4Front Ventures is constructed upon battle-tested working capabilities, skilled and aligned management, a strategic, multi-state asset base, and a dedication to being a magnet for expertise.

VANCOUVER, BC, and PHOENIX, AZ, July 31, 2019 – Cannex Capital Holdings Inc. (CSE: CNNX; OTCQX: CNXXF) (“Cannex”) and 4Front Holdings LLC (“4Front”) announce the closing of their merger and the creation of 4Front Ventures Corp. (“4Front Ventures”).

  • New Ticker Image – FFNT. 4Front Ventures will commerce on the Canadian Securities Change (“CSE”) underneath the brand new ticker “FFNT,” starting on Tues., Aug. 6, 2019.
  • To permit for present Cannex’s shareholders brokerage data to replace with the brand new FFNT shares, CNNX is not going to commerce on Aug. 1 and 2, 2019. This updating is outdoors of Cannex’s or 4Front Ventures’ management. If shareholders’ data usually are not up to date by Aug. 6, they need to contact their brokerage for extra info.
  • As a newly created issuer, 4Front Ventures will instantly pursue an OTC Markets citation, and can advise as updates on the method can be found. Throughout this time, it’s anticipated that Cannex’s OTCQX citation (OTCQX: CNXXF) shall be withdrawn till 4Front Ventures’ registration is full.
  • convention namefor buyers shall be held by Josh Rosen, co-founder and CEO of 4Front, and persevering with CEO of 4Front Ventures, on Fri., Aug. 2, at 11 a.m. ET (particulars under).

The CSE has confirmed that 4Front Ventures, which now owns and operates the belongings of Cannex and 4Front, will start buying and selling on Aug. 6, 2019, underneath the ticker image “FFNT,” and can challenge a confirmatory bulletin shortly. An organization convention name hosted by Josh Rosen, co-founder and CEO of 4Front, who will proceed to function CEO of 4Front Ventures, shall be held on Fri., Aug. 2, at 11 a.m. ET (particulars under).

The merger combines Cannex’s large-scale cultivation and manufacturing capabilities, as demonstrated by its portfolio of profitable product manufacturers, with 4Front’s current strategic asset base and its long-standing retail, regulatory, and development capabilities. The result’s a cannabis firm constructed for the lengthy haul.

“This can be a marriage of complementary groups and talent units,” Rosen mentioned. “The 4Front workforce traces its retail heritage to Harborside, an trade pioneer and some of the well-respected cannabis dispensaries within the nation, whereas the Cannex management workforce has completed a exceptional job creating manufacturing capabilities which have enabled its manufacturers to maintain market management in a extremely aggressive Washington State market.”

Rosen added: “With this merger full, 4Front Ventures now has an incredible base from which to quickly broaden inside new and current markets by making use of what we’ve realized in essentially the most aggressive market within the nation. Whereas we’ve been diligent at rising our footprint when it made sense, we’ve invested as a lot effort and time into constructing a workforce and techniques which are each essential and capable of efficiently scale operations. As we’ve seen available in the market as much as right now, buying belongings is straightforward; it’s working them that’s arduous.”

Highlights of 4Front Ventures

  • Battle-tested working capabilities

o    Cannex manufacturing heritage in Washington – its strategic working tenant, Northwest Hashish Options (“NWCS”), manufactures greater than 100,000 cartridges, 200,000 edible packs, and 200,000 prerolls per quarter

o    Cannex manufacturers maintain the #2 market place in flower gross sales in Washington State and have related management positions throughout infused product classes, with over twenty manufacturers supporting 300 product SKUs for NWCS

o    4Front’s retail heritage traces again to Harborside in 2011 – it has helped rise up, employees and function greater than 20 dispensaries in 9 states since 2011

o    4Front’s regulatory experience stems from its preliminary advisory and licensing enterprise; its regulatory workforce has helped safe greater than 60 working licenses throughout 10 states

  • Strategic, multi-state asset base

o    4Front Ventures has organized its enterprise into three divisions: Brightleaf (manufacturing), Mission (retail), and Pure Ratios (wellness).

