Rubicon Organics acquires Hope facility to accelerate cannabis growth strategy

Rubicon Organics (ROMJF) announced the closing of its acquisition of an operational, purpose-built 47,500 sq. ft. indoor cultivation facility in Hope, British Columbia. The acquisition is a key milestone in Rubicon’s growth strategy to expand premium and certified organic cannabis production. The Hope Facility spans 47,500 square feet of purpose-built indoor capacity and is equipped with advanced cultivation technology, supporting Rubicon Organics’ strategy to expand its premium product offerings and increasing supply to meet rising demand. The Company estimates annual production capacity of the Hope Facility to be up to 4,500 kgs, representing more than a 40% increase compared with our current annual production capacity from the Delta Facility, bringing total annual production capacity to 15,500 kg of premium cannabis. Pending licensing timing expected sometime in the summer, we expect all cultivation rooms to be planted by the end of 2025 with full production capacity level targets reached by the end of 2026. While we plan to outlay just over $3M in operating startup costs during 2025, we do not expect revenue contribution until the first half 2026.