Tilray® Announces Support of Two New Clinical Research Studies in Australia and Canada

Tilray® Announces Support of Two New Clinical Research Studies in Australia and Canada

Tilray cannabis products will be used to support the Murdoch Children’s Research Institute led pilot study to evaluate the feasibility and acceptability of a randomized placebo-controlled trial of the efficacy of cannabidiol (CBD) oral solution in reducing Severe Behavioral Problems in children with Intellectual Disabilities

 

Tilray CBD and THC capsules will be used in a study examining the safety, tolerability and effectiveness of medical cannabis on immune activation in people living with HIV being conducted by the McGill University Health Centre

Tilray, Inc. Reports Full Year 2018 Financial Results

Revenue Rises 110.0% to $43.1 (C$56.4) Million in 2018
 
Strategic Partnerships and Acquisitions Position Tilray to Accelerate Global Sales Growth and Drive Long-Term Shareholder Value

 
NANAIMO, BRITISH COLUMBIA – Tilray, Inc., (“Tilray” or the “Company”) (Nasdaq: TLRY) a global leader in cannabis research, cultivation, production and distribution, today reported financial results for the fourth quarter and year ended December 31, 2018. All financial information in this press release is reported in U.S. dollars, unless otherwise indicated.
 
“2018 was a very successful year for Tilray with many corporate milestones. Our team made significant progress on our long-term initiatives including increasing production capacity, expanding and strengthening strategic partnerships, and acquiring complementary businesses to accelerate our future growth and leadership position in medical and adult-use cannabis,” commented Brendan Kennedy, President and Chief Executive Officer of Tilray. “Looking ahead, we remain committed to pursuing global growth opportunities and will be disciplined in deploying capital, particularly in the United States and Europe, where we believe we have multiple paths for value creation.”
 
2018 Financial Highlights

  • Revenue increased to $43.1 (C$56.4) million, up 110.0% compared to last year. The increase in revenue was driven by bulk sales, the inaugural sales for the Canadian adult-use market and accelerated wholesale distribution in export markets.

  • Total kilogram equivalents sold increased over two-fold to 6,478 kilograms from 3,024 kilograms in the prior year.

  • Average net selling price per gram increased to $6.61 (C$8.59) compared to $6.52 (C$8.42) in the prior year. In 2018, there was significant revenue growth for extract products compared to dried flower, where extracts represented 49% of the sales mix in 2018 compared to 20% in 2017.

  • Net loss for the year was $67.7 million, or $0.82 per share, compared to $7.8 million, or $0.10 per share, for 2017. Net loss includes non-cash stock-based compensation charges of $21.0 million compared to a $0.1 million charge in the prior-year.  Adjusted EBITDA was a loss of $33.1 million compared to a loss of $5.5 million the prior year. The increased net loss and Adjusted EBITDA declines were primarily due to the increase in operating expenses related to continued growth, expansion of international teams, and costs related to financings and the initial public offering (“IPO”). See “Use of Non-U.S. GAAP Financial Measures.


Fourth Quarter 2018 Financial Highlights

  • Revenue increased to $15.5 (C$20.9) million, up 203.8% compared to the fourth quarter of last year, driven by bulk sales, inaugural sales in the Canadian adult-use market and accelerated wholesale distribution in export markets.

  • Total kilogram equivalents sold increased almost three-fold to 2,053 kilograms from 694 kilograms in the prior year period.

  • Average net selling price per gram increased to $7.52 (C$10.05) compared to $7.13 (C$9.12) in the prior year period.

  • Net loss for the quarter was $31.0 million or $0.33 per share compared to $3.0 million or $0.04 per share for the prior year period. Net loss includes non-cash stock-based compensation charges of $4.1 million compared to $34 thousand in the prior year period.  Adjusted EBITDA was a loss of $17.8 million compared to a loss of $2.1 million the prior year period. The increased net loss and Adjusted EBITDA declines were primarily due to the increase in operating expenses related to growth initiatives, expansion of international teams and costs related to financings and M&A activities.


