INVESTOR PRESENTATION - August 2020 - Seeking Alpha
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INVESTOR PRESENTATION
August 2020
Disclaimer
Forward Looking Statement
This Presentation contains forward-looking statements that relate to the Company’s current expectations and views of future events and should be read together with the more detailed information and
financial data and statements available on the Company’s SEDAR profile at SEDAR.com. This Presentation does not contain all of the information you should consider before purchasing securities of the
Company.
In some cases, these forward-looking statements can be identified by words or phrases such as “may”, “might”, “will”, “expect”, “anticipate”, “estimate”, “intend”, “plan”, “indicate”, “seek”, “believe”,
“predict” or “likely”, or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The Company has based these forward-looking statements on its current
expectations and projections about future events and financial trends that it believes might affect its financial condition, results of operations, business strategy and financial needs. These forward-looking
statements include, among other things, statements relating to: the Company’s expectations regarding its revenue, expenses and operations; The Company’s expectations regarding timing of the completion
of the construction; the Company’s anticipated cash needs and its needs for additional financing; the Company’s intention and ability to grow the business and its operations; including its ability to complete
research and development acquisitions and integrate acquired businesses; the Company’s expectations regarding harvesting of product and product sales prices; expectations with respect to future
production costs and capacity; expectations regarding our growth rates and growth plans and strategies; expectations with respect to the approval of the Company’s cannabis licences; expectations with
respect to the future growth of its medical and recreational cannabis products in any jurisdiction, the Company’s expected business objectives for the next twelve months; the Company’s expectations with
respect to international developments and initiatives; the Company’s plans to develop cannabis greenhouses in Québec and Ontario; and the Company’s expectations in respect to hemp based beverages in
the United States of America.
Forward-looking statements are based on certain assumptions and analyses made by the Company in light of the experience and perception of historical trends, current conditions and expected future
developments and other factors it believes are appropriate and are subject to risks and uncertainties. In making the forward looking statements included in this Presentation, the Company has made various
material assumptions, including but not limited to (i) obtaining the necessary regulatory approvals; (ii) that regulatory requirements will be maintained; (iii) general business and economic conditions; (iv) the
Company’s ability to successfully execute its plans and intentions; (v) the availability of financing on reasonable terms; (vi) the Company’s ability to attract and retain skilled staff; (vii) market competition;
(viii) the products and technology offered by the Company’s competitors; and (ix) that our current good relationships with our suppliers, service providers and other third parties will be maintained. Although
we believe that the assumptions underlying these statements are reasonable, they may prove to be incorrect, and we cannot assure that actual results will be consistent with these forward-looking
statements. Given these risks, uncertainties and assumptions, prospective purchasers of the Company’s securities should not place undue reliance on these forward-looking statements. Whether actual
results, performance or achievements will conform to the Company’s expectations and predictions is subject to a number of known and unknown risks, uncertainties, assumptions and other factors, including
those listed under “Risk Factors” filed under the Company’s SEDAR profile at SEDAR.com.
The Company’s forward-looking statements are based on the reasonable beliefs, expectations and opinions of management. Although the Company has attempted to identify important factors that could
cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There is no
assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. We do not undertake to update or revise any forward-looking statements, except as, and to the extent required by, applicable securities laws in Canada.
TSX: TGOD | US: TGODF | TGOD.CA
2
SCALED ORGANIC PRODUCTION
Largest licensed dedicated organic facilities providing economies of scale and premium quality
TSX: TGOD | US: TGODF | TGOD.CA
3
Scaled Organic Production
A winning formula or premium pricing with economies of scale should enable industry leading margins
PRICING POWER ORGANIC AT SCALE CERTIFIED ORGANIC INPUTS
Industry non-organic average of $6.14 One of the first producers to successfully Free from certain synthetic chemicals/pesticides
per gram(1) vs $10.08(2), or a 64% grow organic cannabis at scale. Target that have been proven to have adverse health
organic premium, with strong demand cash cost per gram of less than $1 in effects(3).
in mid-tier segment. the second half of 2020.
Pro-Cert's certification programs are ISO 17065
compliant and accredited, providing global
recognition and international access to the
products and brands they certify.
(1) Source OCS, as of April 30, 2020 (price includes Excise Tax but
excludes HST/Sales Tax).
