Zenabis Global Inc. announced that its first shipments to Australia from its Zenabis Atholville facility was completed on August 28, 2020. Zenabis has commenced the supply of packaged cannabis flower under a long-term supply agreement with an Australian distributor.
Import amounts into Australia for the third quarter of 2020 are expected to be in the range of 100 kg, with import permits for comparable amounts already issued for the fourth quarter of 2020. Kevin Coft, Interim Chief Executive Officer of Zenabis, remarked, “We are very proud of our first shipments of packaged, rather than bulk, cannabis outside of Canada, and to add an additional continent from an export partner standpoint.”
Third Quarter Cannabis Volume Update
As of 31 August 2020, Zenabis has shipped ~4,700 kg of cannabis in the first two months of the third quarter of 2020, an ~20% increase over the entire second quarter of 2020, which was itself the highest quarter to date for Zenabis. Daniel Burns, Chair of Zenabis, added, “Through a combination of significant volume increases with provincial counterparties, increased cash-pay bulk agreements in Canada, and increases in volume exported internationally, Zenabis has delivered significant volume growth in cannabis shipment volumes in the third quarter of 2020.” These cannabis shipment volumes remain consistent with prior guidance for net cannabis revenue of $17–21m for the third quarter of 2020.
Zenabis has updated its corporate presentation located at zenabis.com/investor-relations to include recent international counterparty updates, Q2 financial results, and a table of ongoing cash interest payment obligations after taking into account debt repayment, prepayment, and conversions that took place in Q2 2020.
Zenabis is a significant Canadian licensed cultivator of medical and recreational cannabis, and a propagator and cultivator of floral and vegetable products. Zenabis employs staff coast-to-coast, across facilities in Atholville, New Brunswick; Aldergrove, Pitt Meadows and Langley, British Columbia; and Stellarton, Nova Scotia. Zenabis currently has 111,200 kg of licensed cannabis cultivation space across four licensed facilities. Zenabis has 3.5 million square feet of total facility space dedicated to a mix of cannabis production and cultivation and its propagation and floral business.