Atlas Global announces Canadian operations changes

CHATHAM and TEL-AVIV — Atlas Global Brands Inc., a cannabis company and manufacturer, says they are focused on cost reductions, savings and production efficiencies. In furtherance of those objectives, the Company will cease operations at its facility in Gunn, Alberta and liquidate the assets of its direct and indirect wholly-owned subsidiaries operating the site. Approximately 50 employees have been impacted by this decision.

All packaging activities have been relocated to the Company’s facility in Chatham, Ontario, which now serves as the Company’s Canadian hub for the processing of domestic and EU GMP flower and oils for international markets, enabling centralized manufacturing and maximizing production capabilities.

Also, in connection with the transition of operations to Ontario, the Company’s recent acquisition of GreenSeal which produces 3,500 kg annually of cannabis products, will support the production and distribution of brands domestically and internationally. GreenSeal’s nursery program will continue to expand Atlas Global’s genetics and innovation pipeline for new product development.

“We have achieved many significant milestones within the initial five months of listing on the CSE, including in particular securing a robust acquisition pipeline in Israel and completing the acquisition of GreenSeal in April,” said Mr. Yeung. “Ceasing operations at the Gunn, Alberta facility was an extremely difficult decision, that was not taken lightly. We are working diligently to strengthen our liquidity and secure our path for the future in a challenging market and believe ceasing operations in Gunn, Alberta is an important step towards executing on our objective of reducing costs, streamlining operations and increasing margins. We are confident that our existing operations in our Chatham and Stratford Ontario facilities will be able to produce the quantity and quality of cannabis required for current and future demand. We wish to thank the Gunn, Alberta team members for their contributions.” said Bernie Yeung, CEO, Atlas Global.

Since commencing trading on the CSE in January 2023, the Company completed the acquisition of GreenSeal on April 28, 2023, a GACP & CUMCS certified indoor growing facility located in Stratford, Ontario and entered into binding agreements for the acquisition of controlling interests in 6 pharmacies in Israel, as well as to acquire a trading house in Tel Aviv, which will be leveraged as an export distributor for all medical pharmacies.

After an end-to end review of its global operations, including the anticipated impact of these acquisitions on operations, Alvarez & Marsal Canada ULC was engaged as financial advisor to Atlas Biotechnologies Inc., a direct wholly owned subsidiary of Atlas Global, and Atlas Growers Ltd., an indirect wholly-owned subsidiary of Atlas Global and the operator of the Gunn, Alberta facility.