CANNABIS INNOVATION, GENETICS & EXTRACTION INVESTOR BRIEF | JANUARY 2021 - EXKA
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
CANNABIS INNOVATION, GENETICS & EXTRACTION INVESTOR BRIEF | JANUARY 2021 PRIVATE AND CONFIDENTIAL EXKA 2021 | Cannabis Innovation, Genetics & Extraction
BUILDING A Hybrid Ancillary GMP Purpose-Built Plant Tissue Culture Laboratory Greenhouses Facility Extraction Facility & Administrative Spaces Ø 27,000 ft2 Ø 16,000 ft2 Ø 6,500 ft2 Ø 9,000 ft2 Ø Research and Development Ø Clone acclimatization Ø Capacity to extract 150,000 kg Ø Up to 2M cannabis clones per year in Agricultural Sciences Ø Biomass prep for extraction of biomass/year Ø Clonal repository Ø > 2,500 kg of cannabis Ø Shipping & Receiving Ø Capacity to produce 24,000 kg Ø Genetic fingerprinting flowers/year Ø Electro-mechanical support of distillate/year Ø Laboratory currently in operation Ø Commissioning: Q4/2020 Ø Commissioning: Q3/2020 Ø Commissioning: Q3/2020 Property Mirabel, QC Canada Ø 67 hectares Ø Significant scalability with 126 cultivable acres Ø Potential annual production of >100,000kg of cannabis biomass Ø Commissioning: Q2/2021 PRIVATE AND CONFIDENTIAL | 1 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
OUR VISION WHAT WE DO PRODUCTS & SERVICES EXKA is a cannabis research, development EXKA specializes in genetics and extraction and innovation campus striving to be a leader of pharmaceutical grade cannabis oil. The Plantlets in cannabis innovation, genetics and extraction company supplies the life science through unique scientific know-how. (pharmaceutical, OTC, animal health, research) and the cannabis (licence holders, food) markets. Genetics BUSINESS UNITS Cannabis Genetics Cannabis Extraction Your Clone in the Cloud TM Ø Unique, Stable and Uniform Clones Ø Pharma-grade extraction service Ø Genetic Fingerprinting Ø Value-added cannabis extracts Cannabis Oil Ø Germplasm Audit Ø Your Clone in the Cloud TM Genetic Storage Ø Propagate your own varieties Ø Propagate EXKA’s genetic library PRIVATE AND CONFIDENTIAL | 2 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
EXKA IN THE CANNABIS MARKET Ø EXKA focuses on the highest margin segments of the cannabis market : Ø Cannabis Genetics in a state-of-the-art cannabis plant tissue culture laboratory with a genetic bank able to micropropagate a consistent supply of novel and best in class strains for specific LPs needs. Ø Cannabis Extraction on a R&D agricultural science platform creates an evolving scientific expertise that leads to product differentiation in “white label” specialty oil products. Ø EXKA’s purpose-built facilities serves as a full circle cannabis innovation hub, where most licence holders only produce flowers and very few have extraction capabilities beyond “crude resin”. PRIVATE AND CONFIDENTIAL | 4 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
EXTRACTION FACILITY AT EXKA IS GMP READY CANNABIS MARKET IS EVOLVING TOWARDS EXTRACTS Ø The therapeutic Indications for chronic pain, neuropathic pain, cancer-related pain and in palliative care, averages out between 69 % and 79%. Source: CanniMed, IPO Ø The market is now split 50% / 50% between smokables and new novel form factors such as vape pens, edibles, beverages and other innovative products. Source: GMP Securities Ø Cannabis extract is a premium product, the more it is refined, the higher its value. Source: SQDC website Ø Cannabis oil : C$23.46/g equivalent | Premium = 141% Ø Cannabis soft-gel capsules : C$72.68/g equivalent | Premium = 645% PRIVATE AND CONFIDENTIAL | 5 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
HEALTH CANADA CANNABIS LICENCES EXKA holds a cannabis cultivation and processing licence and a cannabis analytical testing licence from Health Canada. The Company recently submitted an amendment to the current cultivation and processing licence to include extraction and greenhouses facilities and expects to have these facilities licenced in the near term, with the expectation to have all of its facilities licenced by Q3/2020 (base case scenario). However, the team is deploying all the efforts to outpace the licence change for Q2 2020 (best case scenario). EXKA received its EXKA received its cultivation and processing licence licence for analytical testing of cannabis from Health Canada on February 28, 2020 : from Health Canada on January 24, 2020 : Ø This licence allows EXKA to operate its Ø This licence allows EXKA to perform plant tissue culture laboratory and cannabis testing in our laboratories. offer micropropagation and genetic storage services to licensed cannabis producers. PRIVATE AND CONFIDENTIAL | 6 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
EXKA’S GENETICS & EXTRACTION SERVICES IN THE VALUE CHAIN Ø EXKA is able to deliver predictable, reliable, resilient and robust quality plantlets for indoor/outdoor cultivation in large volume at any given time. Ø Our genetics in synergy with our extraction process leads to product differentiation in “white label” specialty oil extracts. EXTRACTION Novel form factors Start Stage I Stage II Stage III & IV Starting Mother Establishment Shoot Multiplication Rooting & Material Plant of explants and Genetic Storage Acclimatization FLOWERS - Explant - Genotyping Services Your Clone in the CloudTM - In vitro cultures - Plantlets Combustible - R&D Projects - Ex vitro plants products PRIVATE AND CONFIDENTIAL | 7 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
ADVANTAGES OF MICROPROPAGATION Ø Maintain genetic stability Ø Rely on stable, uniform, vigorous, Specific Pathogen Tested (SPT), high quality starting material for better yield and performance Ø Reduce incidence of plant pathogens by using SPT starting material Ø Reduce or eliminate mother room costs Ø Improve yield Ø Increase overall profitability by improving revenues and reducing costs ABOUT THE PROCESS Time (months) 0 1 2 3 4 5 6 7 8 Clones 1 5 25 625 3,125 15,625 78,125 390,625 1,953,125 PRIVATE AND CONFIDENTIAL | 8 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
