CALGARY, AB, May 10, 2021 /CNW/ – Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSXV: DB) (OTCQB: DBCCF), a premium cannabis producer, is pleased to announce the Company will have senior management participating in the following virtual conferences.
In addition to the webcast presentation, Decibel will be conducting virtual one-on-one and group meetings with investors. If you are attending the conference and would like to request a meeting with management, please do so through the conference portal.
About Decibel
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three operating production houses along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. Thunderchild Cultivation, is a licensed and operating 80,000 square foot indoor cultivation facility in Battleford, SK. The Plant, Decibel’s extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
Forward Looking Information
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, the Company’s expectations regarding theits ability to bring a significant pipeline of new and innovative products to the market, expected number of grow rooms at Thunderchild at the timing of the first revenue therefrom, the Company’s ability to grow Qwest, Qwest Reserve and Blendcraft brands into new and innovative product formats, variations and its other business plans and expectations. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: risks relating to delays, regulatory changes and impacts, capital requirements, construction impacts, displacement requirements and unforeseen requirements resulting from the COVID-19 pandemic, the ability to obtain and maintain licences to retail cannabis products; review of the Company’s production facilities by Health Canada and maintenance of licences (including any amendments thereto) from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company’s credit facilities; timing and completion of construction and expansion of the Company’s production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSX Venture Exchange, as applicable. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
These forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
For further information: Stuart Boucher, stuart.boucher@decibelcc.com, 780-619-0310, www.decibelcc.com
CALGARY, AB, April 20, 2021 /CNW/ – Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSXV: DB) (OTCQB: DBCCF), a premium cannabis producer and retailer, is pleased to announce the promotion of Kris Newell to the recently created position of Chief Operating Officer, effective as of today. In this role, Kris will be responsible for overseeing the management of Decibel’s two licensed cannabis cultivation facilities, as well as its cannabis processing facility.
“Kris has demonstrated a strong ability to identify, coordinate and successfully implement positive change throughout Decibel’s operations,” said Cody Church, Interim CEO of Decibel. “We are excited to benefit from Kris’ leadership as we ramp up operations at our larger indoor craft Thunderchild Cultivation facility, significantly increasing our production of the ultra-premium Qwest Reserve product line and the premium Qwest flower and pre-roll products.”
About Decibel
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three operating production houses along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. Thunderchild Cultivation, is a licensed and operating 80,000 square foot indoor cultivation facility in Battleford, SK. The Plant, Decibel’s extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
Forward Looking Information
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, the Company’s expectations regarding its ability to bring a significant pipeline of new and innovative products to the market, expected number of grow rooms at Thunderchild at the timing of the first revenue therefrom, the Company’s ability to grow Qwest, Qwest Reserve and Blendcraft brands into new and innovative product formats, variations and its other business plans and expectations. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: risks relating to delays, regulatory changes and impacts, capital requirements, construction impacts, displacement requirements and unforeseen requirements resulting from the COVID-19 pandemic, the ability to obtain and maintain licences to retail cannabis products; review of the Company’s production facilities by Health Canada and maintenance of licences (including any amendments thereto) from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company’s credit facilities; timing and completion of construction and expansion of the Company’s production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSX Venture Exchange, as applicable. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
These forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
For further information: Contact Stuart Boucher, stuart.boucher@decibelcc.com, 780-619-0310, www.decibelcc.com
CALGARY, AB, April 16, 2021 /CNW/ – Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSXV: DB) (OTCQB: DBCCF), a premium cannabis producer and retailer, announces that it has granted, effective after market close on April 15, 2021, an aggregate of 4,246,003 stock options (each, an “Option”) to certain officers and employees of the Company in accordance with the Company’s stock option plan.
Each Option is exercisable for one common share in the capital of the Company (a “Share”) at a price of $0.17 per Share, being the closing price of the Shares on the TSX Venture Exchange on April 15, 2021. This is a normal-course grant that comprises part of the long-term compensation and employee retention incentives program provided by the Company. The Options will vest in equal installments on January 1, 2022, January 1, 2023 and January 1, 2024 and will expire on January 1, 2026.