  • Brightleaf will instantly oversee six cultivation and manufacturing services in Washington, Illinois and Massachusetts. The corporate additionally has the licenses in place to develop product manufacturing services in Arizona and California.
  • Mission at the moment operates 11 cannabis dispensaries in seven states. The corporate expects it would organically personal, function, or handle 12 retail areas by the top of 2019.
  • Pure Ratios sells wellness merchandise that marry cannabinoids with conventional Jap Drugs components, in addition to a line of hemp-derived CBD merchandise offered nationwide.

o    Enterprise improvement workforce prioritizing natural new market alternatives and potential acquisition prospects possessing differentiated working capabilities

  • Skilled and aligned management

o    Since inception, 4Front’s management has invested >US$eight million alongside outdoors buyers

o    Strategic and invested management with a fantastic mixture of trade OGs[1] and rising trade expertise

  • Josh Rosen, CEO of 4Front Ventures
  • Leo Gontmakher, COO of 4Front Ventures, President of Brightleaf (Manufacturing), founding father of NWCS
  • Kris Krane, President of 4Front Ventures
  • Leise Rosman, Chief Progress Officer of 4Front Ventures
  • Glenn Backus, President of Mission (Retail)
  • Chad Conner, CEO of Pure Ratios (Wellness, together with hemp-derived CBD)

o    Deep bench of working expertise with tenure, examples embrace:

  • Dannie Yi — Extraction guru working with Leo since NWCS inception
  • Moisey Fokina — Facility design and optimization lead since NWCS inception
  • Ilya Rudnev — Grasp confectioner at NWCS since inception
  • Don Schaefer — Sweetgreen alum joined 4Front in January 2014
  • Leah Heise — Regulatory compliance lawyer, former CEO of Girls Develop
  • Dedication to being a magnet for expertise

o    Persons are our most vital asset – 4Front Ventures employs roughly 300 folks and over 550 when together with strategic companions comparable to NWCS

“Since our founding as an advisory agency serving to firms win licenses and open dispensaries, we’ve taken our trade management critically,” mentioned Kris Krane, 4Front’s co-founder and President, and President of the brand new 4Front Ventures. “We’ve invested closely in our workforce, together with the event of a retail employees coaching curriculum that’s expanded significantly, and extra just lately production-staff and management coaching applications to permit us to extra effectively scale the human capital main and working our current and future operations. My favourite praise to obtain from friends is how a lot they admire interacting with our workforce.”

Further Administration Commentary

Anthony Dutton, CEO of Cannex and turning into Managing Accomplice, 4Front Worldwide for 4Front Ventures:

“In 4Front, Cannex has discovered an organization that shares our perception that operations matter. Each firms have invested closely in operations and constructing techniques that can scale to new and increasing markets. Making use of these capabilities and executing on the expansion alternatives forward of us will go far in optimizing shareholder worth.”

Leo Gontmakher, COO of Cannex, COO on the new 4Front Ventures, and President of Brightleaf, the corporate’s manufacturing arm:

“We introduced this merger again in November, so our respective groups have had loads of time to work collectively on technique and the way finest to method present and future alternatives. We at the moment are able to hit the bottom operating, collectively and seamlessly,” Gontmakher mentioned. “At Cannex, our basis is figuring out how one can effectively produce high quality, standard merchandise. That basis paid off, even because the Washington market grew to become extra aggressive. Cannex’s manufacturers continued their success by rising share, with NWCS largely offsetting pricing stress with elevated quantity and efficiencies. Due to our expertise, we’ve solved and iterated on options to issues our rivals in nascent markets haven’t even contemplated but.

“Regardless of this transaction taking substantial time to shut, we’ve been arduous at work getting ready to introduce Cannex merchandise into new markets, beginning with Massachusetts, and I sit up for sharing our progress quickly.”

Board of the Ensuing Issuer

The board of administrators of the ensuing issuer is comprised of 5 administrators: Rosen; Gontmakher; Dutton; David Day by day, founder and CEO of Gravitron LLC; and Eric Rey, founder and former CEO of Arcadia Biosciences Inc. Biographies of all administrators and officers of the ensuing issuer will be discovered within the itemizing assertion, which is offered on

Strategic Asset Base

o    First Era:  Tumwater, Wash. — Building full in 2014. 72,000 sq. ft. cultivation facility with 2018 yields reported at >350 grams per cover sq. foot by NWCS. A further 56,500 sq. ft. of processing area that manufactures greater than 100,000 cartridges, 200,000 edible packs, and 200,000 prerolls per quarter by NWCS

o    Second Era:  Elma, Wash. — Building full in 2016. 60,000 sq. ft. cultivation facility with 2018 yields reported at >400 grams per cover sq. foot by its working accomplice

o    Third Era: 