(2) Source OCS, as of April 30, 2020 (price includes Excise Tax but
excludes HST/Sales Tax).
(3) SOURCE: LA WEEKLY “CANNABIS CONCENTRATES HAVE A
PROBLEM WITH PESTICIDES” 02/27/17
TSX: TGOD | US: TGODF | TGOD.CA
4
Hybrid Greenhouses Advantage
Purpose-built with cutting edge environmental controls and sustainable practices in mind
HIGH QUALITY LOW COST SUSTAINABLE
Advanced humidity, Natural light availability & facility Using living soil and built to LEED
temperature and environmental automation enables lower costs. Ancaster certification standards, TGOD's soil is
controls relative to conventional campus has an on-site co-gen power reused for years vs traditional
plant, significantly lowering operation
greenhouses enables operational costs. Valleyfield, Quebec site benefits cannabis growing operations where
optimization and maximizes plant from North America’s lowest power rates. the rockwool growing medium often
health. goes to landfill.
TSX: TGOD | US: TGODF | TGOD.CA
5
Ancaster Campus
Largest fully licensed and operatonal facility producing Organic Cannabis.
ANCASTER - ONTARIO, CANADA
166,000 sq. ft. 17,500 KG [annual capacity] 8,000 KG to 12,000 KG [2020]
• Fully licensed by Health Canada, with end to end capabilities from breeding,
flowering, drying, processing, packaging and shipping capabilities.
• Final phase (Processing Building) licensed by Health Canada April 2020
• Co-gen power plant to reduce power costs
• Health Canada cultivation, sales, oil extraction and oil sales license renewed until
2022
• EU GMP certification process well underway which will enable exports globally
TSX: TGOD | US: TGODF | TGOD.CA
6
Valleyfield Campus
Significant infrastructure to quickly expand production of organic cannabis as needed.
VALLEYFIELD - QUEBEC, CANADA
1,310,000 sq. ft. 185,000 KG [DESIGN]
• Phased construction and operating plan
• Main hybrid greenhouse fully licensed (24 zones) - May 2020
• Plan to recommence cultivation operations later in 2020 based on
market demand
• Structure for phase 2 and 3 largely completed; optionality to quickly
increase capacity as the market develops
• Relocation of a portion of our processing activities for Cannabis 2.0
products to Valleyfield in order to optimize costs and operations at
Ancaster
PHASED EXPANSION FOR PHASE 1 PHASE 2 PHASE 3 PHASE 4
AGILE CAPACITY 10,000 KG up to up to up to
MANAGEMENT 55,000 KG 65,000 KG 55,000 KG
TSX: TGOD | US: TGODF | TGOD.CA
7
Rightsized Production
Optionality to quickly increase capacity based on market demand
Production capacity tailored to current market conditions. Phased construction and operating plan enables agile capacity management. TGOD has adapted to
a slower than initially anticipated conversion from the illicit market and remains on track to achieve positive operating cash flow later in 2020.
• Reduced financing requirements
• Scaled back SG&A to focus on Canadian operational readiness in production, sales and Cannabis 2.0
• Rightsized near-term production to capture the organic segment while avoiding excess capacity
• Maintain optionality to quickly accelerate and expand production as the market develops
Annualized flower Ancaster Valleyfield
target capacity
Campus Current 17,500 KG -
Phase 1 Hybrid Greenhouse - 10,000 KG
[6 zones - cultivation]
Phase 2 - 55,000 KG
[18 zones – cultivation]
+ processing centre
Phase 3 - 65,000 KG
[Rooftop Hybrid Greenhouse]
Phase 4 Third Hybrid Greenhouse - 55,000 KG
Campus Complete 17,500 KG 185,000 KG
Target flower production in
2020: 10,000 KG - 12,000 KG
TSX: TGOD | US: TGODF | TGOD.CA
8
Product Portfolio
