Vancouver, British Columbia, November 19, 2020 – Harrys Manufacturing Inc. (“Harrys” or the “Company”) (CSE:HARY, OTCQB:WSRRF) is pleased to announce that it and its wholly-owned subsidiary, Harrys International Manufacturing Inc. (“HIMI”) have entered into an exclusive manufacturing agreement, dated November 19, 2020 (the “Manufacturing Agreement”) with Abenaki Enterprise (“Abenaki”), its existing private cigarette manufacturer operating out of Odanak, Québec.
Pursuant to the Manufacturing Agreement, Abenaki has agreed to exclusively manufacture and supply HIMI with tobacco cigarette products for sale and distribution in Canada. The Manufacturing Agreement shall continue for an initial term of five years and will automatically renew on a yearly basis thereafter, subject to earlier termination. Under the Manufacturing Agreement, the Company will issue an aggregate of 500,000 common share purchase warrants (“Warrants”) which will allow Abenaki to acquire one common share of the Company (a “Warrant Share”) at a price of $0.15 per Warrant Share for a period of 5 years. The Warrants issued in connection with the Manufacturing Agreement are non-transferable and any Warrant Shares issued upon the exercise thereof will be subject to a statutory hold period of four months plus a day in accordance with applicable securities legislation ending on March 20, 2021.
Kevin Kohanik CEO stated; “This agreement is another important step that ensures we will have enough product manufacturing capability and growth capacity in place for entry into the Canadian tobacco market once all the required provincial and federal license and stamp registration approvals have been obtained.”
Abenaki is a privately owned, federally and provincially licensed tobacco manufacturer located in Québec, Canada, with over 25 years in business. Abenaki is focused on tobacco cigarette, cigarillo and cigar manufacturing and currently has production capacity for over 10,000 tobacco cigarettes per minute.
Harrys is a wholesale distributor of affordable, high quality, 100% natural tobacco cigarettes. Harrys utilizes various types of tobacco blends to satisfy customer demands and preferences for products that meet Health Canada standards. Harrys’ management team brings over 50 years of combined experience in the domestic and international tobacco industry.
For more information, please visit: www.harrysmfg.com
ON BEHALF OF THE BOARD
Director and CEO
For further information, please contact:
Corporate Communications Telephone: 778-378-9375 Email: IR@HarrysMFG.com
Neither the Canadian Securities Exchange nor its regulation services provider accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements: This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, timing, assumptions or expectations of future performance are forward-looking statements and contain forward-looking information. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as “intends” or “anticipates”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “should”, “would” or “occur”. Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this news release. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Important factors that may cause actual results to vary include, without limitation: uncertainties affecting the Company’s ability to enter the Canadian tobacco market and the Company’s ability to obtain any required provincial and federal licenses and registrations to operate in the tobacco industry. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be 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 and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws.