TORONTO, ON--(Marketwired - Mar 30, 2017) - ALGAE DYNAMICS CORP (OTCQB: ADYNF) (the "Company" or "ADC"), a development stage company previously focused solely on commercialization of its proprietary BiloSilo™ system for the cultivation of highly-pure algae biomass, today announced a formal re-alignment of its business focus and strategy.
The Company had previously announced, in December 2016, that it was considering ways to capitalize on synergies between its focus on algae cultivation and algae oil extraction, and oil extractions from other botanicals such as cannabis and hemp. The result of these efforts is a new strategy to develop unique health and nutraceutical products utilizing cannabis, hemp and algae oils. Management believes that this strategy engenders both an immediate product development opportunity leading to near-term revenue and a longer-term vertically-integrated sustainable enterprise approach.
The revised strategy resulted in a seven-step program for 2017 aimed at rapid implementation of this strategy, as follows:
- Research Agreement with University of Waterloo to investigate the use of cannabis oil in the context cancer -- $600,000, three-year program (signed February 24, 2017)
- Research Agreement with University of Western Ontario to investigate the use of cannabis derivatives for the development of novel pharmacotherapies for mental health -- C$1,000,000, four-year program (signed March 13, 2017).
- Collaboration Agreement with ARA - Avanti Rx Analytics, a company approved by Health Canada, to extract, purify, manufacture, sell, import/export medical marihuana products (signed March 15, 2017).
- Sign supply agreements with cannabis producers, licensed by Health Canada.
- Select location suitable for future cannabis production.
- Apply to Health Canada for licence to produce, sell, import/export medical cannabis.
- Develop collaboration opportunity with pharmaceutical company.
Paul Ramsay, Chairman and President of the Company said, "We believe this revised corporate strategy will allow us to build value for all stakeholders over both the near and longer terms. In the short-term we are fast-tracking to revenue growth. In the longer term, we believe we have a sustainable enterprise-building opportunity in a rapidly expanding market."
The full slide deck is available at:
About Algae Dynamics Corp
ADC is currently engaged in the development of unique health products and pharmaceuticals that utilize hemp, cannabis and algae oils. This is an extension of our plan to commercialize our proprietary BioSilo® algae cultivation system for the high volume, low cost production of pure contaminant-free algae biomass which is high in Omega-3 fatty acids. We have engaged two Canadian universities to provide research into the use of extracts from cannabis oil, which we plan to use to develop products that combine the significant health benefits of Omega-3s derived from algae oil and extracts from cannabis oil. Our research is focusing on the use of cannabis oil in the context of cancer, and the use of cannabis derivatives for the development of novel pharmacotherapies for mental health.
NOTE REGARDING FORWARD-LOOKING STATEMENTS
This news release contains "forward-looking statements" as that term is defined in Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, use of proceeds and the development, costs and results of current or future actions and opportunities in the sector. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects and development stage companies, our ability to raise the additional funding we will need to continue to pursue our exploration and development program, and our ability to retain important members of our management team and attract other qualified personnel. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the most recent fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.