COMPANY PROFILE CSE ticker: GW
VALENS GROWORKS A multi-licensed, vertically integrated provider of cannabis products and services with a focus on proprietary extraction processes. We bring pure, high quality cannabis products to medical, recreational, and international markets, while growing the industry through testing and research. 2
THE VALENS ADVANTAGE LICENSED & CERTIFIED Dealer s License approved, ACMPR License pending, Hemp license pending, Nutraceutical license pending setting Valens up for every servicing and consumer product opportunity, globally. SEED TO SALE Different compounds are responsible for different desired results. By controlling our supply from the source right through to processing, we re able to ensure our products qualities are maximized and purpose-driven. USER BENEFITS The Valens brand is quickly being recognized as the science-backed, properly tested, properly derived products in the market. PROPRIETARY Our processing methods have been customized to ensure that the end product does not lose valuable compounds otherwise lost in the refining process. BRANDING The Valens brand is quickly being recognized for delivering the most science-backed, responsibly tested, sustainably derived products in the market. PRODUCTS The ability to produce a wide variety of products to the highest standards, allowing Valens to capitalize on multiple markets from medical to recreational to preferential method of consumption. INDUSTRY-BACKED A preferred partner of Canopy and others. The experience and reputation of the team at Valens speaks for itself. 3
OUR ADVANTAGE: ELEVATING THE SECTOR Elevating Processes & Purity Proprietary distilling process ensures versatile oils & extracts Exceptionally pure product production Free from additives & Adjuncts Elevating Standards & Trust ISO 17025 Accreditation first ever in Canada for testing of cannabis Exceed highest standards for Quality Assurance Ensures consumers know products are safe Ensures consumers know our brands can be trusted Elevating Know-How Proven leadership professionals CEO with 17 years grassroots experience Accredited and respected scientific product professionals 4
OUR SUBSIDIARIES VALENS AGRITECH LTD. World-class, high capacity cannabis extraction and R&D facility VALENS FARMS Creating a state of the art, purpose built cultivation facility up to 800,000 sq. ft SUPRA THC SERVICES INC. Full service testing laboratory named the Center of Excellence for Plant-Based Science by Thermo Fischer Scientific 5
OUR SUBSIDIARIES: VALENS AGRITECH LTD. Health Canada licensed cannabis extraction center Cultivation & research center Ability to import and export wholesale cannabis world-wide Third party cannabis product development Unique cannabis strain genetics Proprietary, customized cannabis derivative production 78,000 kgs of Cannabis extraction per year and growing in our 25,000 sq/ft extraction plant EU GMP Certification pending 6
OUR SUBSIDIARIES: VALENS FARMS A 400,000 (Phase 1) sqft purpose-built cannabis cultivation facility in the heart of B.C. s Okanagan Valley: City approval for up to 800,000 sqft of production space Indoor and greenhouse growing territory 53,000 KG premium flower produced annually Growing specific strains of cannabis through monocropping methodology strictly for extraction Faster growing times means more crop turnover annually and less labour required Valens practice of mono cropping means we deliver the highest quality cannabis plant possible. Grown in specific environments for specific strains All Valens Farms product will be exclusively extracted by Valens Agritech and made into Valens branded product. 7
OUR SUBSIDIARIES: SUPRA THC SERVICES INC. Health Canada licensed Leading edge research facility Specializing in testing of metals, pesticides, mold, terpene and CBD ISO 17025 accreditation Center of Excellence in plant based science named by $80B company (market cap) medical instruments company, Thermo Fischer Scientific Setting the standard in Health-Canada required third party product verification for all LP s 8
OUR REVENUE STEAMS: EXTRACTION Cannabis Oil a flexible, value-add that can be used in an array of products using CBD, THC or both. EDIBLES Healthy snack edibles Trail mix, protein bars, jerky Appetizers Food additives Cooking oils, honey, peanut butter Just add cannabis beverage containers with cannabis oil preloaded in the top, just like the vitamin waters with the powder dispenser on top Drinks alcoholic (wine, beer), non-alcoholic (juices, hot chocolate, coffee) Oral sprays FLOWER High THC/CBD bud V-Pucks, dose control Pre-rolled joints Accessories (eg. rolling papers) OIL/TINCTURES High THC/CBD Vaporizer Cartridges and Pens Capsules Concentrates TOPICALS Balms/creams/salves Bath soaks/salts Skin care products Body Sprays Lubricants Essential Oils Sublingual patches Transdermal patches 9
OUR REVENUE STREAMS EXTRACTION OIL Revenue share or fee for service RESIN Fee for service WHITE LABEL PRODUCTS Revenue Share DIRECT SALES EXPORT SALES 3RD PARTY RESEARCH & DEVELOPMENT License allows development, testing and refining of derivative products that fall outside ACMPR PRODUCT DEVELOPMENT Produce for some of the largest cannabis and health companies Ability to start production now of anticipated future approved products 10