About Decibel
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three operating production houses along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. Thunderchild Cultivation, is a licensed and operating 80,000 square foot indoor cultivation facility in Battleford, SK. The Plant, Decibel’s extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
Forward Looking Information
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, the anticipated vesting and expiry date of the Options. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
These forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
For further information: Contact Stuart Boucher, stuart.boucher@decibelcc.com, 780-619-0310, www.decibelcc.com
CALGARY, AB, April 14, 2021 /CNW/ – Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSXV: DB) (OTCQB: DBCCF) , a premium cannabis producer and retailer, is pleased to announce its year-end financial results for the three and twelve month periods ending December 31, 2020.
“The success achieved in 2020 reflects Decibel’s commitment to sustainable profitability and product quality, all while executing on an aggressive growth plan” said Cody Church, Interim CEO of Decibel. “We continue to execute as a leading producer of premium cannabis, growing our production from 1,800 kg to over 9,000 kg in this year to meet the strong demand for our Qwest Family of Brands. We are gaining momentum with our cannabis 2.0 portfolio as it continues to gain market share, validating Decibel’s approach to product innovation while maintaining our commitment to quality.”
Key Financial Highlights – Fiscal Year 2020
Net revenue of $30 million in 2020, an increase of 380% from 2019.
Gross profit of $11.7 million in 2020, an increase of 2,888% from 2019.
Positive adjusted EBITDA of $1.5 million in 2020, an improvement of $3.5 million from 2019.
Fourth quarter contributed $1.1 of the $1.5 million in adjusted EBITDA achieved in the year.
Key Financial Highlights – Fourth Quarter
Record Net Revenue: Net revenue grew to $11.4 million in the fourth quarter, a 51% increase, over the prior quarter, driven by strong sales growth from Qwest dried flower and newly launched vape and concentrate products. Net revenue grew by 645% over the comparative 2019 quarter.
Record Positive Adj. EBITDA: The Company achieved a record $1.1 million of adjusted EBITDA in the fourth quarter, its second consecutive quarter of positive adjusted EBITDA, and an increase of 28% from the prior quarter. Adjusted EBITDA improved by $4 million over the comparative 2019 quarter.
Record Qwest Sales: 378 kilograms sold in the fourth quarter, with an average wholesale net price per gram of $8.59, a volume increase of 39% and pricing in line over the prior quarter. Decibel continues to see strong demand for premium cannabis and its Qwest products, which command industry leading pricing with demand outstripping current supply. Kilograms sold and average wholesale net price per gram increased by 125% and 23%, respectively, over the comparative 2019 quarter.
First Full Quarter of Derivative Sales: Achieved $4.5 million of net sales of newly launched vape and concentrate products in the fourth quarter. Decibel had 22 product SKUs in market across four provinces including British Columbia, Alberta, Saskatchewan, and delivered its first shipment to Ontario at the end of December.
In January, Decibel achieved a 22% market share in concentrates and a 9% market share in vape categories across British Columbia, Alberta, Saskatchewan and Ontario1,2
Retail Sales: $3.7 million of retail sales, a 7% decrease over the prior quarter. Decibel’s retail portfolio continues to bring strategic value, contributing to the success of product innovation and understanding consumer trends.
Strengthened Balance Sheet: Decibel completed a $30 million debt refinancing comprised of $28.5 million of term debt and a $1.5 million authorized overdraft. The proceeds were used to fully repay Decibel’s then outstanding $26.8 million of debt with its former lender and provide additional liquidity. The new credit facility resulted in several positive impacts:
$3.2 million of additional liquidity available for working capital purposes.
Extended debt maturity by 5 years and debt amortizes over a 10 year term.
Repayment schedule aligned to operational timeline with $16 million having an interest only period ending in Q3 2021. Principal savings over this period provide Decibel flexibility and additional resources to support its growth strategy.
