InterCure Informs That A Lawsuit Was Filed Against the Company by Minority Shareholders of Its Subsidiary

Rhea-AI Summary

On April 24, 2023, InterCure Ltd (NASDAQ: INCR) announced a lawsuit filed by minority shareholders of its subsidiary, Cannolam, in Tel Aviv-Jaffa District Court. This legal action arises from disagreements regarding Cannolam's management. InterCure has conducted a preliminary review of the claims and believes they lack legal merit. The company is exploring legal options, including potential counterclaims, to protect its interests. Established as the leading medical cannabis company outside North America, InterCure operates through its subsidiary Canndoc, which is Israel’s largest licensed cannabis producer, known for its GMP-certified products.

Positive

• InterCure is a leading, profitable cannabis company outside North America.
• Canndoc, a subsidiary, is Israel's largest licensed cannabis producer.
• The company utilizes a high-margin, vertically integrated 'seed-to-sale' model.

Negative

• A lawsuit has been filed against InterCure by minority shareholders, indicating management disputes.
• The ongoing legal conflict could lead to potential financial and operational uncertainties.

NEW YORK and TORONTO and HERZLIYA, Israel, April 25, 2023 (GLOBE NEWSWIRE) -- InterCure Ltd. (NASDAQ: INCR) (TSX: INCR.U) (TASE: INCR) (dba Canndoc) ("InterCure" or the "Company"), the leading medical cannabis company outside of North America announces that on April 24, 2023, it was informed that a lawsuit was filed against the Company in Tel Aviv-Jaffa District Court by minority shareholders of its subsidiary, Cannolam. The lawsuit was filed as part of a conflict between the shareholders and the Company, which is related to disagreements concerning the ongoing management of Cannolam.

Intercure has conducted a preliminary review of the claims made by the minority shareholders and believes that they lack a valid legal basis. The Company is evaluating all legal options, including potential counterclaims. The Company is committed to vigorously defending its interests and will take all legal actions available to it.

About InterCure (dba Canndoc)

InterCure (dba Canndoc) (NASDAQ: INCR) (TSX: INCR.U) (TASE: INCR) is the leading, profitable, and fastest growing cannabis company outside of North America. Canndoc, a wholly owned subsidiary of InterCure, is Israel’s largest licensed cannabis producer and one of the first to offer Good Manufacturing Practices (GMP) certified and pharmaceutical-grade medical cannabis products. InterCure leverages its market leading distribution network, best in class international partnerships and a high-margin vertically integrated "seed-to-sale" model to lead the fastest growing cannabis global market outside of North America.

For more information, visit: http://www.intercure.co.

Forward-looking statement

This press release may contain forward-looking statements. Forward-looking statements may include, but are not limited to, statements relating to the outcomes of the noted lawsuit. These statements are often characterized by terminology such as “believes,” “hopes,” “may,” “anticipates,” “should,” “intends,” “plans,” “will,” “expects,” “estimates,” “projects,” “positioned,” “strategy” and similar expressions and are based on assumptions and assessments made in light of management’s experience and perception of historical trends, current conditions, expected future developments and other factors believed to be appropriate.. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such statements. Many factors could cause InterCure’s actual activities or results to differ materially from the activities and results anticipated in forward-looking statements. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond InterCure’s control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. InterCure undertakes no obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.

Contact:

InterCure Ltd.
Amos Cohen, Chief Financial Officer
amos@intercure.co

FAQ

What lawsuit was filed against InterCure on April 24, 2023?

A lawsuit was filed by minority shareholders of Cannolam, a subsidiary of InterCure, regarding management disagreements.

What is InterCure's response to the lawsuit?

InterCure believes the claims lack legal basis and is exploring legal options, including counterclaims.

How does the lawsuit impact InterCure and its stock?

The lawsuit may create uncertainties regarding management and operations, potentially impacting investor confidence.