Vibe Growth Corporation Obtains State Approval for Greenhouse Cultivation License in Monterey County, California
Salinas, California--(Newsfile Corp. - May 26, 2022) - Vibe Growth Corporation (CSE: VIBE) (OTCQX: VIBEF) (FSE: A061) (the "Company" or "Vibe"), a vertically integrated California cannabis enterprise, is pleased to announce that its greenhouse development site located in Monterey County has been approved for a commercial cannabis cultivation license by the State of California's Department of Cannabis Control ("DCC").
Vibe's Monterey greenhouses will serve as the Company's flagship cultivation facilities in California. The Company has commenced its 70,000 square-foot Phase 1, with the potential to develop 188,000 additional square feet in future Phases 2 and 3. The Company has a strong balance sheet and will complete the Phase 1 buildout without debt, and notably, significantly under budget.
"This is an important milestone as we continue to expand our operations to meet the growing demand for high-quality, cannabis products in California," said Mark Waldron, CEO of Vibe Growth Corporation. "Vibe continues to deploy capital prudently in the highest growth and margin areas of the California cannabis market. Our strategy in California has been focused on vertical integration, cultivation, and retail sales. The Monterey greenhouse allows us to scale and grow our cultivation and production, meet the demand for our branded products, and grow margins significantly. We are exceptionally proud of the team's efforts and look forward to accelerating our growth as the new facility is expected to come online and ramp to full capacity in the second half of 2022."
The Monterey greenhouses will utilize low iron glass, allowing full-spectrum ultraviolet light transmittance located on the Company-owned 10-acre property in Monterey County, California. Greenhouse materials ordered from Europe in 2021 will be delivered on-site starting in June 2022. Phase 1 development involves the construction of approximately 70,000 square feet of greenhouses for high-quality cannabis cultivation. Included in the Phase 1 construction plan are the conversion of existing wood greenhouses, one of which will be used to develop a genetic stock and propagation program to feed the new glass greenhouses, and the others used for flowering. The construction plan also includes a processing facility and a separate distribution center to support the cultivation operations.
Mark Waldron added, "Our investment in the Monterey County greenhouse facility buildout is grounded in our strategic vision of establishing a vertically integrated operation that controls cultivation, production, and direct-to-consumer sales via our California-focused dispensary network. Operating in California offers many opportunities as long as production remains low-cost and high-quality, which essentially defines our Monterey cultivation facilities."
Vibe Retail Expansion Strategy
The Vibe management team continues to actively explore expansion opportunities as it looks to add new dispensaries to its portfolio to meet the growing demand for its Vibe By California and Hype Cannabis Co. products. Vibe is positioned to further execute on its growth strategy of rapidly expanding its retail dispensary portfolio and adding to its existing seven dispensary locations: Sacramento, Stockton, Redding, Palm Springs, Ukiah, Salinas, and Portland (Oregon).
About Vibe Growth Corporation
Vibe Growth Corporation and its cannabis retail brand, Vibe By California, is a trusted, vertically integrated California cannabis enterprise with retail dispensaries; cannabis greenhouse cultivation; premium indoor cultivation; commercial cannabis distribution; brand sales and marketing; e-commerce platform; home delivery; and Hype Cannabis Co. marijuana and Vibe CBD products. In California, Vibe is focused on maximizing shareholder value through accelerating organic growth, opportunistic acquisitions, distressed workouts, and new license applications. The Company operates retail and e-commerce under its iconic Vibe By California brand.
To learn more about Vibe, please visit: www.vibebycalifornia.com
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
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Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performances. The use of any of the words "anticipate", "could", "intend", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the parties' current belief or assumptions as to the outcome and timing of such future events, and maybe impacted as a result of general economic conditions or the ongoing COVID-19 pandemic. In this news release, forward-looking statements relate to, among other things, the Company's expectations of revenue, EBITDA profitability and adjusted funds flow, higher sales volumes, and the company's retail operations. Actual future results may differ materially.
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Unlike in Canada which has Federal legislation uniformly governing the cultivation, distribution, sale, and possession of medical cannabis under the Cannabis Act (Federal), readers are cautioned that in the U.S., cannabis is largely regulated at the State level. To the knowledge of Vibe Growth Corporation, there are to date a total of 33 states, plus the District of Columbia, that have legalized cannabis in some form. Notwithstanding the permissive regulatory environment of medical cannabis at the State level, cannabis continues to be categorized as a controlled substance under the Controlled Substances Act in the U.S. and as such, cannabis related practices or activities, including without limitation, the manufacture, importation, possession, use or distribution of cannabis are illegal under U.S. federal law. Strict compliance with state laws concerning cannabis will neither absolve Vibe of liability under the U.S. Federal law nor will it provide a defense to any Federal proceeding, which may be brought against Vibe Growth Corporation. Any such proceedings brought against Vibe may adversely affect its operations and financial performance.
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