Reduced blended interest rate by ~1.70%, to 4.75% for outstanding term debt and Prime + 1.00% for the authorized overdraft. This represents approximately $360 thousand in annual interest savings over the full year 2021.
Simplified financial covenants to a monthly current ratio of not less than 1.25:1 and two annually tested covenants, a debt service coverage ratio of not less than 1.40:1.00, and a debt to equity ratio of not greater than 0.75:1.00 at the end of 2021 and 0.50:1.00 for all fiscal years ending thereafter.
Year-End and Quarterly Highlights
Subsequent Events
On January 29, 2021, the Company’s wholly-owned subsidiary, dB Thunderchild Cultivation LP, received a cultivation license from Health Canada for its cultivation, packaging and processing facility, located in Battleford, Saskatchewan (the “Thunderchild Cultivation Facility“). The licensing of the Thunderchild Cultivation Facility significantly increases Decibel’s cultivation capacity by more than four times, to >9,000 kilograms of premium craft cannabis, allowing Decibel to meet the tremendous consumer demand it is experiencing for Qwest products.
Decibel’s financial statements for the three and twelve month periods ending December 31, 2020 (“Financial Statements”) and related Management’s Discussion & Analysis (“MD&A”) for the reporting period are available under the Company’s profile at www.sedar.com. As of December 31, 2020, Decibel was in compliance with all of its financial covenants and expects to remain in compliance for the remainder of its twelve-month forecast period.
About Decibel
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three operating production houses along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation, processing and distribution space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. The Thunderchild Cultivation Facility, is a licensed and operating 80,000 square foot indoor cultivation facility in Battleford, SK. The Plant, Decibel’s extraction, processing and manufacturing facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
Non-GAAP Measures
This news release contains the financial performance metric of Adjusted EBITDA, a measure that is not recognized or defined under IFRS (a “Non-GAAP Measure”). As a result, this data may not be comparable to data presented by other cannabis companies. For an explanation and reconciliation of Adjusted EBITDA to related comparable financial information presented in the Financial Statements prepared in accordance with IFRS, refer to the MD&A for the three and twelve months ended December 31, 2020. The Company believes that Adjusted EBITDA is a useful indicator of operational performance and is specifically used by management to assess the financial and operational performance of the Company.
The Company calculates Adjusted EBITDA as net loss and comprehensive loss excluding unrealized gain on changes in fair value of biological assets, change in fair value of biological assets realized through inventory sold, depreciation and amortization expense, share-based compensation, other income, finance costs, foreign exchange loss, non-cash production costs and severance payments. Non-cash production costs relate to amortization expense allocations included in production costs. Non-GAAP Measures should be considered together with other financial information prepared in accordance with IFRS to enable investors to evaluate the Decibel’s operating results, underlying performance and prospects in a manner similar to Decibel’s management.
Accordingly, this Non-GAAP Measure is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS.
Forward Looking Information
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, the Company’s ability to meet consumer demand, the Company’s expectations with respect to its ability to comply with its financial covenants, the Company’s ability to grow Qwest, Qwest Reserve and Blendcraft brands into new and innovative product formats, variations and its other business plans and expectations. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: risks relating to delays, regulatory changes and impacts, capital requirements, construction impacts, displacement requirements and unforeseen requirements resulting from the COVID-19 pandemic, the ability to obtain and maintain licences to retail cannabis products; review of the Company’s production facilities by Health Canada and maintenance of licences (including any amendments thereto) from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company’s credit facilities; timing and completion of construction and expansion of the Company’s production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSX Venture Exchange, as applicable. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
These forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
For further information: Contact Stuart Boucher, stuart.boucher@decibelcc.com, 780-619-0310, www.decibelcc.com
CALGARY, AB, Feb. 17, 2021 /CNW/ – Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSX-V: DB) (OTCQB: DBCCF), a premium cannabis producer and retailer, is pleased to provide a business update regarding its recent launch of cannabis derivative products and other key milestones.