Consumer-centric approach addressing a large portion of the market
TSX: TGOD | US: TGODF | TGOD.CA
9
Consumer Packaged Goods
Value-added products to increase margins
GLOBAL $ VOLUME
ORGANIC CHANNEL
BEVERAGES
EDIBLES
COSMETICS
NUTRACEUTICALS
SOLUBLES
VAPES
OIL
ORGANIC CANNABIS HAS A ROLE
ACROSS ALL PRODUCT FORMS
TSX: TGOD | US: TGODF | TGOD.CA
10TGOD Product Portfolio
Consumer-inspired and tested for product efficacy and clear differentiation(*)
FUTURE LAUNCHES*
Gummies, concentrate (hash), sports
recovery, RTDs and topicals
FLOWER OIL INFUSERS PRE-ROLLS TEAS VAPES
Unite Organic Unite Organic Dissolvable THC Powder Unite Organic Happy Hibiscus Maté Unite Organic
25mg/ml [THC] 10mg [THC] LA Confidential Energize and focus 400mg [THC] < 1mg [CBD]
LA Confidential
Indica dominant < 1mg/mL [CBD] < 1mg [CBD] Indica dominant 2.5mg [THC/sachet]
3.5g, 5g formats 30mL format Single pack format 2-pack (2 X 0.5g) 5mg [CBD/sachet] Harmony Organic
5-pack (5 X 0.5g) 4-pack format 125mg [THC] 125mg [CBD]
Harmony Organic Harmony Organic Dissolvable CBD Powder
Skunk Haze 10mg/mL [THC] 1mg [THC] Harmony Organic Zen Green Sencha Care Organic
16mg/mL [CBD] 10mg [CBD] Skunk Haze De-stress and relaxTGOD Product Rollout
Recently expanded Portfolio
Larger Market
Opportunity
May 2020
April 2020
Portfolio
August 2019 Cannabis 2.0 Expansion
• Infusers • Teas
Recreational • Vapes
March 2019 Market Entry
• Mainstream Brand
• 1 SKU (Unite Dried
Medical Pilot Flower)
• Subsequently added
• 200 patients
two strains (medium
• 1 SKU THC)Highly Dutch
Mainstream brand designed to address a much broader segment of the market
• Certified organic cannabis at an accessible price point, sold in larger
formats
• Designed for daily users:
➢ 26% of Canadian cannabis consumers
➢ Over 90% of cannabis volume consumption
➢ 30% purchase in a 1 Oz (~28g) format
• First and only organic cannabis brand addressing this segment
• Portfolio expansion in H2 2020 to include new strains and formats such as
3.5g flower, vapes, pre-rolls and more
TSX: TGOD | US: TGODF | TGOD.CA
13National Distribution
Distribution partnership with Velvet Management Inc.
• Velvet Management was created Total Population
by Canada’s largest wine 37.6 Million
distributor – Philippe
Dandurand Wines
Legal Market
• Ability to leverage strong $2.5 Billion*
relationships with provincial
liquor and cannabis boards across
the country
• Efficient model with
advantageous cost structure
• Negotiated supply agreements
for TGOD with every province
except PEI
• Secured entry with both TGOD
and Highly Dutch into the
coveted Quebec market
*Source: RBC’s latest estimate
TSX: TGOD | US: TGODF | TGOD.CA
14HemPoland
Leading Company within the European CBD/Hemp Industry
F I R S T M O V E R A D V A N TA G E
Established in 2014, HemPoland, a wholly owned subsidiary of TGOD, was Poland’s first
company to obtain a state licence for hemp cultivation and CBD oil derivatives. They
are one of the few to have designed and optimized supercritical carbon dioxide
extraction equipment dedicated specifically to hemp fibres.
I N N O V AT I O N
Conducted extensive genetic research on multiple hemp strains. Identified best practices
in order to obtain the highest quality hemp extracts containing phytocannabinoids, a key
differentiator for HemPoland’s CannabiGold and Terpenes+ product lines.
Plays an integral role as part of TGOD’s Global Strategic Hemp Division, sharing IP with
our global network of partners.
E X PA N D I N G D I S T R I B U T I O N
Established distribution channels in Poland, Germany and the UK, and adding
markets as local regulations allow. Expanding portfolio with topicals.
