James E. Wagner Cultivation Corporation has entered into an investment agreement with Alumina Partners dated November 6, 2018, for a draw-down equity facility of up to CDN$18,000,000 (eighteen million dollars). The agreement will provide funding for the ongoing development of JWC’s second site facility.
The purpose of the agreement is to provide a potential source of funding for completion of the ongoing extensive construction and renovation work at the company’s second production facility in Kitchener, Ontario. When completed, JWC2 will provide 345,000 square feet of indoor space for the cultivation of cannabis. “JWC is excited to have this source of funding available to ensure completion of JWC2 in as speedy a manner as is possible, allowing us to smoothly scale production despite a volatile capital market,” said Nathan Woodworth, President and Chief Executive Officer of JWC. This agreement has been structured to best suit JWC’s plans for a smooth path to scale at the JWC2 site.
“We are pleased to support JWC as they prepare to bring some of the absolute finest state of the art aeroponic growing capacity online in Ontario,” added Adi Nahmani, Managing Member of Alumina Partners. “As the industry continues to expand and evolve, superior expertise and quality in cultivation has trumped mass quantity at every turn and by every metric including net margins. We believe that JWC's substantial operational experience and talent pool will allow them to attain the best possible results at the new facility.”