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Cannara Biotech Inc. Reports Q1 2021 Financial Results - Expects to generate revenue from letter of intent with the Société québécoise du cannabis by end of February or early March 2021- MONTREAL , Jan. 29 , 2021 / CNW / - Cannara Biotech Inc. ( " Cannara " or the " Company " ) ( CSE : LOVE ) ( OTCQB : LOVFF ) ( FRA : 8CB ) is pleased to announce its financial results for the three - month period ended November 30 , 2020. Unless otherwise noted , all dollar amounts are expressed in Canadian dollars . cannara Q1 2021 OPERATIONAL HIGHLIGHTS • The Company's primary focus has been on the key items necessary to prepare the Company to begin generating commercial revenue : cultivation and post - harvest activities ; building its brand portfolio ; and readying inventory to begin shipping its dried flower products across the province of Quebec . • On November 27 , 2020 , Cannara signed a one - year wholesale supply agreement under which it agreed to sell 200 kg of cannabis per month to another licensed producer , beginning January 1 , 2021 . During Q1 2021 , Cannara met the revenue threshold required to gain access to an additional $ 4 million in credit under its current facilities . During the quarter , the Company drew down $ 1 million on its credit facilities and intends to draw down monthly to support cash flows until anticipated revenue from sales operations commences , expected in February or March 2021 . HIGHLIGHTS SUBSEQUENT TO QUARTER END • On January 8 , 2021 , Cannara Biotech ( Québec ) Inc. , a wholly owned subsidiary of Cannara , announced it had received its amendment to its licence to allow the Company to sell dried cannabis products to provincial retail distributors . The Company now has the necessary licences to begin the delivery of cannabis products to the Société québécoise du cannabis ( " SQDC " ) under its existing letter of intent . • During January 2021 , the Company completed its first shipment of 201.61kg of dried cannabis to its wholesale partner under a one - year supply agreement . • Following a lease agreement signed on November 30 , 2020 , and beginning on January 1 , 2021 , an existing tenant occupied the last remaining space unutilized by the Company at its Farnham facility . The leasing of unoccupied areas of the facility is a strategy designed to generate additional revenue and to maximize returns on the overall facility . " Through the end of Q1 2021 , we set out to build products and an operational foundation to prepare for both near - term growth in 2021 as well as to support the sustained future growth of our company , " said Zohar Krivorot , President and Chief Executive Officer of Cannara . " Based on the great feedback we have received from wholesale customers on our cannabis , we expect to significantly grow revenue this year as we roll our products out across the province of Quebec through the SQDC . Over the past 12 months we have fine - tuned our cultivation , post - harvest and