Empower Clinics Provides Corporate Update and Announces New Board Member
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VANCOUVER, June 13, 2019 /CNW/ - EMPOWER CLINICS INC. (CSE: CBDT) (Frankfurt 8EC) ("Empower" or the "Company"), a vertically integrated and growth-oriented CBD life sciences company, and a multi-state operator of medical health & wellness clinics, is pleased to provide an update on recent corporate activities and Director changes.
The Company continues to reach a number of important milestones on its path forward, as a global health and wellness company, serving the needs of patients through its network of physician-staffed health and pain management clinics, formulating CBD based products and developing its first CBD extraction facility.
HIGHLIGHTS
- Takes Possession of CBD Extraction Facility As previously announced, the Company has taken possession of its new facility in greater Portland, Oregon that will be home to a fully functioning hemp-based CBD extraction facility, with the first extraction system expected to have the capacity to produce 6,000 kilograms of extracted product per year. The facility is expected to provide Empower with vertical integration into the CBD supply chain, producing isolates, distillates and winterized oil that are showing strong demand in local and national markets. The Company has commenced preliminary build-out starting with IT and technology implementations plus security system installations.
- Engages Leading Architect Firm Empower has engaged Pathangay Architects www.pathangayarchitects.com of Phoenix, AZ lead by Navin Pathangay as the lead architect firm for the build-out of the first company extraction facility. Navin Architects are one of the leading Cannabis industry architects having worked on numerous industry projects including dispensaries, medical clinics, grow operations and extraction facilities.
- Integration of Sun Valley Clinics The Sun Valley Clinics acquisition is providing productivity gains and in-market expertise that is accretive to our clinic division. Official operational integration is fully underway, with the best practices of Sun Valley and Empower are coming together to create world-class clinic operations. The operations team at Sun Valley has assumed key administrative tasks on behalf of the Empower network of clinics including bookkeeping, human resources, payroll and day-to-day accounts payable and accounts receivable tasks.
We expect to drive further productivity by eliminating duplicate and/or redundant information technology systems and by brining campaign marketing programs such as text messaging, email and call center functions under the Sun Valley operations, to improve effectiveness and reduce costs.
The current Sun Valley clinic locations are as follows:
4218 W Dunlap Ave, Phoenix, AZ
12801 W Bell Rd #145, Surprise, AZ
4015 E Bell Rd #130, Phoenix, AZ
2011 E University Dr, Mesa, AZ
7074 E Speedway Blvd, Tucson, AZ
2550 S Rainbow Blvd, Las Vegas, NV
- Launches CBD Tincture Product Line Empower has commenced selling its proprietary line of CBD-based products called SOLLIEVO, through its network of company-owned clinics in the United States. The Sollievo tincture line includes four (4) preliminary SKU's for chronic pain, insomnia, digestion and anxiety. Preliminary user feedback has been positive and third party lab test results have confirmed the ingredients and dosages of our proprietary formulations are consistent with what is indicated on the labels and packaging. Empower's patient base and customers are expected to benefit from access to high margin derivative products, including CBD lotion, tinctures, spectrum oils, capsules, lozenges, patches, e-drinks, topical lotions, gel caps, hemp extract drops and pet elixir hemp extract drops.
- CBD Market Demand The passing in the United States of the US$867 billion Agriculture Improvement Act (the "Farm Bill") has legalized hemp and hemp-based products. This has created an opportunity for the production and sale of a variety of CBD-based products that can provide genuine help and effective relief to millions of people suffering from a variety of qualifying conditions. Recent reports and studies indicate the approval of the Farm Bill could create a US$20 billion industry by 2022.
"With the closing of the Sun Valley Clinics acquisition behind us, we are already seeing such positive impact with integration and the development of our overall company culture," said Steven McAuley, CEO of Empower. "By adding the extra resources to our company, we have much more capacity grow and execute on the various initiatives I have announced previously."
Appointment of New Board Member
The Company is also pleased to announce the appointment of Mr. Andrejs Bunkse as a Director of the company, effective as of May 26, 2019. Mr. Bunkse is a graduate of Syracuse University and holds a Juris Doctorate from Santa Clara University School of Law. As the owner and practicing attorney of Rain Legal and partner in Nimbus Legal, Andy brings industry specific expertise and deep connections to major industry players plus the investment banking and Family office community.
"We are so honored to have Andy Bunkse join our Board, to play an active role in supporting our next phase of growth and development", said Steven McAuley, CEO of Empower. "His substantial negotiating and deal structuring experience along with industry ties and reputation, adds tremendous pedigree to our leadership team."
The Company also announces the resignation of Peter McDonough as a Director effective May 24th, 2019. We would like to thank Peter for his contributions.
ABOUT EMPOWER
Empower is a leading multi-state operator of a network of physician-staffed clinics focused on helping patients improve and protect their health through innovative physician recommended treatment options. Operating as a vertically-integrated health & wellness brand with it's first hemp-derived CBD extraction facility under development, the Company can produce and package its proprietary line of cannabidiol (CBD) based products and distribute through company owned and franchised clinics, with wholesale partnerships, online and with retailers nationwide.
ON BEHALF OF THE BOARD OF DIRECTORS:
Steven McAuley
Chief Executive Officer
DISCLAIMER FOR FORWARD-LOOKING STATEMENTS
This news release contains certain "forward-looking statements" or "forward-looking information" (collectively "forward looking statements") within the meaning of applicable Canadian securities laws. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Forward-looking statements can frequently be identified by words such as "plans", "continues", "expects", "projects", "intends", "believes", "anticipates", "estimates", "may", "will", "potential", "proposed" and other similar words, or information that certain events or conditions "may" or "will" occur. Forward-looking statements in this news release include statements regarding; the Company's intention to open a hemp-based CBD extraction facility, the expected benefits to the Company and its shareholders as a result of the proposed acquisitions and partnerships; the terms of the proposed acquisitions and partnerships; the effectiveness of the extraction technology; the expected benefits for Empower's patient base and customers; access to Empower's home delivery and e-commerce platform; the benefits of CBD based products; the effect of the approval of the Farm Bill; the growth of the Company's patient list and that the Company will be positioned to be a market-leading service provider for complex patient requirements in 2019 and beyond. Such statements are only projections, are based on assumptions known to management at this time, and are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the forward-looking statements, including; that the Company may not open a hemp-based CBD extraction facility; that the hemp-based CBD extraction facility may not be fully operation by Q2 2019 if at all; that legislative changes may have an adverse effect on the Company's business and product development; that the Company may not be able to obtain adequate financing to pursue its business plan; general business, economic, competitive, political and social uncertainties; failure to obtain any necessary approvals in connection with the proposed acquisitions and partnerships; and other factors beyond the Company's control. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Readers are cautioned not to place undue reliance on the forward-looking statements in this release, which are qualified in their entirety by these cautionary statements. The Company is under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements in this release, whether as a result of new information, future events or otherwise, except as expressly required by applicable laws.
SOURCE Empower Clinics Inc.
Investors: Steve Low, Boom Capital Markets, [email protected], 647-620-5101; Investors: Steven McAuley, CEO, [email protected], 604-789-2146; For French inquiries: Remy Scalabrini, Maricom Inc., E: [email protected], T: (888) 585-MARI
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