Mojave Jane Brands Inc. (“Mojave Jane” or the “Company”) (CSE: JANE) (OTC: HHPHF) (FSE: OHCN), a California cannabis company, today announced that it has filed its Consolidated Unaudited Financial Statements for the quarter ended May 31, 2019. The Consolidated Financial Statements and Management Discussion and Analysis are available on SEDAR at www.sedar.com.
Quarter ended May 31, 2019 Highlights:
- During the period, the Company shifted its strategy away from large scale cultivation to focus on extraction, consumer brands, and distribution/delivery.
- Dieter MacPherson, the current Senior Vice President of Operations, at Aurora Cannabis Inc. (TSX:ACB)(ACB-NYSE), was appointed as an independent member to its board of directors.
- The Company executed a Binding Letter of Intent with the 2083 Group (“2083”) that provides for the Company to acquire 40% of 2083 for $2.6M in total consideration. 2083 owns and operates SpeedWeed, an iconic California brand known for delivery of cannabis and related products in Southern California.
- The Company entered into a contract relationship with Bad Supper, a leading brand development and marketing firm in Southern California.
Subsequent to the quarter:
- In June, 2019, the Company announced a re-launch and name change to Mojave Jane Brands Inc. to focus on consumers and the creation of products and brands that reflect California’s history, diversity, and leadership in the cannabis community; the CSE ticker symbol subsequently changed to JANE
- The Company’s wholly owned subsidiary Bravo Distro received a Conditional Use Permit and Development Agreement with the City of West Sacramento for the development of its 15,000 ft. facility in West Sacramento.
- The Company signed a binding LOI to acquire Coachella Brands Asset Management (CBAM). CBAM brings multiple assets and opportunities for growth to the Company, including an increase in extraction/distillation capacity to roughly 170,000 grams monthly with room for additional expansion.
- The Company announced a non-brokered private placement with the intent to raise $8,000,000 CAD.
“Q3 concluded the internal work at Mojave Jane to scale our team and our operations to meet market needs and adjust spend according to our supply chain strategy,” said Mojave Jane CEO Gary Latham. “Specifically, we reduced our spend on distribution until our license and facilities are operational. We also focused CALIGOLD on establishing a long-term presence in a permanent facility, reducing spend along the way. And we halted spend on the development of CoachellaGro to match our supply chain strategy.
Making these adjustments allows us to focus on the parts of the operation that produce revenue and growth, and drive shareholder value. That means doubling down on extraction, brands, and delivery/distribution. Developments in Coachella allow us to nearly double our extraction capacity and take a larger share of the B2B distillate market. Closing the acquisition of up to 40% of 2083 lets us focus on expanding delivery operations and revenue. We are looking forward to this next stage of Mojave Jane’s evolution.”
Mojave Jane Brands Inc.
