VIDEO: What Passing of Bill C-45 means for Valens GroWorks Corp (CNSX:VGW)
Valens GroWorks Corp (CNSX:VGW) (OTCMKTS:MYMSF) (9FRA:7LV) CEO Tyler Robson gives his opinion on the evolution of Bill C-45 and the current climate of legalization for recreational cannabis in Canada. He outlines what such a significant historic event could mean for the future of the cannabis industry and how Valens GroWorks is already equipped to deal with the news, primarily through new recreational branding. New personnel have recently been added to Valens GroWorks already strong management team to aid with the implementation of the new recreational strategies as well as future international plans.
James West: I’m going to be joined now by Tyler Robson, he’s the CEO of Valens Groworks and he’s going to give us his take on what is happening.
Okay, in the meantime we’ll discuss Valens Groworks. The symbol is VGW on the CSE. Valens Groworks is in the business of extracts and concentrates and Tyler is probably one of the most knowledgeable people in the universe and at some point he’ll appear on this screen. There he is!
Tyler, how’s it going? (Laughter)
Tyler Robson: Good.
James West: Awesome man, good to see you. How have you been?
Tyler Robson: Really good, how about you?
James West: Fantastic, so let’s cut straight to it. What do you thinks going to happen with this vote today Bill C-45 in the Senate?
Tyler Robson: I think it’s going to go through. I think the day has finally come where they’ve figured it out and I think it’s going to pass.
James West: Yeah, you bet. I find it surprising that some of the mainstream media is actually still sort of suggesting that it’s uncertain or there’s still a chance it won’t go through.
Tyler Robson: It is the Federal Government so you do never know what they’re going to do but the fact they’ve come as far as they have, everything’s starting to happen.
The provinces are starting to announce private retail, Manitoba has done it, Saskatchewan has done it so, I think everything is going in the right direction and I think today will be the day for it to pass the Senate.
James West: Right. Okay so, what does that mean for Valens Groworks? Is that really going to change it up for you? Are you suddenly going to find yourself in short supply of your wonderful products?
Tyler Robson: I think we are, yeah. Depending too with Section 159 of the Cannabis Act, it merges licensed dealers to licensed producers so we’re not exactly sure where the dust will settle after today but, we’re super excited and I know the whole industry is going to face a shortage which does include us for sure.
Then it really will open products because edibles and concentrates are hard wired in the legalization which not a lot of people know so it really sets the stage for what’s coming in the sector all together.
James West: Right, okay so do you have line of recreational branded product ready to go at this point?
Tyler Robson: We do. We haven’t announced it yet but we do have stuff in the works that’s getting ready to go. Again, we’re working through the Health Canada requirements of branding and packaging. We’re being very careful especially to with the clothing requirement that they came out with where cannabis companies can’t be on clothing depending on the amendment today.
We didn’t want to jump the gun like a few of these other companies and really set ourselves up for failure so we’ve held our products very close to our chest. We’re excited to finally let them out there for sure.
James West: Yeah you bet. Okay so, we’re looking at your stock chart here and there’s been a bit of a selloff in some of the companies that haven’t really participated, though you’re up 2.5% today. Do you think that investors are going to start to flood into the market with even more enthusiasm now that legalization has finally arrived?
Tyler Robson: I do, yeah. I think a few investors have really been holding off because they’ve been unsure the legalities of the cannabis sector. I think this really brings a whole new wave of people really getting into the sector. I truly believe the banks will start getting involved in a big way. I know there’s a few that have been doing it like BMO but I think it’s now the beginning of a new tidal wave.
James West: Yeah you bet. Alright so is there anything that you’re going to do differently now that the legalization is happening for recreational users?
Tyler Robson: Yeah, stop wasting our time to be honest. Now that we actually have a clear path on where we need to go and how we need to get there, I think we’ll really be able to fine tune our company’s overall vision and actually start doing things properly. You have Health Canada that’s left so many things in the air on what’s allowed, what’s not allowed and even timing. I really think we’re going to hit the ground running as soon as this vote hits.
James West: Yeah you bet. Alright, do you think there’s going to be an increase in the amount of licensees from Health Canada now that there’s legalization? Do you think there’ll be a flood of new licenses or do you think it’s going to continue more or less at the same pace?
Tyler Robson: To be honest I’m under the impression it’s going to slow down. Health Canada has really removed a lot of resources from the licensing issued to get ready for the Cannabis Act. I think they’re really going to service the licenses already existing before they start issuing a whole bunch more essentially. I really think they might slow down if not they’ll definitely stay at the same speed.
James West: Right. Let’s talk a little bit about the news release you put out today that you had some additions to your board or rather to your management team. Who are these people and why are they important?
Tyler Robson: I can’t say enough about them. I’m ecstatic that they joined our company. Chantel for example has a ton of pharmaceutical experience. She worked for, I won’t say the company but a very big company that ended up getting purchased for Shoppers Drug Mart. She has a lot of context in the pharmaceutical world. So, even just helping with our distribution plans and making sure our medical products stay medical moving forward. She’s going to be tremendous.
As well as our CFO Chris, delighted to have him. He’s going to be very good. He’s a numbers guy who I think all accountants, CFOs are little be different in their ways but I guess tremendous amount of experience, so I think he’ll be great and he’ll be a good fit for our team.
James West: Right. Okay, so all these people are sort of flushing out the grandeur vision if you will, so what is the grand vision? What is the big picture for Valens Groworks? Why as an investor should I buy the company now?
Tyler Robson: Because we know what we’re doing. To be honest I think there’s a lot of noise in this sector or “fluff” we’ll call it were I think we’re fundamentally sound and we’re excited just to prove ourselves. The analogy I was taught at a young age; golfer, I’ve been golfing for 5, 6,7 years but I don’t consider myself a pro just because I’ve been doing it and I think that’s what we’re using for the cannabis sector. Sure, some of these people are coming in that have been in this sector for a year, 2, 3 yet but they’re not truly a pro.
I think we have a fundamentally sound team that will be very, very successful moving forward. Even just bringing in core values of what we are as a company and then spreading that nationally with our expansion planned for the near future.
James West: Right. Right, do you have any ambitions towards an international strategy?
Tyler Robson: Yes, absolutely. That’s why we have the dealer’s license. To be honest we’re set up perfectly for international distribution. A big thing to why we went after the dealer’s license was for the exact example of exporting. I think that’s where the future of this entire industry lays. If you look at any international market right now it always starts with medical and will move into recreational. So, we’re a very medicinal based company and we’re going to continue down that road to open up more distribution platforms internationally.
Obviously, the big goal is to end up in the European Union. They have a 350 million consumer base. All of our attention is headed straight to that.
James West: Yeah, you bet. You bet. Alright that’s great Tyler. We’re going to leave it there for now and we’ll come back to you in due course. Thank you very much for your participation as usual.
Tyler Robson: Perfect. Sorry I’m late guys! Thanks for everything.
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