Preferred Dental Technologies Inc :. Executes JV Agreement with Gillespie Farmer's Delight, Discusses Additional Revenues with JV Partner
TheNewswire - July 31, 2019 -Preferred Dental Technologies Inc.("Company") (CNSX:PDTI.CN), US(OTC:PDTTF),(PDTI) is pleased to announce that it has finalized and executed legal documentation to complete its Joint Venture Agreement with Gillespie Farmer'sDelight Company Ltd. (GFDCL). GFDCL is developing a 269 acre property into a hemp growing and EU GMP CBD extraction facility located in Jamaica.
The last formal step in finalizing this joint venture will be PDTI exchanging 5 million of its common shares for 9 million shares of GFDCL, which ultimately represents a 22.5% equity stake. PDTI has no capital outlays regarding GFDCL's ongoing operations. GFDCL values the PDTI shares at $0.13 CDN based solely on the value of the property agreements in place, with PDTI receiving an interest in GFDCL valued at $650,000 CDN.
The premise of this JV deal is to enable PDTI access to CBD products on a "best price" cost-plus basis. Additionally, PDTI will be utilizing GFDCL's first class team of strain development experts to bring formulations and additional dental related products to market in coordination with our own advisory board of experts with dental pre and post-care in mind.
Based on the numerous enquiries PDTI has received since first announcing the letter of intent on this transaction, the company has been in discussion with management of GFDCL to secure additional revenue such as a top line royalty stream on any distribution opportunities brought to their attention.
President Erik Siegmund stated, "PDTI is of course excited to conclude this JV Agreement and we are also very happy with the potential of adding further revenues by introducing new Companies to GFDCL. We are now in a strong position to enhance our product line through scientific development of unique formulations for use in an underserved sector. We look forward to sharing these new developments as they are concluded.
Errol Gillespie, President of GFDCL added "We feel we have a good JV partner with Preferred Dental. They are quite progressive and have a lot of good ideas that I feel can be beneficial to both of us. It is a strong vote of confidence in me and my team for PDTI to have moved forward on this initiative, and we could not be more pleased to having secured an outlet ready for our end products."
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Preferred Dental technologies Inc. (PDTI) has been established to advance development and commercialization of various evolutionary and disruptive technologies in the dental implant industry.
MISSION - INNOVATIVE & PRACTICAL SOLUTIONS FOR THE DENTAL INDUSTRY
On behalf of Preferred Dental Technologies Inc.
Chief Executive Officer
On behalf of Gillespie Farmers Delight Company Limited;
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Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release may include, but is not limited to, the Company's objectives, goals or future plans. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to,those risks set out in the Company's public documents filed on SEDAR. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law. Neither The Canadian Securities Exchange nor its Regulations Services Provider (as that term is defined in the policies of The Canadian Securities Exchange accepts responsibility for the adequacy or accuracy of this release.