Business Highlights

  • Expanded strategic alliance with Sandoz, a Novartis Division, globally to increase access to medical cannabis products to patients in need across the world.

  • Announced research and development partnership with AB InBev focused on non-alcohol THC and CBD beverages. Each company intends to invest up to $50 million, for a total of up to $100 million.

  • Announced a long-term revenue sharing agreement with Authentic Brands Group (“ABG”) to leverage their portfolio of brands and develop, market and distribute consumer cannabis products across the world. This global partnership will focus on CBD products in the United States and THC/CBD products in Canada, and elsewhere as regulations permit.

  • Acquired Manitoba Harvest, a hemp and natural foods producer in Winnipeg, Manitoba, for up to $317 (C$419) million, subject to certain revenue milestones. Manitoba Harvest distributes its products to over 16,000 retail locations in the United States and Canada.

  • Acquired Natura Naturals Holdings Inc., a licensed cannabis cultivation facility in Leamington, Ontario, for up to $53.4 (C$70.0) million, subject to certain cultivation milestones.

  • Invested $5.7 (C$7.5) million in Quebec-based cannabis producer ROSE Lifescience Inc. and entered into a sale, supply, distribution, and marketing agreement for ROSE to deliver adult-use cannabis products in Québec.

  • Acquired Alef Biotechnology SpA, a licensed cannabis company in Chile, which will allow Tilray to import, produce and distribute Tilray branded medical cannabis throughout Latin America.

  • Signed Supply Agreement for Hemp-Derived CBD from LiveWell Canada, which will be sourced from the United States and Canada and be used for wellness and medical products across North America.

  • Partnered with researchers at the Lambert Initiative for Cannabinoid Therapeutics at the University of Sydney to complete a study examining the effects of cannabis on driving and cognitive function.

  • Formed an International Advisory Board to provide guidance to the Company’s executive team and Board of Directors on global expansion.

  • Expanded global senior leadership team with six strategic hires: Andrew Pucher as Chief Corporate Development Officer; Greg Christopher as EVP of Operations; Rita Seguin as EVP of Human Resources; Dara Redler as General Counsel; Charlie Cain as VP of Retail; and Sascha Mielcarek as Managing Director Europe.

  • Completed a successful harvest of medical cannabis at the Company’s European Union campus in Portugal and expect multiple harvests in the coming months.


Conference Call
The Company will host a conference call to discuss these results today at 5:00 p.m. ET. Investors interested in participating in the live call can dial 877-489-6528 from the United States and 629-228-0736 internationally. A telephone replay will be available approximately two hours after the call concludes through Monday, April 1, 2019, by dialing 855-859-2056 from the United States, or 404-537-3406 from international locations and entering confirmation code 6093459.
 
There will also be a simultaneous, live webcast available on the Investors section of the Company’s website at www.tilray.com. The webcast will be archived for 30 days.

Tilray® Expands Global Leadership Team with Appointment of Chief Corporate Development Officer

Former Goldman Sachs Managing Director Andrew Pucher joins Tilray to lead the company’s global corporate development activity, including M&A and corporate investments

NANAIMO, B.C. - Today, Tilray, Inc. (NASDAQ:TLRY), a global pioneer in cannabis production, research, cultivation and distribution, announces the expansion of its global senior leadership team with the appointment of Andrew Pucher as Chief Corporate Development Officer. In his new role, Andrew will lead Tilray’s corporate development function, including the team that is responsible for M&A and corporate investments. He will be based in Toronto, ON, and report to CEO Brendan Kennedy. 

Andrew joins Tilray from Goldman Sachs, where he was a Managing Director and most recently served as Head of Canadian Diversified Investment Banking, which included coverage of the Canadian cannabis industry. Previously, he was a member of Goldman Sachs’ Global Healthcare Investment Banking Group in New York, where he advised on more than $200 billion in announced M&A and financing transactions, with a focus on the biopharmaceutical sector. Andrew is a graduate of Simon Fraser University and earned a JD/MBA from York University.

