TORONTO, Feb. 01, 2019 (GLOBE NEWSWIRE) — Nutritional High International Inc., (the “Company” or “Nutritional High”) (CSE:EAT) (OTCQB:SPLIF) (FRANKFURT:2NU) reports that effective February 1, 2019, the City of Sacramento Cannabis Policy & Enforcement (the “City”) has rescinded local authorization for cannabis manufacturing for Pasa Verde, LLC (“Pasa Verde”), a subsidiary of the Company. Without local authorization in place, the California Department of Public Health (the “State”) was required to revoke Pasa Verde’s state temporary manufacturing license. This does not in any way affect the licensing of the Company’s distribution operations under Calyx Brands (“Calyx”), the temporary-licensed cannabis distribution subsidiary of the Company and has minimal impact on Company operations.
Pasa Verde received approval for its building permits from the City on January 16, 2019 and the build-out of the FLI Labs NorCal facility will proceed as planned. Further, Calyx will continue distributing FLÏ™ products being produced by other licensed cannabis manufacturers in California.
Based upon discussions with the City regarding its decision, the Company is moving forward with the build-out and will apply for a new Business Operating Permit (“BOP”) under a new subsidiary of the Company. We anticipate the BOP being finalized before the completion of the build-out.
Jim Frazier, CEO of Nutritional High, commented, “While we had hoped to maintain the local authorization at FLI Labs NorCal and secure the BOP early on in the build-out period, this is a minor shift in our operations. We look forward to working with the City on a new BOP, completing the build-out and moving forward with fully compliant manufacturing, production and packaging operations at scale in Sacramento.”