CannaRoyalty Commends California Government’s Commitment to Support Legal Cannabis Industry
Government of California announced that US$133.3 million to be allocated to cannabis related activities to aid in the transition to a legal market.
Ottawa, Canada – May 14, 2018 – CannaRoyalty Corp. (CSE: CRZ) (OTCQX: CNNRF) (“CannaRoyalty” or the “Company”), a leading North American cannabis products and brands company, today commended the California government’s decision to allocate an additional US$133.3 million for cannabis-related programs, including license and permit processing, enforcement, laboratory services, quality assurance as well as environmental protection. The complete version of the plan may be viewed here.
“We commend the California government for its reinforced support of cannabis operators complying with the state regulated system,” said Marc Lustig, CEO of CannaRoyalty. “Measures such as those announced by the government last Friday are critical to ensure that the growth of the regulated cannabis economy in California is not threatened by illegal operators. We look forward to continuing to work with the government of California and local companies to build a legal and vibrant cannabis industry.”
Forecast California excise taxes are expected to be approximately US$185 million in 2017-2018(1). First quarter excise tax was below previous expectation as the market continues the transition from a grey to a legal market. Despite this lower than expected result, due in large part to dispensaries facing challenges coming online, as previously disclosed, CannaRoyalty subsidiary Alta Supply had record sales in the month of April. Together with prospective acquiree RVR, these distributors accounted for ~5% of the US$33.6 million excise taxes collected in California in Q1 2018.
About CannaRoyalty Corp.
CannaRoyalty is an active operator and investor in the global cannabis industry, with a strong focus on California, the world’s largest cannabis market. Our core mission is to become the leading global consumer product goods company for discerning cannabis consumers. We are currently focused on building a diversified portfolio of manufacturing, distribution, intellectual property, and infrastructure assets to achieve this goal. Our leadership team combines a passion and hands-on understanding of the cannabis industry, with seasoned financial and legal expertise. CannaRoyalty’s shares trade on the Canadian Stock Exchange (CSE) under the symbol CRZ and internationally on the OTCQX under the symbol CNNRF.
For further inquiries, please contact:
Marc Lustig, CEO
Jonathan Ross, CFA
LodeRock Advisors Inc.