“We’ve strongly positioned ourselves to succeed in the vape and concentrate market in Canada and are proud to be delivering on our plans and promises. In continuing to follow and optimize our strategic vision, Decibel is steadily working to become a market leader in the high growth vape and concentrate product categories,” said Cody Church, Interim Chief Executive Officer of Decibel. “By leveraging the uncompromising approach we take across the fulsome Decibel business, the products we’re creating are of the highest quality and consideration. We will not let our customers down and will continue to bring a significant pipeline of new and innovative products to the market.”
“We continue to differentiate ourselves not only in our product strategy, but also as one of the few cannabis companies showing profitable results in the third quarter of 2020. We have remained steadfast that sustainable and profitable growth is one of our primary goals.” added Stuart Boucher, Chief Financial Officer of Decibel.
Business Update
Since September 2020, Decibel has launched a total of 26 vape and concentrate SKUs into the recreational market across five provinces including British Columbia, Alberta, Saskatchewan, Manitoba, and Ontario. In January, Decibel achieved a 22% market share in concentrates and a 9% market share in vape categories across British Columbia, Alberta, Saskatchewan, and Ontario1,2. Looking ahead, the Company anticipates launching over 30 additional SKUs including its highly anticipated launch of Qwest branded vapes and concentrates.
First branded derivative product shipment to Manitoba completed in February
Across British Columbia, Alberta, and Saskatchewan, four months into its product launches, Decibel has achieved1:
#1 in concentrate sales under its Blendcraft by Qwest brand in the last 60 days
#3 in vape sales under its General Admission brand in the last 60 days
In Ontario, one month into its product launches, Decibel has achieved2:
#3 in concentrate sales under its Blendcraft by Qwest brand
#8 in vape sales under its General Admission brand
After receiving its latest cultivation license, operations are well underway at Decibel’s Thunderchild facility – a facility which is critical to Decibel’s long term strategic growth plan and will deliver consumers more choice of quality grown, rare cultivars in the dried flower and pre-roll product categories.
Qwest flower products achieve some of the highest prices in Canada (Q3’20 – $10.18 / gram)
Through its combined facilities, Decibel will be launching 6 – 10 new genetics over the next year, including Stuffed French Toast and Sunset MAC coming soon
Decibel’s Qwest flower products remain in short supply and have been out of stock in key provincial markets due to high consumer demand for its flower products
Thunderchild increases capacity from 1,800 kilograms to more than 9,000 kilograms
Four flower rooms already planted and at various stages (20% of total facility planted)
Thunderchild first revenue expected Q2 2021
1 HiFyre Retail Analytics, Licensed Producer Sales over Time in BC, AB, SK, December 1, 2020 – January 31, 2021
2 HiFyre Retail Analytics, Licensed Producer Sales over Time in ON, January 1, 2021 – January 31, 2021
About Decibel
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three operating production houses along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. Thunderchild Cultivation, is a licensed and operating 80,000 square foot indoor cultivation facility in Battleford, SK. The Plant, Decibel’s extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
Forward Looking Information
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, the Company’s expectations regarding its ability to bring a significant pipeline of new and innovative products to the market, expected number of grow rooms at Thunderchild at the timing of the first revenue therefrom, the Company’s ability to grow Qwest, Qwest Reserve and Blendcraft brands into new and innovative product formats, variations and its other business plans and expectations. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: risks relating to delays, regulatory changes and impacts, capital requirements, construction impacts, displacement requirements and unforeseen requirements resulting from the COVID-19 pandemic, the ability to obtain and maintain licences to retail cannabis products; review of the Company’s production facilities by Health Canada and maintenance of licences (including any amendments thereto) from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company’s credit facilities; timing and completion of construction and expansion of the Company’s production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSX Venture Exchange, as applicable. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
These forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
For further information: Contact Stuart Boucher, stuart.boucher@decibelcc.com, 780-619-0310, www.decibelcc.com
CALGARY, AB, Jan. 4, 2021 /CNW/ – Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSXV: DB) (OTCQB: DBCCF), is pleased to announce that on December 31, 2020 it closed its previously announced financing with Connect First Credit Union Ltd. in respect of $30 million of debt capital.
