BioTuesdays

Zenabis outperforms design capacity by 35% in May; announces 70% increase in licensed annual cultivation capacity

Zenabis Global (TSX:ZENA) generated cultivation output in May of 908 kg of dried cannabis, which represents a 35.1% outperformance relative to design capacity.

The May results were Zenabis’ highest monthly cultivation output to date and is almost double its cultivation output in January 2019. Together with accelerating one harvest versus forecast, cultivation output of 908 kg of dried cannabis was 49.6% greater than forecast output of 607 kg.

Zenabis’ total licensed annual cultivation capacity is now 23,100 kg of dried cannabis.

The company expects its Zenabis Atholville, Zenabis Stellarton, Zenabis Delta and Zenabis Langley facilities to have an annual design capacity of 131,300 kg of dried cannabis by the third quarter of 2019.

On June 21, 2019, Health Canada approved the Phase 2B license amendment for Zenabis Atholville, expanding licensed annual cultivation capacity at the company’s largest indoor facility by 9,800 kg to 22,300 kg of dried cannabis, and licensed space from 174,900 square feet to 251,600 square feet.

In a statement, Andrew Grieve, CEO of Zenabis, said the company achieved strong cultivation results again in May. “We are confident in our ability to continue to outperform as we refine our cultivation approach.”

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