The Flowr Corporation Provides Management Update
Toronto, ON — September 16, 2019
The Flowr Corporation (TSX.V: FLWR; OTC: FLWPF) (“Flowr” or the “Company”) is pleased to announce Mr. Ivan Latysh has joined the Company as Chief Technology Officer. In this newly created position, Mr. Latysh will be responsible for developing and overseeing the execution of Flowr’s technology and data-driven strategies. He will collaborate with all departments including, finance, operations, sales and marketing to support the Company’s objectives. Mr. Latysh was most recently, and since 2015, Vice President, Information Technology at MedReleaf Corporation, a cannabis producer focused on the medical market.
“The addition of Ivan to our executive leadership team will ensure our operations and commercialization initiatives are supported by the technology and data-driven strategies that are necessary to excel in today’s market,” commented Flowr’s Chief Executive Officer, Vinay Tolia. “Enhancing our capabilities in this area are critical as we integrate our recent acquisition of operational footprints in Europe and Australia.”
In addition, the Company has appointed Messrs. Laurence Levi and Francesco Tallarico to the roles of Chief Strategy Officer and Chief Legal Officer, respectively. Mr. Levi joined the Company in January, 2019, as Executive Vice President, Head of Strategy, and Mr. Tallarico joined the Company effective October 1, 2018, as General Counsel and Corporate Secretary.
Mr. Tolia added, “Laurence and Francesco are invaluable members of our executive leadership team and have been instrumental in helping us become a global cannabis company. With the recent acquisition of the Holigen medical cannabis brand, we are advancing our efforts for The Flowr Corporation to be a dominant player in the years to come.”
Prior to the MedReleaf Corporation, Mr. Latysh held a variety of increasingly senior positions across a variety of industries, including Director of Technology at Sapient Nitro; Principal Software Engineer at Infor; and Chief Technology Officer at Refined Data Solutions Inc., a digital technology agency that provided information technology solutions to a variety of consumer facing companies. Mr. Latysh received his Master Diploma in Electronics Engineering/Computer Programming from the Dnipropetrovs’k State University.
As Chief Strategy Officer, Mr. Levi has global responsibility for leading the development and execution of Flowr’s strategic plans, and for Flowr’s corporate development initiatives including joint ventures, acquisitions and investments. Mr. Levi brings nearly three decades of experience as a board member, private equity investor, investment banker, strategy executive and transactional attorney for public and private companies across a range of technology, manufacturing and consumer industries.
Prior to joining Flowr and since 2011, Mr. Levi was a partner and founder of VO2 Partners, LLC, a retail and consumer-focused private equity firm. He previously was the co-founder and managing director of boutique investment banking firm Levi Littell Herbst & Co.; and the head of strategy for both Transora, a technology consortium, and EthnicGrocer, a Kleiner Perkins-backed e-commerce firm. He began his career as a transactional attorney at Latham & Watkins. Mr. Levi received his Bachelor of Arts from the University of Wisconsin and his Juris Doctor from Columbia Law School.
Prior to joining Flowr, Mr. Tallarico served as Chief Legal Officer and Corporate Secretary at Concordia International Corp. (“Concordia”), a specialty pharmaceutical company listed on the TSX and operating in over 90 countries. At Concordia, Mr. Tallarico lead M&A and corporate finance transactions valued at over $4.5 billion. Before joining Concordia, Mr. Tallarico practiced law in Toronto at Fasken Martineau DuMoulin LLP, specializing in corporate finance, M&A and securities matters. Mr. Tallarico received his Bachelor of Arts from the University of Toronto and his Juris Doctor from the University of Windsor.
In addition, Flowr also announced today that the board of directors of the Company (the “Board”) has approved the granting of an aggregate of 550,000 incentive stock options (the “Options”) and aggregate of 760,000 restricted share units (the “RSUs”) to certain officers of the Company. The Options are exercisable at a price of either CAD$2.74 or CAD$2.88 per share for a period of five years. The Options will vest (i) as to thirty-three and one-third percent (33⅓%) on each anniversary of the date of commencement of employment for the applicable officer or (ii) in equal tranches of thirty-three and one-third percent (33⅓%) over a period of three years. The RSUs will vest either (i) on the day following the date of grant, (ii) as to thirty-three and one-third percent (33⅓%) on each anniversary of the date of commencement of employment for the applicable officer, (iii) in equal tranches of thirty-three and one-third percent (33⅓%) over a period of three years, or (iv) upon the completion of certain milestones by the applicable officer.