Financing Highlights
Total Capital & Extended Maturity: The credit facilities includes $28.5 million of term debt and a $1.5 million authorized overdraft to repay Decibel’s existing debt of $26.8 million. The credit facilities mature 5 years from the funding date and amortize over a 10 year term (prior debt was on average a 5 year amortization term).
Improved Liquidity: The financing results in $3.2 million of immediate gross proceeds and an additional ~$1 million of principal repayment savings commencing on December 31, 2020. The proceeds will support Decibel’s continued sales growth and working capital requirements.
Alignment to Operational Schedule: The credit facilities are aligned to Decibel’s operational schedule. The Company will benefit from an interest only period on $16 million of the term debt, ending in the third quarter of 2021. Principal savings over this period will provide Decibel flexibility and additional resources to support its growth strategy.
Lower Interest Rate: The committed interest rate under the credit facilities is a 5 year fixed rate of 4.75% for the term debt and Prime + 1.00% for the authorized overdraft. This reflects a blended interest rate reduction of approximately 1.70%, representing approximately $360 thousand of annual interest savings for Decibel over the full year 2021.
Simplification of Financial Covenants: The credit facilities have two annually tested financial covenants, a Debt Service Coverage Ratio of not less than 1.40:1.00, and a Debt to Equity Ratio of not greater than 0.75:1, to commence following Decibel’s 2021 year end (December 31, 2021). The Debt to Equity ratio in subsequent years will step down to 0.50:1 in 2022. The Credit Facilities also have a monthly current ratio covenant of not less than 1.25:1 beginning January 2021. Decibel’s 12 month forecast projects compliance with all financial covenants.
About Decibel
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three production houses operating or under development along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. Thunderchild Cultivation, an 80,000 square foot indoor cultivation facility in Battleford, SK is scheduled to be completed and licensed in 2021. The Plant, Decibel’s extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
Forward Looking Information
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, Decibel’s anticipated principal savings, including the amount, date of commencement and impact thereof; Decibel’s expected compliance with its financial covenants; the date of repayment of Decibel’s ATB facility and the implied closing date the Credit Facilities; and the anticipated completion and licensing date of Thunderchild Cultivation. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: risks relating to delays, regulatory changes and impacts, capital requirements, construction impacts, displacement requirements and unforeseen requirements resulting from the COVID-19 pandemic, the ability to obtain or maintain licences to retail cannabis products; review of the Company’s production facilities by Health Canada and receipt or maintenance of licences (including any amendments thereto) from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company’s credit facilities; timing and completion of construction and expansion of the Company’s production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSX Venture Exchange, as applicable. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
This press release contains future-oriented financial information and financial outlook information (collectively, “FOFI”) about the Company’s prospective results of operations including, without limitation, the expected results of its costs cutting measures and, which are subject to the same assumptions, risk factors, limitations, and qualifications as set forth above. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on FOFI. The Company’s actual results, performance or achievement could differ materially from those expressed in, or implied by, these FOFI, or if any of them do so, what benefits the Company will derive therefrom. The Company has included the FOFI in order to provide readers with a more complete perspective on the Company’s future operations and such information may not be appropriate for other purposes.
These forward-looking statements and FOFI are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements and FOFI, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
For further information: Stuart Boucher, stuart.boucher@decibelcc.com, 780.619.0310, www.decibelcc.com
CALGARY, AB, Dec. 30, 2020 /CNW/ – Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSXV: DB) (OTCQB: DBCCF), is pleased to announce that it has entered into a commitment letter with Connect First Credit Union Ltd. (“First Calgary“) in respect of $30 million of debt capital (the “Committed Amount“). The Committed Amount is comprised of $28.5 million of term debt (the “Term Debt“) and a $1.5 million authorized overdraft against government receivables (the “Authorized Overdraft“) (collectively, the “Credit Facilities“). The funds will be used to repay Decibel’s existing debt ($26.8 million) and provide additional funds for working capital.