TSX: TGOD | US: TGODF | TGOD.CA
15International Joint Ventures
Planting seeds for future growth
DENMARK: TGOD GENETICS & KNUD JEPSEN
Founded in 1939, Knud Jepsen is the world’s largest Kalanchoes
breeder selling more than 35 million plants and 90 million cuttings
to over 75 countries
Over 80 years of operational experience in all areas of horticulture,
including genetics, breeding, international partnerships and
TGOD™ MEXICO
established global distribution networks
Licensed by Danish Medicines to conduct research and development
related to the creation of elite cannabis genetics
MEXICO
TGOD Genetics JV aims to develop and patent innovative and 50/50 joint venture with LLACA Grupo Empresarial; entering the Mexican
commercially valuable elite cannabis genetics medical cannabis market [and potentially the recreational market upon
legalization]
Proprietary distribution capabilities and access to premier distributors with
established commercialized pharmaceutical and over-the-counter products
LLACA has access to patients and consumers through 7,600 retail locations:
TGOD™ X Genetics A/S 4,500 pharmacies and 3,100 supermarkets
TSX: TGOD | US: TGODF | TGOD.CA
16Research & Development
Designed to generate diverse product offerings, competitive claims & intellectual property
TSX: TGOD | US: TGODF | TGOD.CA
17R&D Leadership Team
Experienced team with significant pharma, agriculture, cannabis and CPG experience
PREM VIRMANI, M.Sc., B.Sc. DAVID BERNARD PERRON, M.Sc.
CHAIR OF BEVERAGE SCIENCE VP, GROWING OPERATIONS
Mr. Virmani is the former SVP of Global Science and Research for Cott Mr. Bernard-Perron has a training in Agrology and a Master of Science
Beverages, Inc. Inducted into the Private Label Hall of Fame in 2018, Mr. degree from McGill University specializing in Plant Science and Organic
Virmani has led development in every major beverage category, including Agriculture. He began his career in 2001, working in greenhouse
the Sam’s Choice Cola program for Walmart, President’s Choice Cola for production, and subsequently joined the McGill Greenhouses and
Loblaws, as well as major private label brands for Publix, Wegmans and Horticultural Research Centre. He was responsible for leading the
Safeway. Mr. Virmani began his career with Coca-Cola and is known as the Whistler Medical Marijuana Corporation through organic certification,
Pioneer of the Private Label soft drink industry. helping WMMC become the first fully certified organic licensed producer
in Canada.
AMYN SAYANI, PHD RAV KUMAR, PHD, B.Sc.
VP, R&D MEDICAL OPERATIONS SCIENCE ADVISOR
Dr. Sayani comes to TGOD after 20 years at GlaxoSmithKline where he Prior to joining TGOD, Dr. Kumar was Managing Director of Apotex
worked in various roles across the drug development and India. Dr. Kumar has over 25 years’ experience in the pharmaceutical
commercialization continuum, including product development, industry and is a seasoned senior executive with international
regulatory and medical affairs, health outcomes research and real world experience in Europe, Asia and North America. Dr. Kumar held senior
evidence, and market access. Dr. Sayani has authored numerous leadership roles with GlaxoSmithKline, including VP R&D Operations
publications and patents and has led various projects to optimize and Business Dev. Classic Brands. Dr. Kumar received the 2014 Award
patient access to new medicines. Dr. Sayani is a pharmacist by training, for Leadership in Canadian Pharmaceutical Sciences.
and has a PhD in Pharmaceutical Sciences (Rutgers University), and a
Masters of Science in Health Research Methodology (McMaster
University, Ontario).
TSX: TGOD | US: TGODF | TGOD.CA
18R&D Strategy
Develop differentiated products and competitive claims
PLANT EXTRACTION & CANNABINOID & NEW PRODUCT
SCIENCES PROCESSING TERPENE OPTIMIZATION DEVELOPMENT
Yield improvement, Science-driven Characterization, Edibles such as capsules,
strategic loss prevention approach for enhanced analysis, blending & beverages, novel formulations
and strain development efficiency and quality optimization and dosage forms
` Obtained research licence from Health
HUMAN STUDIES & REGULATORY COMMERCIAL Canada to conduct in-house testing
CLAIMS SUBMISSIONS SUPPORT and accelerate commercialization of
& APPROVALS 2.0 portfolio.
Observational data Organic differentiation, educational
collection and mining, Canada, Mexico [Medical] materials, external engagement,
speed of onset, and other international science advisory board, innovation
bioavailability, effect on markets hub, new business development
certain diseases opportunities
TSX: TGOD | US: TGODF | TGOD.CA
19ESG A comprehensive sustainability and governance focus
TGOD employees volunteer on a Saturday to cleanup the Hamilton shoreline as part of the company’s “Rooted in the
Community” program.
