Canivate plans to disrupt the cannabis industry by solving some of the sector’s most serious and costly issues. Canivate’s proprietary facility design and automated growing system (patent pending) provides the ability to substantially increase per square foot yield, reduce operating costs, and decrease environmental impact – with the goal of producing the cleanest, greenest, purest cannabis.
This is the future of the industry. It’s The Canivate Way.
High-profile industry leaders in California – the U.S.’s largest cannabis market – have recognized the business value of the Canivate system, and through the exclusive independent operator (EIO) and its commercial cultivator, there are signed offtake agreements to supply some of the state’s most respected and successful cannabis brands.
Our proprietary facility design and automated growing system is aimed at redefining industry standards for cannabis and hemp cultivation. The technology provides the potential to substantially increase yield per square foot, reduce operating costs, provide consistent quality, and decrease the environmental impact of traditional greenhouses and indoor facilities. It is also expected to have significantly lower cost per gram on the market compared to conventional cannabis growing facilities. Our automated growing system is focused on providing a solution to the problems of consistent quality, meeting consumer demand, reducing operating costs, increasing profitability and lowering the environmental impact of cannabis cultivation.
This changes everything.
Through Canivate’s initial exclusive independent operator (EIO) and its commercial cultivator, there are signed offtake agreements to supply some of California’s most respected and successful cannabis brands.
Canivate’s business model is based on working with EIOs to build strategic relationships with professional cultivators and leading brands. The EIO contracts to operate the facility and the automated growing system. The EIO then works with cultivation professionals and the cannabis brands, which become offtake partners by contracting to purchase all of the cannabis produced at the facility.
Canivate’s IP technology results in low cost and high margins, supercharging profitability.
- Canivate’s methodology renders indoor growing environments and most
greenhouse environments obsolete
- Patent pending intellectual property for the facility design and automated growing system
- Partnered with some of the world’s largest and most experienced designers, builders
and consultants that are invested and aligned with the business
- Lead contractor is PFIEFER Fabritec, the world’s largest specialty cable contractor
with experience building FIFA and Olympic stadiums
ABILITY TO SCALE
- Able to deliver perceived gigafactory economics on a small-scale footprint through
our optimized facilities
- Facility design allows for easy replication to emplace high-yielding operations to meet
real demand in large and small markets
- Sustainable and profitable growth through Offtake Agreements with select customers
that represent some of the largest brands in California
- Selected customer relationships established for expansion with their brands across the U.S. and internationally
- Through Canivate’s exclusive independent operator (EIO) and its commercial cultivator, there is a total expected EBITDA to the Company of $45M* from offtake agreements
The cannabis industry went from black market to grey market to today’s environment: an open medical and recreational market. As the sector continues to grow, it continues to have systemic problems that need to be addressed immediately.
Commercial cannabis production puts too much stress on the electrical grid and other areas of infrastructure, including water supply. Growers face production issues such as pesticide drift in many regions, as well as mold, mildew and other pathogens. Feedback from consumers and retailers has found that access to consistent quality and quantity of product is a serious challenge.
Canivate’s IP is designed to address these issues; in fact, our proprietary facility design and automated growing system is focused on solving all of these issues. All of them, and without irradiation. Clean. Green. Pure. It’s more than just a tag line.
Currently, retailers – a market sector that does not have the expertise or capital to become commercial growers – are challenged in finding a consistent, high-quality, clean, green and pure product that is also environmentally friendly. This problem is being magnified in the media as consumers increasingly demand higher quality products.
Cannabis consumers are informed, engaged and active on social media – and meeting their expectations is crucial to the success of any business in this evolving sector. If the cannabis industry is going to thrive long-term, letting the consumer down needs to stop. It’s time to listen and act. Providing consumers with what they want – what they are demanding.
Canivate has designed a cannabis growing solution to address these serious issues – with the objective of increasing profitability for partners throughout the supply chain. Everything is about to change. It’s The Canivate Way.
This is how:
- Canivate’s proprietary facility design and automated growing system allows for amplified plant growth, higher crop yield, and is environmentally friendly;
- The facility design – which supports the growing process much like its own ecosystem – can efficiently operate in extreme heat or cold, allowing facilities to be built around the world;
- The automated growing system will be fully automated with limited human intervention, resulting in daily harvesting;
- Uses cultivars whose genetic profile is optimized for growth using The Canivate Way;
- Canivate licensees can consistently provide top retailers and brands with high-quality, clean, green, pure and environmentally friendly products in large quantities; and
- Canivate’s scalability allows the Company to nimbly and strategically address geographically diverse market opportunities and demand.
Canivate is the only company offering an ecosystem approach like this. We are creating a tomorrow that is Clean. Green. Pure. And we’re doing it today.
At the heart of the Canivate business model is our ability to:
- Facilitate offtake agreements, through our exclusive independent operators (EIOs), with select customers who represent strong brands with a potential for U.S. expansion;
- Facilitate a framework for our licensee agreements with experienced commercial grower partners;
- Clearly define the ability to scale;
- Be structured to allow legal operation and access to funds; and
- Leverage co-branding to reinforce Canivate’s brands.
- Through Canivate’s exclusive independent operator (EIO) and its commercial cultivator, there are signed offtake agreements which will produce estimates of a minimum of 6,500 kg annually for each growing facility (these are low-end estimates – total expected production among signed agreements is 19,500 kg);
- Pricing will be based on the Cannabis Benchmarks Index Indoor Price for our contracts;
- Potential for incremental EBITDA increase for trim, extraction, packaging, by-products and other value-add opportunities for the EIO; and
- Offtake agreements are secured by a performance bond (purchase guarantee).
Canivate’s value proposition is straightforward:
- An optimal growing environment;
- Environmentally friendly growing system and facility;
- Daily harvests;
- USA organic equivalent;
- Low-cost producer; and
- The only Clean. Green. Pure. producer in the market.
This makes us more than unique. It makes us the leader in the industry.
Each Canivate facility is custom-built. The average facility is planned to approximately 56,000 sq. ft. with 22,000 sq. ft. of flowering canopy that is expected to produce 8,878 kilograms annually.
Canivate’s cultivation facilities have been designed to enable its operators to be low-cost producers, with considerable advantages when compared to conventional growing systems as a result of:
- Using up to 90% less energy compared to indoor grow operations;
- Requiring up to 50% reduction in cultivation labor costs;
- Enabling up to 90% atmospheric water collection;
- Requiring up to 40% less fertilizer usage; and
- Significantly reducing crop failure.
Canivate Hydroponics System
The Canivate hydroponics system is designed to provide:
- Faster uptake of nutrients;
- Higher crop yields in smaller spaces;
- Efficient use of water;
- Precise and consistent growth cycles; and
- Reduced contamination and pest risk.