viewThe Flowr Corporation

The Flowr Corporation goes into high gear to ramp up operations at Kelowna cannabis facility


Flowr hit a big milestone in February when it received approval from Health Canada to open 10 additional grow rooms at its flagship Kelowna 1 cultivation facility

The Flowr Corporation -

Quick facts: The Flowr Corporation

Price: 0.45 CAD

Market: TSX-V
Market Cap: $64.98 m
  • World-class cultivation assets with Kelowna indoor facility expected to produce around 10,000 kilograms of premium flower annually
  • Ramping up operations at Kelowna thanks to recent Health Canada approval to open 10 additional rooms
  • Strategic acquisition of Holigen provides ability to dramatically increase global scale

What The Flowr Corporation does:

The Flowr Corporation (CVE:FLWR) (OTCMKTS:FLWPF) is at its core, a cannabis cultivator.

The Toronto-based company builds and operates large-scale, GMP-designed facilities that utilize proprietary growing methods to produce high-quality bud for recreational and medicinal usage.

Its flagship Kelowna production facility is now fully licensed and expected to produce around 10,000 kilograms of premium flower annually once operations scale up.

Flowr Forest, an outdoor grow area located on the Kelowna campus, gives the company the ability to produce up to an additional 10,000 kilograms of cannabis for derivative form factors. 

With CEO Vinay Tolia at the helm, the team has unique experience growing premium product at scale and expertise in facility design and cultivation. The Flowr team designed and built 17 facilities under previous programs and are directly responsible for three producer licenses.

The Kelowna facility is more than just an indoor cultivation centre. Its current operation has 20 grow rooms measuring about 1,730 square feet each with a 34,600 square foot canopy. When fully operational, the anticipated 85,000 square feet facility is expected to produce around 10,200 kilograms of bud.

The facility also houses North America’s first research and development facility dedicated to advancing cannabis cultivation techniques. The 50,000 square foot lab, grow space and training area is a partnership with Hawthorne Canada Limited, a subsidiary of The Scotts Miracle-Gro Company (NYSE:SMG).

Flowr’s distribution strategy is buoyed by two significant partnerships that help the cannabis company to deliver its product to Canadian and international consumers, anchored by its relationship with Canada's largest pharmacy chaing Shoppers Drug Mart.

How is it doing:

Flowr hit a big milestone in February when it received approval from Health Canada to open 10 additional grow rooms at its flagship Kelowna 1 cultivation facility in the fertile Okanagan Valley of British Columbia, which is now fully operational. 

The approval brings the total number of rooms to 20, doubling the company’s capacity to grow premium, indoor flower at the facility. The newly licensed area also includes automated packaging equipment to reduce labor costs and the cost of goods sold, noted the company.

With the green light from Health Canada, the company plans to immediately begin phasing in the propagation of the additional grow rooms.

It also starts the year with new financing options available. In January, the firm unveiled a preliminary short-form base-shelf prospectus with securities regulators in each province of Canada, except for Quebec, that would allow the company to offer up to $175 million in securities. 

Inflection points:

  • Phased expansion at Kelowna facility: 40-acre site focused on outdoor and greenhouse plants for extraction
  • First cannabis harvest from Portugal operations

What the boss says:

Flowr CEO Vinay Tolia told Proactive in a recent interview that in order to grow premium flower, it has to be grown in a controlled indoor environment. Health Canada’s approval of the new facility is a huge boost for the company.

“This means our flagship facility is finally completely operational,” Tolia said.

“All 20 rooms are licensed and will be populated with plants in the coming months. It’s a full-blown production facility. The approval also licenses our automatic packaging line, meaning we’ll tremendously increase our efficiency.”

Contact Angela at angela@proactiveinvestors.com

Follow her on Twitter @AHarmantas

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