Aurora Cannabis Inc. (“Aurora” or the “Company”) (TSX: ACB) (OTCQB: ACBFF) (Frankfurt: 21P; WKN: A1C4WM) announced today that it intends to complete a $7 million investment in Choom Holdings Inc. (“Choom”) (CSE:CHOO) (OTCQB: CHOOF), whereby Aurora will receive 9,859,155 common shares from Choom’s treasury, priced at $0.71 per share (the “Transaction”), representing an 8% ownership interest.

Choom currently operates two late stage applicants under the Access to Cannabis for Medical Purposes Regulations (“ACMPR”). Choom has agreements in place to acquire two additional late-stage applicant craft growers in BC and Saskatchewan, including a facility in Sooke, British Columbia, anticipated to receive its cultivation license from Health Canada in the third quarter of 2018.

The relationship between Aurora and Choom germinated through Aurora Pro, the platform through which the Company delivers a variety of services to industry participants, including cultivation, genetics, regulatory consultancy and market development services. The Aurora Pro platform was developed by Aurora to interact with craft growers who are faced with potentially unreasonable entry barriers to the adult usage market in Canada.

Choom’s strategy is to develop a carefully curated portfolio of high-grade cannabis strains with ideal characteristics for craft growing, targeting the premium segment of the adult consumer use market. Choom continues to develop a sophisticated brand, high-grade products, and an elevated in-store customer experience. Images of the company’s concept cannabis retail outlets can be found on https://bit.ly/2JzwdOr.

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To date, Choom has secured rights to 17 retail leases in highly defensible locations throughout Alberta. Applications to obtain a cannabis retail license for these outlets have been submitted. Choom also has 7 leases secured in BC, and licenses will be applied for upon commencement of the licensing program in BC. Choom furthermore intends to play an important role in the Saskatchewan retail market, and has a robust strategy in place to develop its presence in this market.

Management Commentary

“Our investment in a consumer-focused brand with a strong retail strategy offers Aurora additional growth opportunities through supply, retail and distribution to the adult consumer use market, and provides a good example of the functioning of Aurora Pro,” said Terry Booth, CEO of Aurora. “Choom has established a well-developed brand, supported by deep roots within the British Columbia cannabis community and a passion for high-grade, handcrafted product. We’re excited to strengthen our relationship with the team at Choom and help amplify their market reach as they continue to execute on their differentiated craft growing philosophy and their unique retail strategy.”

Chris Bogart, President & CEO for Choom, added, “Teaming up with what we consider to be the most dynamic licensed producer with exceptional strength throughout the entire cannabis value chain, we believe, will prove to be a key growth accelerator for Choom. Both companies have a very strong focus on the entire customer experience, key in establishing exceptional brands. This investment by Aurora is a strong signal to our markets and our shareholders that Choom’s strategy meets with the highest standards in the industry.”



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