OUR INTERNATIONAL REACH: EXPORT OPPORTUNITIES WITH DEALERS LICENSE GLOBAL MARKET GLOBAL MEDICAL MARIJUANA MARKET TO REACH $55.8 BILLION BY 2025 -Grandview Research GLOBAL MEDICAL MARIJUANA MARKET WAS $11.5 BILLION IN 2015 -Grandview Research AS OF JUNE 7, 2018, CANADA IS THE FIRST MEMBER OF THE G7 TO LEGAL- IZE CANNABISFOR RECREATIONAL USE ACROSS THE COUNTRY CANADA -Rx 2001 RECREATIONAL 2018 GERMANY-Rx 2017 MALTA -Rx 2018 JAMAICA -Rx 2017 COLUMBIA -Rx 2017 BRAZIL -Rx 2016 PERU -Rx 2017 AUSTRALIA -Rx 2017 NEW ZEALAND -Rx 2017 IN NEGOTIATIONS WITH THE ABOVE MARKETS TO STRUCTURE PARTNERSHIPS AND DISTRIBUTION NETWORKS 11
OUR PARTNERS Kosha Projects Inc 12
MILESTONES ACHIEVED Last $5M financing over-subscribed by $7.5M for a total of $12.5M; raised for the purposes of development and operations 1st extraction: Successful extraction of 100 kg of 100% cannabis oil used for research and development 1st harvest: Successful harvest of cannabis at Kelowna facility with THC content above industry standard Increased extraction capacity by 600% with new monthly capacity of 6,500 KG Kelowna facility in final stages of expansion to 25,000 Sq Ft with new office, extraction and processing space Creation of Valens Farms in partnership with Kosha Projects to build 400,000 Sq Ft greenhouse in B.C. s Okanagan Valley Partnership agreement signed with SpeakEasy Growers to provide GMP-grade product, international development opportunities and more 13
FUTURE MILESTONES 2018 1 ST QUARTER 2 ND QUARTER 3 RD QUARTER 4 TH QUARTER Complete Kelowna renovation Begin offering white label and R&D to 3rd party Receipt of pending Hemp license Nutraceutical site license GMP certification complete Launch of Valens-branded products line Begin sales of recreational cannabis products Commence medical sales to international markets Receipt of pending LP license to cultivate 2019 1 ST QUARTER 2 ND QUARTER 3 RD QUARTER 4 TH QUARTER First planting in Valens Farms (Phase 1) First harvest in Valens Farms (Phase 1) First planting of Phase 1B at Valens Farms First harvest of Phase 1B at Valens Farms 14 X
OUR TEAM TYLER ROBSON CEO / DIRECTOR Mr. Robson was Chief Operating Officer of the Company until taking the reins as Chief Executive Officer in May 2017, as well as remaining Director of Operations at Valens AgriTech Inc. JOHN CULLEN DIRECTOR Mr. Cullen is a Co-Founder, Director and CEO of JHI Associates Inc. a private oil and gas exploration company with significant acreage in the deepwater offshore Guyana, South America. ROBERT O BRIEN CSO / DIRECTOR / PRESIDENT OF SUPRA THC Dr. O Brien is an innovation solution provider with a strong experience base in analytical chemistry, laboratory and research team management, scientific education and corporate management. CHRIS BUYSEN, MPAcc, CPA, CA CFO Mr. Buysen has over 15 years of diverse financial experience working as a senior financial executive with many public and private organizations in a wide range of industries including retail, pharmacy and consumer packaged goods. SCOTT YOUNG INVESTOR RELATIONS & BUSINESS DEVELOPMENT Mr. Young s focus at Valens is corporate finance initiatives. Mr. Young has spent the past 15 years working in the capital market sectors of Canada, the United States and Europe. QUINN SHISKIN HEAD OF EXTRACTION AND PRODUCTION Mr. Shiskin s career emanates around production as a multi-ticketed Red Seal tradesman; where he worked in a variety of industries including mining, oil sands, LNG, pulp and paper, and in the construction industry. JOHN W. CONROY, QC. ADVISOR Mr. John Conroy has extensive background as legal counsel in constitutional, administrative and criminal law cases with respect to cannabis legislation, and acted as lead counsel in several ground-breaking legal proceedings. CHANTEL POPOFF VICE PRESIDENT OF VALENS AGRITECH In 2007, Ms. Popoff was appointed Director of Operations, then Director of Marketing for a fast-growing Western Canadian retail pharmacy chain. In 2013 she joined a natural health food company as Director of Marketing and was promoted to President in 2016. 15
PEER EVALUATION MARKET CAP $95M $400M $273M $241M $141M CURRENT PRODUCTION 6,000 Approx 14,500 217,000 4,000 CAPACITY 50,000 NEAR TERM PRODUCTION 400,000-150,000 635,000 100,000 + INCREASE 300,000 HIGH CAPACITY EXTRACTION Y N N N N IN HOUSE EU GMP Y N N N N CERTIFICATION 16
OUR SUMMARY Valens GroWorks ("VGW") owns 100% of Valens Agritech and Supra THC VGW currently has 2 dealers licenses with the ability to cultivate, research, test, store, sell, export and import. LP license approval imminent. When VGW receives its LP it will be the one of only 8 Cannabis companies in Canada to have both Health Canada licenses. Cultivation facility is built (GMP certification pending). Growing Cannabis is currently underway through VGW's Dealers License. Construction of Valens Farms is underway, adding 400,000 sq ft cultivation capacity with the option to expand to 800,000 sq ft VGW is currently in negotiations with a number of companies internationally to develop and produce Cannabis related products, edibles, sprays, nutrients, lights and vaporizers Supra THC is the only Cannabis Laboratory in the world to receive the Thermo Fisher "Center of Excellence in Plant Based Medicines" 17
SCOTT YOUNG BUSINESS DEVELOPMENT/INVESTOR RELATIONS SCOTT@VALENSGROWORKS.COM (705) 888-2756 VALENSGROWORKS.COM 130 ADELAIDE ST. W, OXFORD TOWER, SUITE 3002 TORONTO, ON, M5H 3P5 18