With Eight More States Passing Marijuana Legislation in the U.S., Heliospectra Foresees Rapid Adoption of Intelligent Cultivation Technologies
(GOTHENBURG, Sweden/SAN FRANCISCO, CA, November 28, 2016) – Heliospectra AB (publ) (OTCQB: HLSPY, FIRSTNORTH: HELIO), a world leader in intelligent lighting technology for controlled environments horticulture, forecasts that the regulatory changes stemming from the 2016 U.S. elections will push the cannabis industry to adopt more advanced and sustainable cultivation practices and technologies. LED lighting solutions from Heliospectra, which yield energy-efficiency gains of greater than 40 percent, will clearly benefit from such adoption.
The combination of shifting public opinion and successes experienced over the past two years by legal medical and recreational cannabis states resulted in the passage of new cannabis regulations in the 2016 elections. Earlier this month, eight out of nine states with ballot measures voted favorably on cannabis reform. California, Maine, Massachusetts and Nevada join Alaska, Colorado, Oregon and Washington in legalizing marijuana for adult use. Arkansas, Florida and North Dakota join the 26 states and Washington, D.C. that allow for the medical use of marijuana, with Montana voting to loosen restrictions on their existing medical law.
With voter preferences clearly aligned with expanding legal cannabis, there are now more than 68 million Americans living in a state with legal cannabis, representing an increase of 278 percent following the final tally of November 8, 2016 election results.
“As these new states become operational over the coming months, the influx of licensed greenhouses, indoor facilities and regulations will focus the industry on sustainable growing techniques. Heliospectra gives growers the ability to control the intensity and wavelengths of the light emitted, creating a spectrum specifically adjusted to different plant species and growth stages to better facilitate photosynthesis,” said Staffan Hillberg, CEO of Heliospectra. “The LED technology not only reduces energy consumption by up to 50 percent, but also helps stimulate growth characteristics and improve plant quality when compared to those grown under HID lights.”
Given that the November election results expand licensed recreational states from four to nine and licensed medical states from twenty-six to twenty-nine in the burgeoning U.S. cannabis industry, financial and advisory firm Viridian Capital Advisors believes that attention will shift to operating margins, long-term profitability and business efficiencies.
“As downward pricing pressure from the commoditization of cannabis continues, growers are rapidly adopting more advanced cultivation products and processes,” explains Scott Greiper, President of Viridian Capital Advisors. “Technology solutions, including LEDs, enable cultivators to establish competitive advantage and cost-effective operations while boosting yields.”
Heliospectra continues strong sales momentum of its programmable, full-spectrum LED lighting solutions within North American medicinal cannabis communities, bolstered by the unprecedented customer results achieved at The Grove Nevada, Green Leaf in Alaska and other cultivation leaders who maximize revenue and ROI with consistent harvests and quality crops.
Investor Relations:
Staffan Hillberg, CEO of Heliospectra | +46 (0)708 36 59 44 |
staffan.hillberg@heliospectra.com
Michael Swartz, Senior Analyst | Viridian Capital Advisors, LLC | +1 212-333-0257 | mswartz@viridianca.com
G&W is Heliospectra’s Certified Advisor for Nasdaq First North - www.gwkapital.se
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About Heliospectra AB
Heliospectra AB (publ) (OTCQB: HLSPY, FIRSTNORTH: HELIO) (www.heliospectra.com) specializes in intelligent lighting technology for plant research and greenhouse cultivation. The Company’s lighting system provides an effective and durable technology for cultivating greenhouse and indoor plants by combining several different groups of versatile light emitting diodes (LEDs) with optics, remote sensing techniques, and a robust heat dissipation solution. This proprietary setup gives growers the ability to control the intensity and wavelengths of the light emitted, creating a spectrum specifically adjusted to different plant species and growth stages to better facilitate photosynthesis. The complete, highly-engineered lamp produces crops that look better, taste better, and have a longer shelf-life than those grown under HID lamps. The technology not only reduces energy consumption by up to 50 percent, but also helps stimulate growth characteristics and improve plant quality. Other benefits include reduced light pollution, lower mercury use due to the avoidance of traditional HID/HPS bulbs, and less HVAC investment and monthly expense requirements.
Heliospectra products are based on in-depth knowledge in plant physiology and photosynthesis along with a unique way to utilize modern LED technology. After six years of development in Sweden, the company has now begun to expand into the international market. The company has raised more than $ 21 million in capital and has received more than $2.6 million through academic scholarships and grants. It has also received numerous awards for its forward thinking technology. Principal owners: Weland Steel www.welandstal.se, Swedish Industrial Fund www.industrifonden.se, Midroc www.midroc.se, Avanza Pension www.avanza.se.
Forward-Looking Statements
The statements in this press release constitute forward-looking statements within the meaning of federal securities laws. Such statements are based on our current beliefs and expectations and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, such forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Potential risks and uncertainties include, but are not limited to, technical advances in the industry as well as political and economic conditions present within the industry. We do not take any obligation to update any forward-looking statement to reflect events or developments after a forward-looking statement was made.
This information is information that Heliospectra AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 14:00 CET / 8 AM EST on November 28, 2016.