Not for Distribution to U.S. Newswire Services or For Dissemination in the United States

All figures in USDunless stated otherwise

Bophelo operations expanded from 5,400 square feet to over 21,000 square feet of flowering canopy. Currently, this year’s harvest is expected to yield 750 kilograms of product, selling 1,000 kilograms this year.

TORONTO, March 4, 2021 /CNW/ – Halo Collective Inc. (“Halo” or the “Company“) (NEO: HALO) (OTCQX: HCANF) (Germany: A9KN) provides a comprehensive update about Bophelo Bioscience & Wellness (Pty) Ltd. (“Bophelo“) — the Company’s wholly owned subsidiary which is operating a 200-hectare cannabis site near Mafetang in Lesotho, Africa.

Bophelo quadrupled the amount of cultivation space in the last year, despite the site’s depletion of necessary imported goods for its development resulting from the current climate of the COVID-19 pandemic. Specifically, the Bophelo operations expanded from 5,400 square feet to over 21,000 square feet of flowering canopy. Currently, this year’s harvest is expected to yield 750 kilograms of product, selling 1,000 kilograms this year. As part of Bophelo’s upward trajectory, it is expected the buildout for flowering canopy will reach up to 1.2 hectares this year with further plans to expand to up to 2.2 hectares by the end of 2022.

Recent highlights and developments include:

  • Site visit of a team of journalists 
  • Priority target GACP certification 
  • Cultivation size growth 2020 – 2022 
  • Start of cannabis extraction

Since reporting significant progress in the cultivation of cannabis at Bophelo for 20201, the Company is also pleased to share that journalists from prominent European news sources plan to visit the Bophelo site early in the second quarter of 2021 to document the history of Lesotho. Most notably, the Bophelo build out and now operational cultivation site has promoted substantial socioeconomic development in the country’s region and has grown to accommodate approximately 100 workers on site.

The Company’s next steps include attaining Good Agricultural and Collections Practices (“GACP“) certification, which will authorize Bophelo to export product to its contract partners in Malta. The GACP certification is expected to allow Maltato act as the hub to redistribute Good Manufacturing Practices grade cannabis products to gain market share in the European Union (“EU“) and United Kingdom (“UK“). Once Bophelo has been qualified as a vendor, raw product grown on site will be shipped to Malta where it will enter the Maltese facility with the intent to manufacture. Once the product has been dried and/or converted to Cannabis Based Products for Medicinal (“CBPMs“) the Malta based manufacturing partner will follow necessary Quality Assurance protocol so that the CBPMs ccan be lassified and marketed as GMP grade products.

As of now, Bophelo has completed approximately 90 percent of the necessary requirements to obtain GACP certification and is in the final stages of fulfilling the remaining 10 percent of its requirements, which includes fencing, security and enhanced drying and processing space. Site upgrades are projected to be 100 percent complete within Q2 2021 in order to meet all requirements for the GACP certification, as this is one of the Company’s top priorities.

The Company plans to initiate oil production and best practices for storage of oil, concentrates, and flower. Cannabis processing and extraction equipment has arrived at Bophelo and is being assembled. Extraction processes are expected to be operational within three weeks with the pilot run planned for mid-April. Commercial extraction operations are expected to start by the end of Q2 2021. The addition of oil and concentrates to Bophelo’s product portfolio is expected to increase product stability and drive production value through extended shelf life.

“Obtaining the GACP certification opens up the opportunities to expand into several countries where cannabis is legal ,” said Andreas Met, Halo Collective’s Co-Founder and Head of International Operations. “We believe Bophelo is able to produce high quality cannabis at its lowest possible price, giving us a competitive advantage when we enter the European and Australian markets. We are working hard to achieve such a high priority goal for us which we expect will also open up new funding opportunities.”