ADVANTAGES OF YOUR CLONE IN THE CLOUD TM Ø EXKA offers genetic storage services by maintaining client varieties in its clonal repository. Ø LP genetics are safeguarded and propagated into robust, true to type and disease-free plantlets. Ø Clones are kept in perpetuity in aseptic, stable and environmentally-controlled conditions and propagated on demand to fit production schedules. Ø Genetic material kept off-site represents an insurance policy by insuring the preservation of valuable varieties. Ø Specific-pathogen testing (SPT) and viral elimination services. Ø Genetic fingerprinting services. Ø EXKA offers Germplasm audit services by bringing plants into flowering and documenting their characteristics. Ø Ability to consistently supply novel and best in class genetic strains for specific LPs needs. PRIVATE AND CONFIDENTIAL | 9 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
EXKA CANNABIS GENETIC PORTFOLIO Ø EXKA’s cannabis genetic bank strives to consistently supply novel and best in class genetic strains for specific LPs needs. Ø Our 2020 varieties catalogue features our top genetics with a detailed guide to each strain’s specific traits and growing needs, this also includes pages of scientific advice to help LPs yield the best results out of their investment. PRIVATE AND CONFIDENTIAL | 10 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
Ø GMP extraction facility ready for domestic and international markets. EXTRACTION SERVICES Ø Precise and tailored extraction services that can provide the right concentration of cannabinoids customized to our client’s desired “white label” format. PRIMARY EXTRACTION SECONDARY PROCESSING Sourcing Milling Extracting Winterizing Evaporating Distillation Cannabis Grind Crude Extract Winterized Oil Crude Resin Distillate Biomass consists Testing & Analysis Supercritical CO2 Wax & Lipids are Ethanol Precipitated Rotary Short Path Distillation of dry flowers, removed Evaporation & & Terpene Fractions trim & shake Decarboxylation Cannabinoid Concentration Cannabinoid Concentration Cannabinoid Concentration 50% - 60% 75% - 80% 90% - 95% Input: 150,000 kg/year Input: 21,000 kg/year Input: 30,000 kg / year Output: 15,000 kg/year Output: 17,000 kg/year Output: 24,000 kg / year ACTIVE PHARMACEUTICAL INGREDIENT PRIVATE AND CONFIDENTIAL | 11 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
IN SUMMARY Ø EXKA cannabis plant tissue culture laboratory with micro- propagation and genetic storage capability is a key differentiator in the industry. Ø Our R&D agricultural science platform will generate rigour, stability, consistency and efficiency in the production of pharmaceutical-grade products (plantlets and oil extracts). Ø EXKA is able to consistently supply novel and best in class genetic strains for specific LPs needs. Ø EXKA is able to provide the right concentration of cannabinoids customized to the desired “white label” format. Ø EXKA has the ability to adapt to create and supply specific products and/or services meeting unique customer requirements (plantlets, genetics, oil) for domestic and international markets. PRIVATE AND CONFIDENTIAL | 12 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
Check out our New Web Site to find out more about our RESEARCH PARTNERS in our CANNABIS CAMPUS … WEB SITE For all INVESTOR RELATIONS and up to date details on Ø REVENUE PATHS Ø SIGNED CONTRACTS and LOIs Ø GROWTH PLANS Ø FINANCIAL FORECASTS PLEASE CONTACT US DIRECTLY : Maxime Paris Sébastien Désormeau President & CEO COO 514 974 0099 514 910 5845 PRIVATE AND CONFIDENTIAL | 13 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
FUNDING HISTORY Q1 / 2018 Q3 / 2018 Q3 / 2019 Q1 / 2020 2020 Seed Round Private Placement A Private Placement B Private Placement C (Closed) (Closed) (Closed) (Open) START 4.55 million shares 7.4 million shares 1.9 million shares 2 million shares OF IPO at $0.20 / share at $1.50 / share at $2.50 / share at $3.00 / share PRODUCTION Total equity : $910,000 Total equity : $11.0 million Total equity : $4.7 million Total equity : $6.0 million Convertible debenture : $8 million Total : $12.7 million TOTAL CAPITAL RAISED CAPEX TABLE 2018 - 2020 Property $2,500,000 as of April 6, 2020 Construction $16,200,000 Common equity $16.7 M Vitalis Q-90 extractor $720,000 Convertible debenture $8.0 M Deutsche winterization $320,000 Equipment Total $24.7 M VTA Short-path distillation $225,000 Shares outstanding 14.0 M Nexus Greenhouses (27, 000 ft2) $1,596,000 Total $21,561,000 PRIVATE AND CONFIDENTIAL | 14 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
We focus on excellence We strive to create and share We spare no effort to adapt to in everything that we do knowledge and to better the budding cannabis industry and aim at developing understand the science that will by developing materials and products and services of lead to better quality products methods that are best suited to outstanding quality. and services. this dynamic environment. OUR VALUES Maxime Paris Sébastien Désormeau CONNECT max@exka.com sdesormeau@exka.com 514 974 0099 514 910 5845 DISCAIMER | This document and the information it contains is property of EXKA. All the photography in this document is also licensed to EXKA by Photographer Karyn Dupuis. These images have been captured over the last ten months on EXKA property for documentation and marketing purposes, they are an up-to-date portrait of our facilities and staff. PRIVATE AND CONFIDENTIAL | 15 EXKA 2021 | Cannabis Innovation, Genetics & Extraction
You can also read