VIS:CC - Visionstate Corp. portfolio company Freedom Cannabis completes acquisition

(TheNewswire)

Acquisition to boost Freedom’srevenue and market share

Edmonton, Alberta – TheNewswire - September 19, 2022 – Visionstate Corp. (TSXV:VIS) (OTC:VSSSF) (“Visionstate” or the “Company”) is pleased to announce that portfolio company Freedom CannabisInc., a Canadian producer of premier cannabis products, has signed adefinitive agreement to acquire the assets of Calgary-based BoazPharmaceuticals Inc. ( boazpharm.com ).

The acquisition of Boaz is expected to double therevenue for Freedom Cannabis as it expands its growing footprint.Visionstate is an early investor in Freedom Cannabis and ownsapproximately 3.2 million shares.

With 126,000 square feet of cultivation andmanufacturing space, the Boaz assets are expected to double theproduction capacity of Freedom’s existing facility and provideentrance into cannabis 2.0 products. The Boaz assets consist primarilyof 44 specially repurposed shipping containers equipped with newtechnologies to produce superior quality crops and higher yields. Thecontainers provide opportunities for scalability and ease ofinstallation and allow for expansion of new cannabis strains. Eachcontainer is expected to hold approximately 850 cannabis plants andyield approximately 40,000 grams.

Key Transaction Highlights:

• Expands production capacity: The containers are expected to double theproduction capacity of the existing facility.

• Lower production costs: The containers are outfitted with innovative technology whichwill increase yields and lower operating costs to contribute to costefficiencies.

• Enhances branded product: Boaz has a series of cannabis 2.0 products whichwill be integrated and expanded upon to provide diversification inFreedom’s product offering to retail consumers. In addition, Boazhas an extensive catalog of cannabis strains with the ability tosupply those strains to customers.

• Shareholder value: The transaction will deliver additional EBITDA toshareholders through synergies and other strategic initiatives.

• Equity Investment: The principal shareholders of Boaz have committed toinvesting $1.8 million into Freedom Cannabis providing the Companyadditional working capital and demonstrating Boaz’s commitment toFreedom Cannabis.

“This is an exciting step toward our vision ofexpanding the scale of our quality cannabis products, whilecontributing to overall shareholder value,” explained JohnfrankPotestio, CEO of Freedom Cannabis. “Boaz has a demonstrated historyof producing quality craft cannabis and will integrate seamlessly withour own products.”

The acquisition will provide Freedom Cannabis withadditional packaging equipment for the Company’s fast-growingservices division, additional growing capacity to meet the risingdemand for retail products across Canada and secure a foothold intothe cannabis 2.0 market.

Additionally, Freedom will acquire all inventory forBoaz and product SKUs currently offered throughout Canada, includingin provinces currently not served by Freedom Cannabis, particularly inthe Maritimes where Boaz has a strong market presence.

Freedom Cannabis will also be acquiring importantintellectual property assets, including IP associated with Boaz’sextracts division and K-Cup product which is a unique cannabis-infusedcoffee drink.

“This acquisition demonstrates our commitment torevenue growth and increasing shareholder value,” explainedPotestio. “Freedom Cannabis is quickly becoming one of the most wellrecognized and respected brands in the cannabis sector, and theacquisition of Boaz is another step in that direction.”

About Freedom Cannabis

Freedom is a leader in the cannabis industry with afocus on servicing the adult recreational market. Headquartered inAcheson, Alberta, Freedom is focused on changing lives and becoming acult-like brand through growing quality cannabis. Driven by scienceand innovation, and with a focus on high quality cannabis products,Freedom continues to focus on meeting the needs of the adult cannabisrecreational market.

About Visionstate Corp.

Visionstate Corp. (TSXV: VIS) is a growth-orientedcompany that invests in the research and development of promising newtechnology in the realm of the Internet of Things, big data andanalytics, and sustainability. Through Visionstate Inc., it helpsbusinesses improve operational efficiencies, reduce costs and elevatecustomer satisfaction with its state-of-the-art devices that track andmonitor guest activities and requests. The footprint of its WANDA™smart device now extends to hospitals, airports, shopping centres andother public facilities across and beyond North America. Throughbuilding up a collection of synergistic technologies, VisionstateCorp. will continue to innovate, reduce environmental impact andtransform consumer experiences.

Issued on behalf of the Board of Directors,

“John A. Putters”

Visionstate Corp.

Neither the TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in the policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this release.

Forward-Looking Statements

Certain information set forth in this material maycontain forward-looking statements that involve substantial known andunknown risks and uncertainties. All statements other than statementsof historical fact are forward-looking statements, including, withoutlimitation, statements regarding future financial position, businessstrategy, use of proceeds, corporate vision, proposed acquisitions,partnerships, joint-ventures and strategic alliances andco-operations, budgets, cost and plans and objectives of or involvingthe Company. Such forward-looking information reflects management'scurrent beliefs and is based on information currently available tomanagement. Often, but not always, forward-looking statements can beidentified by the use of words such as "plans","expects", "is expected", "budget","scheduled", "estimates", "forecasts","predicts", "intends", "targets","aims", "anticipates" or "believes" orvariations (including negative variations) of such words and phrasesor may be identified by statements to the effect that certain actions"may", "could", "should","would", "might" or "will" be taken,occur or be achieved. A number of known and unknown risks,uncertainties and other factors may cause the actual results orperformance to materially differ from any future results orperformance expressed or implied by the forward-looking information.These forward-looking statements are subject tonumerous risks and uncertainties, certain of which are beyond thecontrol of the Company including, but not limited to, the impact ofgeneral economic conditions, industry conditions and dependence uponregulatory approvals. Readers are cautioned that the assumptions usedin the preparation of such information, although considered reasonableat the time of preparation, may prove to be imprecise and, as such,undue reliance should not be placed on forward-looking statements. TheCompany does not assume any obligation to update or revise itsforward-looking statements, whether as a result of new information,future events, or otherwise, except as required by securitieslaws.

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