ENVIRONMENTAL SOCIAL STRONG CORPORATE GOVERNANCE
LED lighting system Employee volunteer program Majority independent board of directors, including
Community organic farm Chair
Rainwater recapture basin
Blackout blinds to prevent night Strong and independent quality assurance team
Leadership in organic agriculture associations
time light pollution SAP integration
Recyclable packaging
Community engagement and Strong culture of compliance and ethics
Use of renewable hydroelectricity in Quebec outreach
Built to LEED Certification standards University/college relationships and
Reusing soil leads to significantly less waste to internships
landfill vs rest of the cannabis industry
Best-in-class carbon filtration, preventing odour
pollution
TSX: TGOD | US: TGODF | TGOD.CA
20Management
Experience in executive and operational management specific
to consumer packaged goods, beverages, brand building,
pharmaceutical, retail, international markets and cannabis
TSX: TGOD | US: TGODF | TGOD.CA
21Management Team
Executive leadership team with expertise in Cannabis, Pharmaceutical, Retail, Beverage and Consumer Packaged Goods
BRIAN ATHAIDE SEAN BOVINGDON DREW CAMPBELL ROBERT GORA MATT SCHMIDT ANNA STEWART
CHIEF EXECUTIVE OFFICER CHIEF FINANCIAL OFFICER VICE PRESIDENT, VICE PRESIDENT, EXECUTIVE VICE PRESIDENT, VP, GENERAL COUNSEL &
& DIRECTOR MARKETING SALES CORPORATE DEVELOPMENT CORPORATE SECRETARY
28+ years of global executive 30+ years finance experience Mr. Campbell brings over 15 Over the last two decades, Mr. Mr. Schmidt was a Vice President Ms. Stewart brings a wealth of
experience including CFO and across a multitude of private years of marketing experience Gora has developed a diversified of Investment Banking at one of corporate in-house and private
Executive Vice President, Human and public companies and on the agency and client side. experience in sales and Canada’s independent practice legal experience to
Resources and Information industries including CFO of He spent several years at FUSE marketing for consumer investment banks, during which TGOD. Most recently, Ms. Stewart
Technology of Andrew Peller Toronto Hydro Corporation. Mr. Marketing Group where he packaged goods, life sciences time he became a specialist in was Assistant General Counsel of
Limited, a publicly listed Bovingdon served as President managed accounts for clients and cannabis brands. He spent the Canadian cannabis sector. Teva Pharmaceutical Industries
Canadian wine producer. Mr. & CFO as well for public and such as Canadian Tire, Sony, over 10 years at Bristol-Myers Mr. Schmidt holds a Master of Ltd. [Canadian Division]. Prior to
Athaide has also held various private oil and gas companies, NASCAR and CIBC. He also Squibb where he represented, Business Administration from Teva, Ms. Stewart practiced
positions in finance, including Mr. Bovingdon has been worked at Boston Pizza, launched, and developed several Wilfrid Laurier University corporate law at a prominent
Chief Financial Officer at a involved in $1.1bn of public Canada’s largest casual dining successful pharmaceutical (Waterloo, Ontario) and a national Canadian law firm. She
number of international equity and debt financings, chain, where he led the digital brands across multiple disease Bachelor of Commerce has extensive experience in
divisions of Procter & Gamble, a and $2bn of syndicated credit transformation strategy. Most areas. He also built and (Honours) from the University of regulated products
leading consumer products facilities, including three IPOs. recently, Mr. Campbell was Vice managed high-performing sales Windsor. manufacturing, marketing and
company. He has a Bachelor of President of Marketing at teams across Canada, and distribution, intellectual property
Commerce degree, with a major Weight Watchers Canada, where joined the cannabis industry in licensing and complex M&A
in finance and marketing from he was heavily involved in the 2017 as General Manager, activities.
McGill University. global evolution of the brand. Medical at MedReleaf.
