VANCOUVER, British Columbia, Aug. 06, 2019 — FinCanna Capital Corp. , , a royalty company for the U.S. licensed cannabis industry is pleased to announce that it has advanced a second tranche of capital of US$875,000 further to its Royalty Agreement with QVI, Inc. which stands for, Quality, Value, Integrity, doing business as “The Galley”, a cannabis infused product manufacturer located in Sonoma County, California.
QVI is completing the build out of its 8,300 square foot facility in Santa Rosa, CA and expects to be in full commercial operation in late summer 2019. The facility known as “The Galley”, is built to FDA and CDPH standards and is focused on high demand areas of production – Edibles, Topicals, Tinctures, Chocolate, Hard Candies, Gummies and Beverages. “The Galley” will be differentiated from its peers by its automated capabilities to produce virtually all high-value cannabis products under one roof. This one-stop production expertise is attractive to top tier in-state and out-of-state brands. The premium equipment and operational design will allow “The Galley” to rapidly scale production as demand escalates.
Additionally, QVI expects to receive its Occupancy Permit from the City of Santa Rosa upon completion of certain remaining construction items. The Occupancy Permit is required prior to the issuance of a Manufacturing License, by the California Department of Public Health Office of Manufactured Cannabis Safety. The QVI facility has been inspected by this department and expects that once in possession of its Occupancy Permit that it will have satisfied the remaining requirements for issuance of its Manufacturing License.
QVI is experiencing strong demand for its services and based on existing MOU’s, its first 12-month revenue upon commercial production is projected to meet or exceed US$7 million. Revenue is expected to increase substantially as operations and marketing efforts utilizing the founders’ wide network of industry participants is activated. Additionally, “The Galley” will produce its own line of branded products, “Big Fish Edibles”.
“We are very pleased to advance a 2nd tranche of capital as the QVI team continues to execute,” said Andriyko Herchak, CEO of FinCanna Capital. “Our investment will support the team in completing construction on their industry leading facility as they move towards commercial launch later this summer. We are impressed with the potential for rapid scalability which will have a strong impact on our bottom line.”
According to the Royalty Agreement, FinCanna agreed to fund QVI Inc. US$3 million tranches. An initial tranche of US$1.25 million was advanced previously and together with this tranche has know delivered US$2.125 million with the remaining US$875,000 to be advanced after QVI has commenced commercial operations and achieved predetermined sales targets. According to the agreement, FinCanna will receive a tiered corporate royalty, adjusted based on revenues levels, ranging from 15% to 6% of QVI’s total revenues, with the top royalty rate of 15% on the first US$20 million of annual sales until cumulative royalties to FinCanna of US$10 million.
The principals’ of QVI have decades of award-winning edibles manufacturing and food production experience. Co-founder, President and CEO Gina Pippin has 23 years of business and financial management and decades long experience in efficient production management and food safety. Co-founder, Annie Holman, has had a career spanning 25 years in marketing and media. She is a former co-owner of Derby Bakery Cannabis Edibles that produced high-end, award-winning products, winning several “Emerald Cup – Best Edibles” honours as well as first and second place prizes from “Edibles List – Best of Awards.”
In addition to producing its own line of cannabis infused products, “BIG FISH”, QVI, Inc. operates a premier contract manufacturing company, The Galley, for infused baked good, chocolates, candies, gummies, topicals, tinctures and beverages. Focused on quality and efficiency, QVI, Inc. creates top-notch product at value prices.
QVI’s immediate goal is to become the premier contract manufacturer in California, the largest single market in North America and, upon success, to license products nationally and globally.
About FinCanna Capital Corp.
FinCanna is a royalty company that provides growth capital to rapidly emerging private companies operating in the licensed U.S cannabis industry. The company earns its revenue from royalties paid by its investee companies that are calculated based on a percentage their total revenues.
FinCanna’s scalable royalty model provides an attractive alternative or complement to debt or equity financing for its investee companies. FinCanna is focused on delivering high-impact returns to its shareholders by way of a strategically diversified investment portfolio.
不列颠哥伦比亚省 VANCOUVER ，2019年8月6日—— FinCanna Capital Corp .，一家美国特许大麻行业的特许经营公司高兴地宣布，它已向与 QVI , Inc .签订的特许经营协议（质量、价值、诚信、做“ The Galley ”的业务）进一步预付了第二批资金875,000美元。位于加利福尼亚州索诺马县的一家大麻输液产品制造商。
QVI 正在完成其位于加州圣罗莎的8300平方英尺设施的建设，预计将于2019年夏末全面投入商业运营。这座名为“ The Galley ”的工厂是按照 FDA 和 CDPH 标准建造的，专注于高需求领域的生产——易耗品、主题用品、巧克力、硬糖果、糖果和饮料。“盖瑞”将通过其自动化能力与同行区别开来，在一个屋顶下生产几乎所有高价值的大麻产品。这种一站式生产专业知识对顶级的国内和国外品牌具有吸引力。高端设备和运营设计将使“ The Galley ”能够随着需求升级迅速扩大生产规模。
此外， QVI 预期于完成若干剩余建筑项目后，将会收到圣罗萨市的使用许可证。在签发制造许可证之前，必须先取得使用许可证，由加州公共卫生署制造大麻安全办公室签发。QVI 工厂已接受本部门的检查，并期望一旦拥有其《使用许可证》，它将满足其《制造许可证》的其余要求。
FinCanna Capital 首席执行官 Andriyko Herchak 表示：“随着 QVI 团队继续执行，我们非常高兴能推进第二批资本。”“我们的投资将支持该团队在今年夏天晚些时候迈向商业发射之际完成其行业领先设施的建设。我们对快速可扩展性的潜力印象深刻，这将对我们的利润产生巨大影响。”
根据《特许权协议》， FinCanna 同意为 QVI Inc .出资300万美元。首期付款125万美元之前已预付，连同该部分已知交付了212.5万美元，其余875,000美元将在 QVI 开始商业运营并实现预定销售目标后预付。根据协议， FinCanna 将获得分级的公司特许权使用费，根据收入水平进行调整，从 QVI 总收入的15%到6%不等，最高特许权使用费为每年销售额首2,000万美元的15%，直到 FinCanna 获得1,000万美元的累计特许权使用费。
QVI 的负责人拥有数十年获奖的食品制造和食品生产经验。联合创始人、总裁兼首席执行官 Gina Pippin 拥有23年的业务和财务管理经验，以及数十年高效生产管理和食品安全的经验。联合创始人安妮•霍尔曼( Annie Holman )在市场营销和媒体领域有着25年的职业生涯。她曾是德比烘焙罐头公司( Derby Bakery Cannabis Edible )的联合所有者，生产高端、屡获殊荣的产品，赢得了多项“翡翠杯——最佳可编辑产品”荣誉以及“可编辑产品列表——最佳奖”的第一和第二名大奖。
除了生产自己的大麻输液产品线“ BIG FISH ”外， QVI , Inc .还经营着一家主要的合同制造公司 The Galley ，用于输液烘焙食品、巧克力、糖果、口香糖、外用食品、罐头和饮料。以质量和效率为中心， QVI 公司以价值价格创造出一流的产品。
关于 FinCanna Capital Corp 。
FinCanna 可扩展的特许权使用费模式为其投资公司提供了有吸引力的债务或股权融资选择或补充。FinCanna 专注于通过战略性多元化的投资组合，为股东带来高影响的回报。