Flowr also announced today that the Board has approved an increase in the exercise price of an aggregate of 665,000 incentive stock options held by certain officers and a director of the Company from CAD$5.93 to CAD$6.98 and from CAD$5.70 to CAD$6.71, respectively, due to certain applicable tax laws.
About The Flowr Corporation
The Flowr Corporation is a Toronto-headquartered cannabis company with operations in Canada, Europe, and Australia. Its Canadian operating campus, located in Kelowna, BC, includes a purpose-built, GMP-designed indoor cultivation facility; an outdoor and greenhouse cultivation site; and a state-of-the-art R&D facility that is currently under construction. From this campus, Flowr produces recreational and medicinal products. Internationally, Flowr intends to service the global medical cannabis market through its subsidiary Holigen, which has a license for cannabis cultivation in Portugal and will operate GMP-designed manufacturing facilities in Portugal and Australia.
Flowr aims to support improving outcomes through responsible cannabis use and, as an established expert in cannabis cultivation, strives to be the brand of choice for consumers and patients seeking the highest-quality craftsmanship and product consistency across a portfolio of differentiated cannabis products.
For more information, please visit flowr.ca or follow Flowr on Twitter: @FlowrCanada and LinkedIn: The Flowr Corporation.
On behalf of The Flowr Corporation:
CEO and Director
Vice President, Communications & Public Relations
(877) 356-9726 ext. 1526
Head of Capital Markets
(877) 356-9726 ext. 1528
Forward-Looking Information and Statements
This press release contains “forward-looking information” within the meaning of Canadian Securities laws and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and other applicable United States safe harbor laws, which may include, but are not limited to: Mr. Latysh’s responsibilities as Chief Technology Officer; Mr. Latysh collaborating with all departments within Flowr to support the Company’s objectives; ensuring Flowr’s operations and commercialization initiatives are supported by technology and data-driven strategies; Mr. Levi’s responsibilities as Chief Strategy Officer; Flowr advancing its efforts to be a dominant player; the integration of Holigen Holdings Limited; Option and RSU vesting terms; Flowr servicing the global medical cannabis market and operating GMP-designed manufacturing facilities in Portugal and Australia; Flowr supporting improving outcomes through responsible cannabis use and striving to be the brand of choice for consumers and patients seeking highest-quality craftmanship and product consistency; and Flowr’s business, production and products. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “is expected”, “expects”, “scheduled”, “intends”, “contemplates”, “anticipates”, “believes”, “proposes” or variations (including negative and grammatical variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such information and statements are based on the current expectations of Flowr’s management and are based on assumptions and subject to risks and uncertainties. Although Flowr’s management believes that the assumptions underlying such information and statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this press release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting Flowr, including risks relating to: Mr. Latysh being unable to collaborate with all departments within Flowr to support the Company’s objectives; Flowr being unable to ensure its operations and commercialization initiatives are supported by technology and data-driven strategies; Flowr being unable to become a dominant player; Flowr being unable to integrate Holigen Holdings Limited; Flowr being unable to service the global medical cannabis market and operate GMP-designed manufacturing facilities; Flowr being unable to become the brand of choice for consumers and patients seeking highest-quality craftmanship and product consistency; the construction and development of the Company’s cultivation and production facilities; general economic and stock market conditions; adverse industry events; the inability of Flowr to produce and distribute premium cannabis; loss of markets; future legislative and regulatory developments in Canada, the United States and elsewhere; the cannabis industry in Canada generally; the ability of Flowr to implement its business strategies; risks and uncertainties detailed from time to time in Flowr’s filings with the Canadian Securities Administrators; and many other factors beyond the control of Flowr.
Although Flowr has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information or statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking information or statement can be guaranteed. Except as required by applicable securities laws, forward-looking information and statements speak only as of the date on which they are made and Flowr undertakes no obligation to publicly update or revise any forward-looking information or statements, whether as a result of new information, future events or otherwise. When considering such forward-looking information and statements, readers should keep in mind the risk factors and other cautionary statements in Flowr’s Annual Information Form dated April 3, 2019 (the “AIF”) and filed with the applicable securities regulatory authorities in Canada and the United States. The risk factors and other factors noted in the AIF could cause actual events or results to differ materially from those described in any forward-looking information or statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.