Financing Highlights
Total Capital & Extended Maturity: The Credit Facilities includes $28.5 million of Term Debt and a $1.5 million Authorized Overdraft to repay Decibel’s existing debt of $26.8 million. The Credit Facilities mature 5 years from the closing date and amortize over a 10 year term (prior debt was on average a 5 year amortization term).
Improved Liquidity: The financing results in $3.2 million of immediate gross proceeds and an additional ~$1 million of principal repayment savings on December 31, 2020. The proceeds will support Decibel’s continued sales growth and working capital requirements.
Alignment to Operational Schedule: The Credit Facilities are aligned to Decibel’s operational schedule. The Company will benefit from an interest only period on $16 million of the Term Debt, ending in the third quarter of 2021. Principal savings over this period will provide Decibel flexibility and additional resources to support its growth strategy.
Lower Interest Rate: The committed interest rate under the Credit Facilities is a 5 year fixed rate of 4.75% for the Term Debt and Prime + 1.00% for the Authorized Overdraft. This reflects a blended interest rate reduction of approximately 1.70%, representing approximately $360 thousand of annual interest savings for Decibel over the full year 2021.
Simplification of Financial Covenants: The Credit Facilities have two annually tested financial covenants, a Debt Service Coverage Ratio of not less than 1.40:1.00, and a Debt to Equity Ratio of not greater than 0.75:1, to commence following Decibel’s 2021 year end (December 31, 2021). The Debt to Equity ratio in subsequent years will step down to 0.50:1 beginning in 2022. The Credit Facilities also have a monthly current ratio covenant of not less than 1.25:1 beginning January 2021. Decibel’s 12 month forecast projects compliance with all financial covenants.
Debt Financing and Repayment of ATB
The Company expects to repay its credit facilities with ATB Financial (“ATB“) on or before January 5, 2021 as part of its closing and funding mechanics with First Calgary. The Company would like to acknowledge and thank ATB for its early-stage commitment and belief in the Company and its support in transitioning its banking relationship to First Calgary.
Appointment of Chief Financial Officer
Decibel is pleased to announce the appointment of Stuart Boucher as Chief Financial Officer, effective December 30, 2020.
“We’d like to congratulate Stuart on the appointment to the CFO role,” said Cody Church, Interim CEO and Chairman of Decibel. “over the course of this past year, the Board has been impressed with Stuart’s strategic leadership.”
About Decibel
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three production houses operating or under development along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. Thunderchild Cultivation, an 80,000 square foot indoor cultivation facility in Battleford, SK is scheduled to be completed and licensed in 2020. The Plant, Decibel’s extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
Forward Looking Information
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, Decibel’s anticipated principal savings, including the amount, date of commencement and impact thereof; Decibel’s expected compliance with its financial covenants; the date of repayment of Decibel’s ATB facility and the implied closing date the Credit Facilities; and the anticipated completion and licensing date of Thunderchild Cultivation. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: risks relating to delays, regulatory changes and impacts, capital requirements, construction impacts, displacement requirements and unforeseen requirements resulting from the COVID-19 pandemic, the ability to obtain or maintain licences to retail cannabis products; review of the Company’s production facilities by Health Canada and receipt or maintenance of licences (including any amendments thereto) from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company’s credit facilities; timing and completion of construction and expansion of the Company’s production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSX Venture Exchange, as applicable. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
This press release contains future-oriented financial information and financial outlook information (collectively, “FOFI”) about the Company’s prospective results of operations including, without limitation, the expected results of its costs cutting measures and, which are subject to the same assumptions, risk factors, limitations, and qualifications as set forth above. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on FOFI. The Company’s actual results, performance or achievement could differ materially from those expressed in, or implied by, these FOFI, or if any of them do so, what benefits the Company will derive therefrom. The Company has included the FOFI in order to provide readers with a more complete perspective on the Company’s future operations and such information may not be appropriate for other purposes.
