Xebra Provides Update on the Issuance of its Mexican Cannabis Authorizations and Announces Management Changes
VANCOUVER, BC, Jan. 26, 2023 /PRNewswire/ – Xebra Brands Ltd. (“Xebra”) (CSE: XBRA) (OTCQB: XBRAF) (FSE: 9YC), a cannabis company, provides an update on the issuance of its Mexican cannabis authorizations and announces management changes.
A Mexican court has granted the Mexican Health Regulatory Agency (the Mexican FDA equivalent) (the “COFEPRIS”) another extension to the week of February 6th to fulfill the Supreme Court mandate to grant Xebra cannabis authorizations. Xebra has been provided with copies of the extension request made by the COFEPRIS to the court; the documents reference the cooperation of high-ranking officials and are clearly indicative of genuine efforts being made by the COFEPRIS to comply with the Supreme Court to grant Xebra the cannabis authorizations.
As Xebra has indicated in previous press releases, since the cannabis authorizations are without legal precedent in Mexico, guidance on approximate timing cannot be relied upon, and additional delays can be reasonably expected. Xebra Mexico’s authorizations will apply specifically to cannabis with low-levels of THC (under 1%), therefore, in practical terms, to hemp cultivation, processing, and to the manufacture and sale of mainly CBD products, and certain uses of the cannabis flower. Opportunities in the hemp plastics industries have also been identified.
In addition, Xebra announces board and management changes. Robert Giustra has resigned as Chairman and Director in order to focus on his mining ventures. Mr. Giustra will remain an advisor to Xebra. Mr. Giustra is the founder of Xebra Brands; under his leadership, Xebra obtained an irrevocable injunction by the Mexican Supreme Court and created Xebra’s unique beverage brands and trademarks. Over the last year Mr. Giustra transitioned the incoming CEO, and oversaw the Canadian launch of Xebra’s highly successful THC and CBN infused lemonade Vicious Citrus. Andrew Yau, CFO and Daniela Freitas, Corporate Secretary have also resigned with Mr. Giustra to focus on the mining sector; Rodrigo Gallardo, Xebra’s President, has been appointed CFO and Corporate Secretary on an interim basis.
Certain information contained in this press release constitutes forward-looking statements under applicable securities laws. Any statements that are not statements of historical fact may be deemed to be forward-looking statements, these include, without limitation, statements regarding Xebra Brands Ltd.’s expectations in respect of its ability to successfully execute its business plan or business model; its ability to provide economic, environmental, social, or any benefits of any type, in the communities it operates in or may operate it in the future; its ability to be a first mover in a country, or to obtain or retain government licenses, permits or authorizations in general, or specifically in Mexico, Canada, or elsewhere, including cannabis authorizations from the Mexican Health Regulatory Agency (COFEPRIS) and the timing of such permits or authorizations; its ability to successfully apply for and obtain trademarks and other intellectual property in any jurisdiction; its ability to be cost competitive; its ability to commercialize, cultivate, grow, or process hemp or cannabis in Mexico, Canada, or elsewhere and related plans and timing; its ability to manufacture, commercialize or sell cannabis-infused beverages, wellness products, or other products in Mexico, Canada, or elsewhere, and its related plans and claims, including market interest and availability; its ability to create wellness products that have a therapeutic effect or benefit; plans for future growth and the direction of the business; financial projections including expected revenues, gross profits, and EBITDA (which is a non-GAAP financial measure); plans to increase product volumes, the capacity of existing facilities, supplies from third party growers and contractors; expected growth of the cannabis industry generally; management’s expectations, beliefs and assumptions in general, including manufacturing costs, production activity and market potential in Mexico or any jurisdiction; events or developments that XEBRA expects to take place in the future; general economic conditions; and other risk factors described in the prospectus of the Company dated September 30, 2021. All statements, other than statements of historical facts, are forward-looking information and statements. The words “aim”, “believe”, “expect”, “anticipate”, “contemplate”, “target”, “intends”, “continue”, “plans”, “budget”, “estimate”, “may”, “will”, and similar expressions identify forward-looking information and statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by XEBRA as of the dates of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to, the inability of XEBRA to generate sufficient revenues or to raise sufficient funds to carry out its business plan; changes in government legislation, taxation, controls, regulations and political or economic developments in various countries; risks associated with agriculture and cultivation activities generally, including inclement weather, access to supply of seeds, poor crop yields, and spoilage; compliance with import and export laws of various countries; significant fluctuations in cannabis prices and transportation costs; the risk of obtaining necessary licenses and permits; inability to identify, negotiate and complete a potential acquisition for any reason; the ability to retain key employees; dependence on third parties for services and supplies; non-performance by contractual counter-parties; general economic conditions; and the continued growth in global demand for cannabis products and the continued increase in jurisdictions legalizing cannabis; and the timely receipt of regulatory approval for license applications. In addition, there is no assurance Xebra will: be a low-cost producer or exporter; obtain a dominant market position in any jurisdiction; have products that will be unique. The foregoing list is not exhaustive and XEBRA undertakes no obligation to update or revise any of the foregoing except as required by law. Many of these uncertainties and contingencies could affect XEBRA’s actual performance and cause its actual performance to differ materially from what has been expressed or implied in any forward-looking statements made by, or on behalf of, XEBRA. Readers are cautioned that forward-looking statements are not guarantees of future performance and readers should not place undue reliance on such forward-looking statements. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those set out in such statements.
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SOURCE Xebra Brands Ltd.