Brendan Kennedy, Tilray’s CEO, said, “We’re pleased to welcome Andrew to our senior leadership team to execute strategic transactions that will further accelerate Tilray’s long-term global growth. Andrew shares our commitment to a disciplined, strategic approach in pursuing inorganic growth opportunities. His transaction experience and industry knowledge will be valuable as we work to capitalize on the many strategic opportunities available to us and continue to pursue the disruptive potential of cannabis across industries including pharmaceuticals, alcohol, consumer goods, functional food and beverage, retail and nutraceuticals.”  

Recent Tilray transactions and partnerships include: forming a global partnership with Sandoz, a division of Novartis, to distribute its medical products; establishing a 50/50 joint venture with AB InBev, the world’s largest brewer, to develop THC and CBD beverages; signing an agreement to produce THC and CBD products for Authentic Brands Group portfolio of brands, which includes Muhammed Ali, Nine West, Spyder ski gear, Prince tennis wear, Marilyn Monroe, Juicy Couture and Elvis Presley; acquiring Natura Naturals Holdings, thereby increasing its cannabis supply; and most recently, announcing the acquisition of Manitoba Harvest, the world’s largest hemp company, accelerating the company’s entry into the natural foods space with hemp and CBD-infused food and wellness products for North America.

Over the past several months, Tilray has announced appointments to its senior leadership team, with executives from world-leading brands: Sascha Mielcarek joined Tilray from Grünenthal to become Managing Director, Europe; Greg Christopher joined from Nestle to become Tilray’s EVP of Operations; Rita Seguin came on board from Diageo to be Tilray’s EVP of Human Resources; Dara Redler, Tilray’s General Counsel worked previously at The Coca-Cola Company; and Charlie Cain as VP of Retail came from Starbucks Corporation.

Tilray® Announces Successful Medical Cannabis Harvest in Portugal and Provides Update on Rapidly Expanding European Operations

NANAIMO, B.C. – Tilray, Inc. (“Tilray” or “the Company”) (NASDAQ:TLRY), a global leader in cannabis research, cultivation, production and distribution, today announced that its wholly-owned subsidiary Tilray Portugal Unipessoal Lda. (“Tilray Portugal”) has completed a successful harvest of medical cannabis at the Company’s European Union (EU) Campus in Portugal.

 

Tilray’s EU Campus in Portugal is a multi-faceted production facility that includes indoor, outdoor and greenhouse cultivation sites, as well as research labs, processing, packaging and distribution sites for medical cannabis and cannabinoid-derived medical products. To date, Tilray has invested approximately €20 million in the facility, which totals approximately 250,000 square-feet with additional room to expand. Tilray’s EU Campus also serves as a hub supporting Tilray’s clinical research and product development efforts across Europe. Tilray’s EU Campus currently employs 100 people, and that number is expected to double by the end of 2019, with production ramping up and multiple harvests anticipated in the coming months.  

 

“Our harvest in Portugal is an exciting milestone for the company as we continue to build our multinational supply chain of high-quality medical cannabis,” said Sascha Mielcarek, Managing Director, Europe. “We look forward to utilizing the capacity of Tilray Portugal to supply the medical cannabis market in Europe as we expand our operations,”

 

Tilray was the first licensed medical cannabis producer to successfully import medical cannabis products into the EU and the first licensed medical cannabis producer in North America to obtain Good Manufacturing Practice (GMP) certification in accordance with the European Medicines Agency’s (EMA) standards. Tilray has established sales and distribution arrangements to distribute medical cannabis through major pharmaceutical distribution channels throughout Germany and the European Union. The Company has also formed a global alliance with Sandoz AG, a worldwide leader in generic pharmaceuticals and biosimilars and a part of Novartis group, to increase availability of high quality medical cannabis products around the world in jurisdictions where regulations permit.

