Pasha Brands Completes Reverse-Takeover with Broome Capital

Published: June 3, 2019

Pasha Brands Completes Reverse-Takeover with Broome Capital

Pasha Brands Ltd. has completed its reverse-takeover transaction, pursuant to which it has acquired all of the outstanding securities of the privately held, Pasha Brands Ltd. (“Privco”), Canada’s largest craft cannabis brands organization. Pasha expects to commence trading on the Canadian Securities Exchange (“CSE”) under the symbol “CRFT” at the market open on Monday, June 3, 2019.

Privco has raised approximately $25 million in the past two quarters and procured some of Canada’s most renowned pre-legalization craft cannabis brands. Pasha is now positioned to accelerate its growth with its wholly-owned subsidiary, BC Craft Supply Co. Ltd. (“BC Craft”), which expects to manage the production and processing of craft cannabis under Health Canada’s regulatory framework. BC Craft will work with craft cannabis producers in Canada and assist them in obtaining their micro-cultivation licences with Health Canada – a program that began on October 17, 2018, in exchange for a supply contract to purchase the crop a micro-cultivator produces.

Legalization in Canada has left licensed producers scrambling to meet the supply needs of Canadian cannabis consumers. To this day, illicit craft producers are still supplying as much as 90% of the cannabis Canadians are purchasing. Through its subsidiaries, Pasha will be Canada’s first all craft licensed producer and will focus exclusively on bringing micro-cultivators into the market. Under the Health Canada framework, each micro-cultivator can legally process approximately 500 kilograms of dried flower per year. For every 100 micro-cultivators BC Craft secures, up to 50,000 kilograms of world-class craft cannabis could be available to the market via Canada’s regulated supply chain.

New to the public markets, Pasha and its brands are no stranger to Canada’s craft cannabis community. Pasha’s ranks include award-winning brands and farmers that have helped establish British Columbia’s reputation as home of the world’s best cannabis. Trusted by independent growers and supported by an experienced management team and board, the brand is well poised for growth.