DELRAY BEACH, Fla., July 02, 2019 (GLOBE NEWSWIRE) -- Exactus Inc. (OTCQB: EXDI) (the “Company”), a healthcare company pursuing opportunities in Hemp derived Cannabidiol (CBD) products, is pleased to announce that the Company has made significant progress on the two 100 acre industrial hemp farms located in Southwest Oregon.
Farming operations are ahead of schedule and the Company is anticipating an initial AAA Top Flower cut of over 20,000 pounds of multiple strains by mid September.
- Rows are formed and drip irrigation has been installed on all acreage.
- Our effective germination rate and seedling growth was in excess of 95%.
- The last of the seedlings is ready for transplanting starting July 2nd.
- Planting operations are scheduled to be complete by July 8th.
- The last 50 acres will be triple planted for added density and will be completed by July 15th.
- We anticipate a full inventory of successfully rooted plants by July 31st.
“We have implemented extremely high-quality standards from the initiation of our farming operations and it’s paying off, our farms are on schedule, our plants are healthy, and we look forward to a successful harvest.” said Emiliano Aloi, President of Exactus. “Based on the successful germination and transplantation, we feel confident we are on track to meet or exceed the biomass projections contained in the independent fairness opinion from Scalar, LLC (“Scalar”)* highlighting EOW’s 2019 harvest estimated enterprise value between approximately $55 million and $74 million.”
Following the September harvest of the top flower, we are forecasting the final production per acre to exceed 2,000 pounds of dry flower biomass, yielding over 40,000,000 mg of active cannabinoids. End consumer product SKUs range from 200mg up to 6,000mg and average around 750mg per sellable unit.
Philip Young, Chief Executive Officer of Exactus stated, “We are investing ahead of our harvest to establish multiple commercial distribution channels and sales verticals. The successful planting of the seedlings gives us confidence that we will be able to realize significant crop value which we plan on converting into over forty SKU’s of consumer products which would be valued at multiples of the harvested biomass.
To learn more about Exactus, Inc. visit the website at www.exactusinc.com.
* Scalar employed traditional valuation methods including market, income, and cost valuation approaches, and relied on financial projections and forecasts prepared and provided by the Company. Link to Valuation Report available HERE.
Exactus Inc., is pursuing opportunities in hemp derived Cannabidiol, which is more commonly referred to as CBD. Industrial hemp is a type of cannabis plant containing less than 0.3% THC (tetrahydrocannabinol), which is the psychoactive component of the cannabis plant. Industrial hemp is cultivated for the plant’s seed, fiber, and extracts. After 40 years of prohibition, the Agricultural Improvement Act of 2018, known as the 2018 Farm Bill, legalized hemp on the federal level. Hemp production will be regulated by the United States Department of Agriculture (USDA) and the states. As a result, Hemp has generally been removed from the Controlled Substances Act (CSA) and the Drug Enforcement Administration (DEA). A potential risk of growing hemp in the United States is that the entire crop must be destroyed if it tests at a THC percentage greater than 0.3%.
For more information about Exactus: www.exactusinc.com.
Investing in our securities involves a high degree of risk. Before making an investment decision, you should carefully consider the risks, uncertainties and forward-looking statements described under "Risk Factors" in Item 1A of our most recent Form 10-K for the fiscal year ended December 31, 2018 filed with the Securities and Exchange Commission (the "SEC") on March 29, 2019 and under the heading “Risk Factors” in our Current Report on Form 8-K filed with the SEC on January 14, 2019, and in other periodic and current reports we file with the SEC. If any of these risks were to occur, our business, financial condition or results of operations would likely suffer. In that event, the value of our securities could decline, and you could lose part or all of your investment. The risks and uncertainties we describe are not the only ones facing us. Additional risks not presently known to us or that we currently deem immaterial may also impair our business operations. In addition, our past financial performance may not be a reliable indicator of future performance, and historical trends should not be used to anticipate results in the future. See "Safe Harbor" below.
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The information provided in this press release may include forward-looking statements relating to future events or the future financial performance of the Company. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Words such as "anticipates," "plans," "expects," "intends," "will," "potential," "hope" and similar expressions are intended to identify forward-looking statements. These forward-looking statements are based upon current expectations of the Company and involve assumptions that may never materialize or may prove to be incorrect. Actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of various risks and uncertainties. Detailed information regarding factors that may cause actual results to differ materially from the results expressed or implied by statements in this press release relating to the Company may be found in the Company's periodic and current filings with the SEC, including the factors described in the sections entitled "Risk Factors", copies of which may be obtained from the SEC's website at www.sec.gov. Any forward-looking statement speaks only as of the date on which such statement is made, and the Company does not intend to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise.
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Released July 2, 2019