Canadian CANNAINVESTOR Magazine September 2018 | Page 139

CCIM: Interesting … I think our readers are quickly seeing the value of Q&A’s especially with a company as diverse as GTEC because you are plainly and succinctly explaining your business in ways that just cannot be done in social media, bulletin board, or on writing or sharing platforms. So let’s continue as I myself have learned more about GTEC in these few minutes then I could have ever imagined.

Congratulations on the Dealer’s License to Zen Labs (readers – click here for this news release). For our readers who may not be aware of what a Dealer’s License is and what it means to GTEC and your current and potential investors, can you quickly advise …..

GTEC: Under the current ACMPR regulations, cannabis cultivators operate as “Licensed Producers” and other cannabis-related businesses operate as “Licensed Dealers”. The Zen Labs Dealers License allows us to perform analytical testing on cannabis and cannabinoids. We also plan to apply for amendments to this Dealers License to facilitate other value-added cannabis businesses (e.g. oil extraction, R&D, import/export).

CCIM: Cheers and because it is topical … an LP with a Dealer’s License (only) does not follow IAS41 because they are not growing or cultivating.

Will Zen labs expand what it tests for? What I mean … a concern or beef I often hear is that people with medical conditions have voiced a frustration as typically an LP’s strain reports on THC, CBD and perhaps a range of terpenes.

THCA and THCV for example are showing to be preliminarily promising with respect to specific medical conditions. THCV, for example, for diabetes, bowel related syndromes, etc and is also an appetite suppressant. THCA is demonstrating many of the benefits of CBD without the need to be heated (the decarb process). Is such a breakdown something you would look at?

GTEC: Zen Labs has a broad range of testing equipment and analytical capabilities related to cannabis. Moreover, while cannabis testing protocols are quite comprehensive, there is no requirement to disclose all of these parameters to the consumer. As the market evolves we may see greater disclosure, either due to changes in regulations, or because it has potential to generate competitive advantage with cannabis consumers.

CCIM: Who would you consider to be your major competitors?

GTEC: Sales of organic products have grown steadily in recent years; moreover, organic products offer superior profit margins to non-organic products. Since GreenTec is a craft cannabis company, focused on producing high quality products, it makes sense for organic products to be part of our portfolio. Therefore, GreenTec is planning to become one of the first companies in Canada producing nationally certified organic cannabis.

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