TSX: TGOD | US: TGODF | TGOD.CA
22Board Of Directors
Seasoned, majority independent board of directors
JEFF SCOTT BRIAN ATHAIDE MARC BERTRAND JACQUES DESSUREAULT DR. CAROLINE MACCALLUM NICHOLAS KIRTON
CHAIRMAN CEO & DIRECTOR INDEPENDENT DIRECTOR INDEPENDENT DIRECTOR INDEPENDENT DIRECTOR INDEPENDENT DIRECTOR
Mr. Scott is President of Postell Energy Co., a 28+ years of global executive experience Mr. Bertrand is a seasoned consumer Mr. Dessureault is a senior executive with Dr. MacCallum is one of the world’s most Mr. Kirton is a professional accountant. He
private Canadian oil producer in business in including CFO and Executive Vice President, products executive with three decades of extensive pharmaceutical experience, prominent experts in cannabinoid-based spent thirty-eight years with KPMG LLP where
western Canada since 1980. Mr. Scott is the Human Resources and Information success in brand building, strategic specifically from life sciences, over-the- medicine. Dr. MacCallum is an internist, he was elected to Partner in 1976.
Founder and was Chairman of Gran Tierra Technology of Andrew Peller Limited, a licensing, international markets and counter, natural health and technology complex pain and cannabinoid clinician, Subsequent to his retirement, Mr. Kirton has
Energy, a South American based E&P publicly listed Canadian wine producer. Mr. manufacturing. Previously President & CEO industries. He has held both international and researcher, and clinical instructor in the served on the boards of a total of eight
Company from 2004 to June of 2015. Mr. Athaide has also held various positions in of the Mega Bloks brand, which was sold to domestic roles with Novartis, as global department of medicine, an adjunct prof. in reporting issuers, in most cases as Chair of
Scott is also Chairman of Sulvaris Inc., a finance, including Chief Financial Officer at a Mattel in 2014 for over $500 million dollars. marketing division head as well as business the faculty of pharmaceutical sciences the Audit Committee. Additionally, Mr. Kirton
private fertilizer technology company created number of international divisions of Procter Developed strategic licence agreements unit head and general manager, additionally program and an associate member of the served as Chair of the Board of the Canadian
in February 2012. He has extensive & Gamble, a leading consumer products with several of the world’s most iconic domestic senior executive roles as president department of palliative care at the Investor Protection Fund.
management, financing, mergers & company. He has a Bachelor of Commerce entertainment franchises including Disney, and general manager of Valeant University of British Columbia. Dr.
acquisitions, and public company experience. degree, with a major in finance and Nickelodeon and Marvel. Pharmaceutical Inc., vice-president at Bristol MacCallum is the medical director at
Over the past 20 years he has been involved marketing from McGill University. Myer-Squibb. Mr. Dessureault is a strategic GreenLeaf Medical Clinic, where she has
in a variety of capacities from founder to advisor with the casting and performance assessed and developed cannabinoid
officer and/or director in numerous publicly group of Cirque du Soleil. treatment plans for more than 3,000
traded companies. patients across Canada.
TSX: TGOD | US: TGODF | TGOD.CA
23Capitalization Table
Securities outstanding as at March 31st, 2020
Refer to the Company’s latest financial filings on SEDAR for a detailed description of each security
SECURITIES WARRANTS OUTSTANDING (Expiry)
FULLY AMOUNT (#) AMOUNT ($)
SHAREHOLDERS AMOUNT (#) BASIC DILUTED $1.00 [TGOD.WS] (December 19, 2022) 27,607,500 $27,608
TOTAL COMMON SHARES (BASIC) 313,608,518 100% 73% $3.00 [TGOD.WT] (February 28, 2021) 34,607,765 $103,824
$7.00 (May 2, 2020) 15,092,363 $105,647
Warrants 91,855,128 21% $9.00 (April 19, 2021) 12,592,500 $113,333
Options 18,171,400 4% $9.50 (June 26, 2021) 1,955,000 $18,573
Escrowed/Contingent Shares 7,652,294 2%
TOTAL WARRANTS 91,855,128 $365,984
TOTAL COMMON SHARES FULLY
DILUTED 431,287,340 100% DEBT OUTSTANDING
Current $549,000
TOTAL SHAREHOLDERS’ EQUITY ($) $201,031,000 Long term $22,915,000
TOTAL OUTSTANDING¹´² $23,464,000
(1) On April 22, 2020, the Company completed a second-lien revolving credit facility for up to $30 million with $10 million funded
immediately. In conjunction with the financing, the Company issued 3,000,000 warrants with an exercise price of $0.39 per share.
