Rubicon Organics Launches Five New Strains and Provides Corporate Update
Rubicon Organics Inc. (OTCQX: ROMJF) is launching five new cannabis strains under its premium brands, Simply Bare Organic and 1964 Supply Co. This expansion reflects the company's commitment to innovation in the cannabis market. CEO Jesse McConnell highlighted that these product innovations and recent facility upgrades will enhance production capacity and meet growing demand. Rubicon anticipates reaching an annual production of 11,000 kg by Q4 2022, with fixed costs remaining stable. The company is focused on growth while maintaining financial discipline.
- Launch of five new strains under Simply Bare Organic and 1964 Supply Co brands.
- Expected production of 11,000 kg by Q4 2022, supporting revenue growth.
- Significant facility upgrades aimed at increasing yield and quality.
- Maintained fixed cost base which supports profitability.
- None.
VANCOUVER, British Columbia, Dec. 14, 2021 (GLOBE NEWSWIRE) -- Rubicon Organics Inc. (TSXV: ROMJ) (OTCQX: ROMJF) (“Rubicon” or the “Company”) is pleased to announce that it is launching three new strains under its super-premium brand, Simply BareTM Organic and two new strains under its premium brand, 1964 Supply CoTM. These new launches demonstrate the Company’s continued commitment to strain innovation in the cannabis market in Canada.
“Our new product innovations coupled with significant facility upgrades will allow Rubicon to perform at an even higher level in 2022. In 2021, we catapulted in market share in both the premium segment of the Canadian cannabis market and across the market as a whole. We intend to bring more exciting new strains into the Canadian cannabis market and our facility upgrades will allow us to produce even more super-premium cannabis to satisfy the demand from the provinces, which is currently keeping some orders unfilled as we ramp production. This commercial performance should continue to translate into stronger financial results as we are maintaining our fixed cost base while increasing our production,” said Jesse McConnell, Chief Executive Officer.
Five New Strain Launches Across Two Brands
Rubicon is launching three new innovative strains under the super-premium Simply BareTM Organic brand:
- BC Organic Gelato Cake: available in 28g, 3.5g and 3x0.5g product formats, this indica hybrid, with terpenes over
2% and THC between20% and26% , will be available to consumers in Alberta, BC and Ontario; - BC Organic White Rntz: a hybrid strain with terpenes exceeding
2.5% and THC between20% and26% , will be available in Alberta and BC in both 3.5g and 3x0.5g pre-roll formats; and - BC Organic Lime Mi’jito: a sativa hybrid with terpenes above
2% and THC between20% to26% , consumers in Alberta and Ontario will be able to purchase this new strain in 3.5g and 3x0.5g pre-roll formats.
The launch of these new genetics is consistent with the Company’s strategy to provide consumers of Simply BareTM Organic a differentiated and top-tier experience. Rubicon also launched two new strains under the premium 1964 Supply CoTM brand:
- Organic Island Rockstar: an indica strain with terpenes exceeding
2% and THC between20% and26% , will be available in BC in 3.5g format; and - Organic Comatose: an indica strain, with terpenes exceeding
2% and THC between22% and28% , in 3.5g and 7x0.5g pre-roll formats will be available for purchase in Alberta and Quebec.
The launch of these new genetics is consistent with the Company’s strategy to provide consumers of 1964 Supply CoTM with legacy market strains and a premium experience.
Corporate Update
Rubicon Organics is currently experiencing demand in excess of production and expects demand to increase for its portfolio of organic super-premium and premium cannabis brands. The Company’s latest market share update was published on November 9, 2021 and can be viewed here.
The Company has nearly completed a multi-million dollar greenhouse climate system upgrade with the recent commissioning of four of six newly installed HVAC units that are expected to increase both quality and yield as soon as the first quarter of 2022. Coupled with genetic innovations and improved cultivation conditions, the Company continues to be on track for 11,000kg of high-quality production annualized by the fourth quarter of 2022.
In addition to increasing production and sales volumes, the Company expects to maintain its disciplined financial approach as fixed costs are expected to remain consistent and benefit from upgrading the Company’s BC Hydro grid connection by the second quarter of 2022.
2022 is expected to be the first full year with all five of Rubicon’s brands in market and with coast-to-coast territorial coverage. The Company currently has over 60 unique SKUs having added over 40 SKUs to its brand portfolio in 2021. Future innovation in flower, pre-roll and 2.0 products will be launched under this existing portfolio which is increasingly gaining recognition among budtenders and consumers.
Rubicon’s cultivation and production have not been impacted by recent weather conditions in British Columbia.
ABOUT RUBICON ORGANICS INC.
Rubicon Organics Inc. is the global brand leader in premium organic cannabis products. The Company is vertically integrated through its wholly owned subsidiary Rubicon Holdings Corp, a licensed producer. Rubicon Organics is focused on achieving industry leading profitability through a focus on differentiated product innovation and brand portfolio management, including its flagship super-premium umbrella brand Simply BareTM Organic, its premium flower and hash brand 1964 Supply CoTM, its premium concentrate brand LAB THEORYTM, and its mainstream brand Homestead Cannabis SupplyTM .The Company ensures the quality of its supply chain by cultivating, processing, branding and selling organic certified, sustainably produced, super-premium cannabis products from its state-of-the-art glass roofed facility located in Delta, BC, Canada.
CONTACT INFORMATION
Margaret Brodie
Chief Financial Officer
Phone: +1 (437) 929-1964
Email: ir@rubiconorganics.com
The TSX Venture Exchange, its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) does not accept responsibility for the adequacy or accuracy of this press release.
Cautionary Statement Regarding Forward Looking Information
This press release contains forward-looking information within the meaning of applicable securities laws. All statements that are not historical facts, including without limitation, statements regarding future estimates, plans, programs, forecasts, projections, objectives, assumptions, expectations or beliefs of future performance, and statements such as the Company’s expectation that it will reach 11,000kg in production volume by the fourth quarter of 2022, the expected increase in demand for the Company’s products, the nature of future product innovation, the Company’s ability to meets its financial objectives for 2022, the Company’s belief that it is becoming the global brand leader in organic cannabis products, and the Company’s intention of achieving industry leading profitability are “forward-looking statements”. Forward-looking information can be identified by the use of words such as “will” or variations of such words or statements that certain actions, events or results “will” be taken, occur or be achieved. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward looking statements. The forward-looking information in this press release is based upon certain assumptions that management considers reasonable in the circumstances, including that its capital needs will be as currently projected. Risks and uncertainties associated with forward looking information in this press release include, among others, information or statements concerning the Company’s expectations of financial resources available to fund operations; Rubicon Organics' limited operating history and lack of historical profits; obtaining the necessary regulatory approvals; that regulatory requirements will be maintained; general business and economic conditions; the Company’s ability to successfully execute its plans and intentions; the Company’s ability to obtain financing at reasonable terms through the sale of equity and/or debt commitments; the Company’s ability to attract and retain skilled staff; market competition; the products and technology offered by the Company’s competitors; that our current relationships with our suppliers, service providers and other third parties will be maintained; and the impact of the current global health crisis caused by the COVID-19 pandemic. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. Although Rubicon Organics has attempted to identify important risk factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other risk factors that cause actions, events or results to differ from those anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in forward-looking statements. Rubicon Organics assumes no obligation to update any forward-looking statement, even if new information becomes available as a result of future events, new information or for any other reason except as required by law.
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