If Benchmark Botanics is unable to secure additional financing, they might have to scale back operations in Pitt Meadows. (Black Press files)

If Benchmark Botanics is unable to secure additional financing, they might have to scale back operations in Pitt Meadows. (Black Press files)

Pitt Meadows cannabis cultivator might make cuts

Benchmark Botanics Inc. announced it has financial liquidity issues

A B.C. cannabis cultivator with greenhouse operations in Pitt Meadows is currently facing financial liquidity issues according to a March 9 press release.

Benchmark Botanics Inc. announced it is actively exploring various options to address the issues including: increasing its sales from inventory, cutting operating costs, restructuring its operations, and undertaking an equity and/or debt financing.

The company has operated a four-acre grow facility in Pitt Meadows since receiving its cultivation licence in November, 2019.

It did not respond to questions around how many local employees addressing their financial issues would potentially affect.

READ MORE: Canopy Growth cuts 500 jobs as it closes two cannabis greenhouses in Lower Mainland

Benchmark did say if additional financing terms are not acceptable to the company, it will be required to reduce the scope of its operations and defer planned expansions.

At the end of December, Benchmark suspended operations at Potanicals Green Growers in Peachland, B.C. for three months to reduce operating costs.

“”We will continue working to reduce operating costs and improving the Company’s financial performance,” said chief executive office, William Ying, after the suspension.

Additionally, Benchmark said it has granted an aggregate of 500,000 stock options to purchase common shares to a director and an officer of the company on March 5.

The company identifies itself as a diversified multi-licensed cannabis producer focused on a three-way vertical business model targeting the medical, pharmaceutical and recreational markets in Canada.

Its business plan also includes a strategy to become a Canadian licensed producer to pioneer selling medical cannabis and hemp throughout Asia, in countries where it is legal to do so.


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