(2) On April 27, 2020, the Company completed a bought-deal equity financing of 20,536,700 units at $0.28 for gross proceeds of $5.75
million consisting of one common share and one half purchase warrant exercisable at $0.38 exercisable for 36 months. In addition,
1,232,202 agent warrants were issued at an exercisable at a price of $0.38 per share for a period of 36 months.
(3) On April 27, 2020, the Company received an advance of $5 million on the accordion under its senior secured credit facility and
issued 1,500,000 warrants exercisable at $0.39 per share exercisable for 36 months.
(4) On June 9, 2020, the Company completed a bought-deal equity financing of 43,125,000 units at $0.40 for gross proceeds of $17.25
million consisting of one common share and one purchase warrant exercisable at $0.50 exercisable for 48 months. In addition,
2,587,500 agent warrants were issued at an exercisable at a price of $0.50 per share for a period of 48 months.
TSX: TGOD | US: TGODF | TGOD.CA
24Comparables
Enterprise Value-to-Revenue, EBITDA CY 2020, CY 2021 Multiples Relative to Peers*
EV/REVENUE EV/EBITDA
Canadian LPs 2020 2021 2020 2021
Auxly 2.7 1.5 Nmf (1) 30.1
Sundial 1.3 0.9 7.6 5.2
HEXO 1.7 1.1 nmf (2) 19.9
Organigram 3.3 2.2 21.7 10.1
Flowr 0.9 0.6 6.4 2.0 Owen Bennett Derek Dley Tamy Chen
Supreme 2.5 1.6 Nmf (3) 8.3 P: +44 (0)2070298431 P: (416) 869-7270 P: (416) 359-5501
Terascend 1.6 n.a. 5.1 n.a.
TGOD 1.1 0.5 30.8 2.7
Peer Group Average 2.0 1.3 10.2 12.6 TGOD is looking to increase analyst coverage
and institutional ownership
TOP U.S. MSOs
Curaleaf 2.8 2.1 8.1 6.5
Cresco 2.5 1.7 9.7 6.2
Green Thumb 2.2 1.7 7.2 5.0
Charlotte's Web 2.0 2.8 9.9 13.5
Trulieve 2.3 2.0 5.8 4.3
Average 2.4 2.1 8.1 7.1 *BMO Weekly as at May 1st, 2020
(1) ESTIMATE OF ($23mm)
(2) ESTIMATE OF ($28mm)
(3) ESTIMATE OF ($3mm)
TSX: TGOD | US: TGODF | TGOD.CA
25The Green Organic Dutchman™
CERTIFIED ORGANIC STATE-OF-THE-ART FACILITIES PROVEN MANAGEMENT TEAM
High-quality organic cannabis certified by a leading Purpose-built hybrid greenhouses enabling low-cost Experience in executive and operational
global certification body, grown in living soil with production of high-quality cannabis at scale. Optionality management specific to CPG, horticulture,
established proprietary organic growing techniques to quickly add capacity as the market develops. beverages, brand building, pharma, retail,
and leading-edge intellectual property. international markets and cannabis.
LEADING INNOVATION & IP CONSUMER-DRIVEN PORTFOLIO INTERNATIONAL
Exclusive licensing agreements in Canada and Focused on developing premium consumer-preferred International revenue from European hemp
select international markets with best-in-class products with various delivery methods, including CBD business (HemPoland); completing GMP
technology and proven in-market results. dried flower, oils, vapes, beverages, topical creams certification to export Canadian production
and developing oncentrates & edibles. globally.
TSX: TGOD | US: TGODF | TGOD.CA
26CONTACT US
Want to learn more? We would love to chat
CLIENT CARE INVESTOR RELATIONS MAILING ADDRESS
[T]: 1-888-603-TGOD (8463) Shane Dungey 6205 Airport Road, Building A #301
[E] info@tgod.ca Vice President, Investor Relations Mississauga, Ontario
[E]: sdungey@tgod.ca L4V 1E3
MEDIA RELATIONS [T]: 905 – 304 – 4201 Ext. 336
[E]: invest@tgod.ca
Sebastien Bouchard
Director of Communications EXCHANGE LISTINGS
[T]: 647-272-2476
[E]: sbouchard@tgod.ca TSX: TGOD | TGOD.WT | TGOD.WS
US: TGODF | TGODWF
GR: O1GA
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