The Flowr Corporation Receives Health Canada Approval to Double Current Capacity at Flagship Kelowna 1 Facility Which is Now Fully Operational

Published: February 25, 2020

The Flowr Corporation Receives Health Canada Approval to Double Current Capacity at Flagship Kelowna 1 Facility Which is Now Fully Operational

The Flowr Corporation has received approval from Health Canada to open 10 additional grow rooms at its Kelowna 1 cultivation facility, bringing the total to 20, doubling the Company’s capacity to grow premium, indoor flower at the facility and enabling automation to lower COGS. This is the final approval required for full operation of the facility.

Kelowna 1 is Flowr’s premier purpose-built indoor cultivation facility located in the Okanagan Valley of British Columbia. Following receipt of the new Health Canada approval, the Company plans to immediately begin phasing in the propagation of these additional grow rooms and expects the 85,000 square foot facility to produce, at ultimate capacity, approximately 10,000 kilograms of premium cannabis flower on an annualized basis.

“The full licensing of Kelowna 1 is a major milestone for Flowr. For the first time since we broke ground on the facility we won’t be operating out of a construction site. We continue to see growing demand for our premium cannabis products led by our flagship strain, Pink Kush. Furthermore, we expect to see an improvement in operating efficiency as we reach scale coupled with the commissioning of our automated packaging line,” said Vinay Tolia, CEO of Flowr.

Flowr’s cultivation facilities are being constructed to Good Manufacturing Practice (GMP) standards. They employ proprietary designs and systems to create a highly controlled growing environment that the Company expects will enable it to produce a large portion of its premium cannabis without requiring irradiation to meet Health Canada standards. The Company’s cultivation team follows exacting protocols throughout the growing process then carefully harvests, trims and cures its products, seeking to deliver a premium experience for consumers.

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.