooth experience from start to finish.”
Mr. Dosanjh added, “Pure Sunfarms has taken a pragmatic, thoughtful and measured approach to our product strategy, first establishing a commanding position in the dried flower market, and then leveraging our brand, reputation and experience to enter new, large, higher value product categories. Vapes have already become the second largest category with the Ontario Cannabis Store after dried flower, and bottled oils are the fourth largest category with the OCS after dried flower, vapes and pre-rolls1.”
“For three consecutive quarters – since first launching its branded retail products last September – Pure Sunfarms has had the leading market share of all dried flower brands in Canada’s largest provincial market, Ontario2,” said Michael DeGiglio, Chief Executive Officer, Village Farms. “Pure Sunfarms will bring the same winning value proposition that underpins that performance – high-quality products that consumers want at an attractive price – to its Cannabis 2.0 and bottled oil products, and we are confident consumers will embrace these new products as enthusiastically as they have Pure Sunfarms’ dried flower products. Pure Sunfarms’ goal is to be the number one or number two brand in every product category that is entered.”
“As the low-cost greenhouse producer in Canada, with a focus on continuously elevating quality, Pure Sunfarms has a significant pricing advantage in the market, which we expect will continue to not only drive market share in the legal market but also enable the company to continue to lead the Canadian cannabis industry in the conversion of the illicit market, which still comprises the vast majority of consumer purchases. Also, the addition of these high value products is expected to enhance Pure Sunfarms’ already very healthy gross margin going forward, especially when the company begins its own extraction operations, which are ready for start up and subject only to Health Canada licensing, expected in the months ahead.”
Pure Sunfarms’ vape cartridges feature full spectrum extract, which preserves the cannabinoids and terpenes from the original flower and maintains the aromas and flavors true to cultivar. Pure Sunfarms’ Full Spectrum Vapes feature 0.5g of single-strain, BC-grown cannabis extract, and are available in three of their best-selling strains: Afghan Kush, White Rhino, and Island Honey. Each vape cartridge is fitted with a ceramic mouthpiece, features a glass tank, ceramic heating coil, and is compatible with a standard 510 thread cartridge battery.
Pure Sunfarms’ Pure Sun CBD Oil is made purely with BC-grown, whole flower Pure Sun CBD cultivar (aka Cannatonic), hand-selected for its unique potential to produce consistently CBD-rich flowers. Pure Sun CBD Oil comes in a 30mL amber bottle, and is available in both a 1:10 or 1:30 THC:CBD formulation so consumers can customize their CBD experience to meet their individual needs.
Pure Sunfarms will continue to add Cannabis 2.0 products to its portfolio in the months ahead.
Notes
Data cited has been calculated by Pure Sunfarms from sales information provided by OCS.
By kilograms sold for the three-month periods ended December 31, 2019, March 31, 2020 and June 30, 2020. Defined as sales of Pure Sunfarms products by the OCS to retailers and directly to consumers via its web site. Market share performance is based on calculations by Pure Sunfarms from sales information provided by the Ontario Cannabis Store (OCS).
About Village Farms International, Inc.
Village Farms is one of the largest and longest-operating vertically integrated greenhouse growers in North America. Village Farms produces is and distributes fresh, premium-quality produce with year-round to national grocers in the U.S. and Canada from more than nine million square feet of Controlled Environment Agriculture (CEA) greenhouses in Canada and the U.S., as well as from its partner greenhouses in Canada and Mexico. The Company is leveraging its 30 years of experience as a large-scale, low-cost vertically integrated grower for the rapidly emerging global cannabis and CBD opportunities. In Canada, British-Columbia-based Pure Sunfarms (majority-owned by Village Farms) is one of the single largest cannabis operations in the world and one of the best-selling brands in the country. In the U.S., subject to compliance with all applicable U.S. federal and state laws, the Company is pursuing a strategy become a leading developer and supplier of branded and white-labeled CBD products targeting “big box” and other major retailers and consumer packaged goods companies, and with one the largest greenhouse operations in country, is well positioned for the potential federal legalization of high-THC cannabis.
