Delta 9 Extends Partnership with Canopy Growth; Joins CraftGrow Program

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WINNIPEG, Nov. 28, 2017 /CNW/ - DELTA 9 CANNABIS INC. (TSXV: NINE) ("Delta 9" or the "Company") has entered into a national distribution agreement with Canopy Growth Corporation ("Canopy Growth")(TSX:WEED), the country's largest producer and distributor of cannabis under the Access to Cannabis for Medical Purposes Regulations ("ACMPR").

Under the agreement Delta 9 will offer their already well established cannabis products through the curated CraftGrow line via Tweed Main Street's online store.

The agreement extends the existing cooperation between Delta 9 and Canopy Growth. In July this year the two companies jointly submitted an Expression of Interest outlining their proposed participation in the Manitoba market, including supply and distribution functions where possible with both companies pursuing privately owned and operated retail.

"Our company is excited to further our growing partnership with Canopy Growth," said Delta 9 CEO John Arbuthnot. "We are already working closely on a project to jointly serve the growing market in Manitoba; this project brings Delta 9's craft grown cannabis products to a wider national audience through Canopy Growth's well-established CraftGrow network."

Delta 9 was founded in 2012, and quickly became the fourth fully licensed producer and distributor of medical cannabis in Canada. Currently operating an 80,000 sq. ft. production facility in East Winnipeg, Delta 9 is focused on growing small batch, hand trimmed medical cannabis strains in its innovative, self-designed Grow Pod systems.

As Manitoba has recently unveiled its proposed cannabis distribution model, which includes private sales, Delta 9 will collaborate with Canopy Growth to pursue the provincial authorization needed to serve the local market with consistent high-quality standardized cannabis products, while gaining access to consumers across the country through Canopy Growth's online marketplace: www.tweedmainstreet.com.

 "We recognize the varied needs of our patients and through the CraftGrow program we aim to bring them the highest quality products from a variety of producers that each bring a unique offering forward," said Mark Zekulin, President of Canopy Growth. "Delta 9 is the ninth participant in the CraftGrow program but the first established producer with years of experience operating as a vertically integrated business itself. We want to promote the value of our platform approach and welcoming Delta 9's products to our shop speaks volumes about the program itself."

As announced last week, Delta 9 is rapidly expanding its production to meet the expected increase in demand following legalization of recreational cannabis. The company began construction this week on an additional 143 grow pods at its Winnipeg facility, each capable of producing between 30 to 32 kilograms of craft cannabis annually.

About Delta 9 Cannabis Inc.
Delta 9's wholly-owned subsidiary, Delta 9 Bio-Tech Inc., is a licensed producer of medical marijuana pursuant to the ACMPR and operates an 80,000 square foot production facility in Winnipeg, Manitoba, Canada. Delta 9's shares trade on the TSX Venture Exchange under the symbol "NINE".

About Canopy Growth Corporation
Canopy Growth is a world-leading diversified cannabis company, offering distinct brands and curated cannabis varieties in dried, oil and capsule forms. Through its wholly-owned subsidiaries, Canopy Growth operates numerous state-of-the-art production facilities with over 700k sq. ft. of licensed production, over 500k sq. ft. of which is GMP-certified. Looking forward to 2018, Canopy Growth and its affiliates are developing a production platform that will represent 3.2 million sq. ft. of indoor and greenhouse production capacity, all operated with world-leading production, quality assurance procedures, value-add post processing, research, and testing. Canopy Growth has established partnerships with leading sector names in Canada and abroad, with interests and operations spanning seven countries and four continents. The Company is proudly dedicated to educating healthcare practitioners, providing consistent access to high quality cannabis products, conducting robust clinical research, and furthering the public's understanding of cannabis. For more information visit www.canopygrowth.com. 

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

Disclaimer for Forward-Looking Information

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company's future business plans and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward looking statements in this news release include statements relating to: (i) Delta 9's expansion plans; (ii) Delta 9's production of cannabis; (iii) approvals for Delta 9's production facilities by Health Canada; (iv) demand for Delta 9's products; and (v) Delta 9's cost to produce its grow pods. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including that Delta 9's currently contemplated expansion and development plans may cease or otherwise change, Delta 9's production of cannabis may be lower than expected, Delta 9 may not obtain the required approvals from Health Canada, demand for Delta 9's products may be lower than anticipated, Delta 9's cost to produce its grow pods may be higher than expected and all other risk factors set forth in the filing statement of Delta 9 dated October 25, 2017 which has been filed on SEDAR. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Readers are urged to consider these factors carefully in evaluating the forward-looking statements contained in this news release and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by these cautionary statements. These forward-looking statements are made as of the date hereof and the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.

SOURCE Delta 9 Cannabis Inc.