  • Georgetown, Mass. — 67,000 sq. ft. facility that features cultivation and manufacturing
  • Worcester, Mass. — 21,700 sq. ft. facility that features cultivation and manufacturing
  • Elk Grove Village, Unwell. — 94,000 sq. ft. constructing that features cultivation and manufacturing
  • Commerce Metropolis, Calif. —190,000 sq. ft. manufacturing facility underneath improvement
  • Mission (Retail)

o    Massachusetts — Three dispensaries licensed for medical operations, with grownup use expansions pending; further Mission shops within the works by means of model licensing agreements

o    Illinois — One dispensary with further location within the queue after passage of adult-use invoice

o    Pennsylvania — One dispensary working, with two further areas licensed and underneath improvement

o    Maryland — Three dispensaries working underneath licensing agreements; one dispensary to open pending regulatory inspection

o    Arkansas – One dispensary working, with two further areas licensed and underneath improvement

o    Arizona — One dispensary

o    Michigan — One dispensary

o    Proprietary formulations created by longtime practitioners of Jap medication

Further Particulars on the Merger

The merger was accomplished by means of a plan of association settlement underneath the British Columbia Enterprise Firms Act (the “Association Settlement”). Pursuant to the phrases of the Association Settlement, the previous homeowners of 4Front exchanged, by means of a sequence of transactions, their respective pursuits in 4Front in alternate for a complete of 340.four million shares within the ensuing issuer when calculated as if all share courses had been transformed to Subordinate Voting Shares. Upon the closing of the Association Settlement, the ensuing issuer would have a primary whole of 530.9 million shares, when calculated as if all share courses had been transformed to Subordinate Voting Shares, and a completely diluted whole of 635.4m shares when calculated on the identical foundation. For additional particulars concerning the ensuing issuer’s share construction, the rights of assorted share courses, and additional particulars concerning the Association Settlement, please see the ensuing issuer’s itemizing assertion, out there at As well as, see Cannex’s info round dated March 19, 2019, and filed underneath Cannex’s SEDAR profile ( on March 27, 2019.

Moreover, the holders of A number of Voting Shares (as described within the itemizing assertion and data round referred to above), which, in mixture, maintain larger than 60% of voting management of the ensuing issuer, have executed a Coattail Settlement with the ensuing issuer and the Switch Agent of the ensuing issuer (Alliance Belief Firm), which gives sure further rights to Subordinate Voting Shares. Major amongst these rights is the power to “tag alongside” if there’s a bid made for solely A number of Voting Shares. Additional particulars can be found underneath 4Front Ventures’ SEDAR profile (

Letter of Transmittal

For those who maintain Cannex widespread shares or Cannex Class A restricted voting shares (collectively, the “Cannex Shares”) by means of a dealer or different particular person, please contact that dealer or different particular person for directions and help in receiving the ensuing issuer shares in respect of such Cannex Shares. If you’re a registered Cannex shareholder, you need to full and return the letter of transmittal for the merger (the “Letter of Transmittal”) with the certificates(s) or DRS Assertion(s) representing your Cannex Shares and different required paperwork and devices, to the depositary, Alliance Belief Firm, in accordance with the instruction set out within the Letter of Transmittal so the consideration on your Cannex Shares will be despatched to you as quickly as potential. The Letter of Transmittal accommodates different procedural info associated to the merger and needs to be reviewed rigorously. A duplicate of the Letter of Transmittal was filed underneath Cannex’s SEDAR profile on March 27, 2019. You probably have any questions or require extra info concerning the procedures for finishing the Letter of Transmittal, please contact the depositary, Alliance Belief Firm, at (403) 237-6111 or 1-877-537-6111 (Toll Free). You may also electronic mail the Depositary at [email protected].

Convention Name Particulars

4Front Ventures will maintain its first convention name for buyers on Fri., Aug. 2, at 11 a.m. ET. Be part of by dialing 1-877-407-0792 toll free from america or Canada or 1-201-689-8263 if dialing from outdoors these international locations. 

For those who’re unable to affix Friday’s name, it will likely be out there till Aug. 9 for replay by dialing 1-844-512-2921 toll free from america and Canada, or 1-412-317-6671 if dialing from outdoors these international locations, and utilizing this replay pin quantity: 13693368.




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