These forward-looking statements and FOFI are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements and FOFI, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
Renseignements: Stuart Boucher, stuart.boucher@decibelcc.com, 780.619.0310, www.decibelcc.com
This milestone will allow the dB team to deepen their understanding of one of Canada’s most prominent cannabis retail markets and the shopping behaviour of consumers in these cities.
The retail wing of our business model continues to prove an invaluable insight driver within our industry overall and there’s no doubt this expansion will continue to strengthen that wing.
Palace Theatre in downtown Calgary ExteriorPalace Theatre in downtown Calgary – Interior
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Decibel Cannabis Company: Defining the Ultimate Expression of Cannabis
CALGARY, March 2, 2020 /CNW/ – Westleaf Inc. (the "Company" or "Decibel Cannabis Company Inc.") (TSX-V:WL) (OTCQB:WSLFF) announces today that following the filing of Articles of Amendment with the Alberta Corporate Registry on March 1, 2020, the Company is now named and will be operating as Decibel Cannabis Company Inc ("Decibel"). The comprehensive rebrand marks a new chapter in the evolution of the organization and brings together the Westleaf and We Grow businesses under one name, shared vision, and a visual brand identity that reflects our mission to define the ultimate expression of cannabis.
The common shares of the Company are anticipated to commence trading under its new name on the TSX Venture Exchange ("TSXV") under the ticker symbol DB within two business days following the issuance of a bulletin by the TSXV (with its ticker changing on the OTCQB once final regulatory approvals are received). The Decibel rebrand will be reflected on the Company's new website at www.decibelcc.com.
"Decibel is a culmination of two companies committed to creating quality products and experiences beyond the ordinary. This rebrand reflects our ongoing dedication to craftsmanship, precision and fiscal discipline to deliver profitability in the cannabis industry", said Benjamin Sze, President and CEO of Decibel. "Our team is focused on raising the bar in every facet of the organization, as proven today with the launch of our rebrand, which was conceptualized, developed and executed entirely by our talented employees internally."
The Decibel Business
Core focus on premium cannabis and introducing rare cultivars to the market.
Three production houses that deliver craftsmanship and master the fundamentals of cannabis production:
Qwest Estate in Creston, BC – Produces premium flower that yields among the highest realized prices per gram in the industry, under Qwest, Qwest Reserve and the recently announced Blendcraft by Qwest brands (collectively "Qwest House Brands").
Thunderchild Cultivation in Battleford, SK – Expected to complete Phase 1 construction in April 2020 and once fully operational, is expected to produce up to 7300kg of premium flower under Qwest House Brands.
The Plant Manufacturing Facility in Calgary, AB – Currently holds a Health Canada processing license, and upon receipt of a sales license, will expand Qwest House Brands' offerings into Cannabis 2.0 derivative products.
Prairie Records Retail – A differentiated and immersive retail experience that allows Decibel to creatively execute and market its brands. Prairie Records gives Decibel direct access to consumers improving brand recognition and understanding of consumer trends and preferences.
About Decibel Cannabis Company
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three production houses operating or under development along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in five provinces across Canada. Thunderchild Cultivation, an 80,000 square foot indoor cultivation facility in Battleford, SK is scheduled to be completed and licensed in 2020. The Plant, Decibel's extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft by Qwest, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Neither TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things when the Company will commence trading under the Company's new OTCQB trading symbol, the availability of the Company's new corporate website and related materials, the development of new products, the timing and quality of the Company's launch of "Blendcraft by Qwest", the Company's receipt of a sales license at the Plant Manufacturing Facility, the timing and the construction of the Thunderchild Cultivation facility and its expected levels of production, the ability of the Thunderchild Cultivation facility to produce certain products and product formats, and the Company's ability to execute on the foregoing. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: risks relating to the ability to obtain or maintain licences to retail cannabis products; review of the Company's production facilities by Health Canada and receipt or maintenance of licences from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company's credit facilities; timing and completion of construction and expansion of the Company's production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSXV, as applicable. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