 

In addition to its EU Campus in Portugal, Tilray currently operates multiple state-of-the-art production and processing facilities in Canada. Tilray looks forward to hosting an official ribbon-cutting event at its EU Campus in Portugal later this spring.

Tilray to Report Fourth Quarter and Full Fiscal Year 2018 Financial Results on March 18, 2019

 

NANAIMO, BRITISH COLUMBIA – Tilray Inc. (Nasdaq: TLRY), a global pioneer in cannabis production, research, cultivation and distribution, announced today it will report results for the fourth quarter and full fiscal year ended December 31, 2018 on Monday, March 18, 2019 after market close.

 

The Company will host a conference call to discuss these results at 5:00 p.m. ET. Investors interested in participating in the live call can dial 877-489-6528 from the U.S. and 629-228-0736 internationally. A telephone replay will be available approximately two hours after the call concludes through Monday, April 1, 2019, by dialing 855-859-2056 from the U.S., or 404-537-3406 from international locations, and entering confirmation code 6093459.

 

There will also be a simultaneous, live webcast available on the Investors section of the Company’s website at www.tilray.com. The webcast will be archived for 30 days.

Tilray® Announces Global Senior Leadership Appointments

Former Coca-Cola, Starbucks, Nestle and Diageo executives join pioneering cannabis company

NANAIMO, B.C - Today, Tilray, Inc. (NASDAQ:TLRY), a global pioneer in cannabis production, research, cultivation and distribution, announces the expansion of its global senior leadership team with four strategic hires: Greg Christopher as EVP of Operations, formerly with Nestle; Rita Seguin as EVP of Human Resources, formerly with Diageo; Dara Redler as General Counsel, formerly with The Coca-Cola Company; and Charlie Cain as VP of Retail, formerly with Starbucks Corporation.

 

“We are pleased to have these experienced leaders join our team as we continue to disrupt the global pharmaceutical, alcohol, CPG and functional food and beverage industries,” says Brendan Kennedy, Tilray CEO. “Greg, Rita, Dara and Charlie come to Tilray with robust expertise in their respective fields and we look forward to their contributions as we pioneer the future of cannabis around the world.”

 

Each of the recently hired senior leaders bring invaluable expertise to Tilray’s growing leadership team. Their roles will directly drive the development of Tilray’s robust operations, which have enabled Tilray to distribute its products in 12 countries, as well as accelerate the company’s aggressive global expansion strategy.  

 

  • Greg Christopher, Executive Vice President, Operations, joins Tilray with over 30 years of global experience in operations and supply chain across the many product categories at Nestle SA most recently serving as Senior Vice President of Supply Chain Operations for Nestle in Canada. Greg will oversee the strategic development and expansion of the company’s global operations and cannabis value chain across Tilray and all its subsidiaries.

  •  Rita Seguin, Executive Vice President, Human Resources, served as the Senior Vice President of Human Resources for Diageo North America and most recently as Vice President of Human Resources for Southern Glazers Wine & Spirits Distributors. Rita’s appointment represents Tilray’s commitment to the long-term growth and success of the people within the organization. She will oversee the synchronization of the company’s growing global team and recruitment of talent all over the world.

  •  Dara Redler, General Counsel, most recently served as Vice President and Senior Counsel for Coca-Cola North America and held a number of leadership roles in the legal division during her tenure at The Coca-Cola Company. In her role as Tilray General Counsel, Dara will oversee the strategic global growth of Tilray and all its subsidiaries with the legal team and work cross-functionally with all teams within the organization.

  • Charlie Cain, Vice President, Retail, served as Vice President of Concept Development and Franchising for Starbucks Corporation before joining the cannabis industry as CEO of Dockside Cannabis, one of Washington state’s original and most respected cannabis retail chains. Charlie brings more than 15 years of retail strategy, innovation, and operations experience to the development and oversight of Tilray and High Park’s North American retail strategy.