About Halo Collective

Halo Labs is a leading, vertically integrated cannabis company that cultivates, extracts, manufactures and distributes quality cannabis flower, oils and concentrates, and has sold approximately eight million grams of oils and concentrates since inception. Halo continues to evolve its business and scale efficiently, partnering with trustworthy leaders in the industry, who value the Company’s operational expertise in bringing top-tier products to market. Current growth includes expansion in key U.S. markets, the United Kingdom, Africa, the Republic of Malta in partnership with MedCan Ltd., and planned expansion into the Canadian retail market.

Halo is led by a strong, diverse and innovative management team with deep industry knowledge and blue-chip experience. The company is currently operating in the U.S. in California, Oregon and Nevada. The Company sells cannabis products principally to dispensaries under its own brands Hush, Mojave, Exhale, and under partnership or license with OG DNA Genetics, Terphogz (doing business as Zkittlez™), Winberry Farms and FlowerShop.

As part of continued expansion and vertical integration in the U.S., Halo boasts several grow operations throughout Oregon and California. In Oregon, the Company has a combined seven acres of outdoor cultivation, including East Evans Creek, a six-acre grow site in Jackson County, and Winberry Farms, a one-acre grow site in Lane County. In California, the Company is building out Ukiah Ventures, a planned 30,000-square-foot indoor grow, processing and manufacturing facility, including up to an additional five acres of industrial land to expand. Halo has also partnered with Green Matter Holding to purchase Bar X Ranch in Lake County, California, with plans to develop up to 80 acres of cultivation, which would comprise the largest grow in Northern California.

Recently, the Company has entered into a non-binding letter of intent with Red Light Holland Corp. for the purpose of creating a joint venture to become a licensed psilocybin manufacturer to supply psilocybin products to licensed service centers in the State of Oregon. 

Internationally, the Company is currently cultivating cannabis at Bophelo Bioscience & Wellness (Pty) Ltd (“Bophelo”) in Lesotho, South Africa, which holds one of the largest marijuana cultivation licenses in Africa with a future capacity of up to 495 acres. To further Halo’s global presence, the Company recently acquired CBPM importation and distribution licensing in the United Kingdom via cannabis suppliers Canmart Ltd. Halo expects the cultivation and manufacturing operations of Bophelo, combined with the importation and distribution capabilities of Canmart, to drive growth of a well-positioned business to serve the U.K. market.

For further information regarding Halo, see Halo’s disclosure documents on SEDAR at www.sedar.com.

Cautionary Note Regarding Forward-Looking Information and Statements

This press release contains certain “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only Halo’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Halo’s control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or may contain statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “will continue”, “will occur” or “will be achieved”. Forward-looking information may relate to anticipated events or results including, but not limited to the development of Bophelo’s operations and the granting of certifications, Halo’s planned expansion into the Canadian retail market, the expected size and capabilities of the final facility planned at Ukiah Ventures, the size of Halo’s planned cultivation facility in Northern California and the ability of Bophelo and Canmart to serve the EU, U.K. and Australian market.

By identifying such information and statements in this manner, Halo is alerting the reader that such information and statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such information and statements. In addition, in connection with the forward-looking information and forward-looking statements contained in this press release, Halo has made certain assumptions. Although Halo believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. Among others, the key factors that could cause actual results to differ materially from those projected in the forward-looking information and statements are the following: unforeseen delays or circumstances that prevent the applicable stock exchanges from commencing trading in the Company’s shares or warrants; delays in obtaining required licenses or approvals, delays or unforeseen costs incurred in connection with construction, the ability of competitors to scale operations in Northern California, delays or unforeseen difficulties in connection with the cultivation and harvest of Halo’s raw material, changes in general economic, business and political conditions, including changes in the financial markets; and the other risks disclosed in the Prospectus Supplement, the Shelf Prospectus and the Company’s annual information form dated April 16, 2020 and available on the Company’s profile at www.sedar.com. Should one or more of these risks, uncertainties or other factors materialize, or should assumptions underlying the forward-looking information or statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected.

The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and Halo does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to Halo or persons acting on its behalf is expressly qualified in its entirety by this notice.

          
1 See the Company’s press release dated January 15th
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