The Tinley Beverage Co (CSE: TNY) this morning released an update for investors related to the licensing of its Long Beach, California facility. The facility has now passed three additional inspections at the phase 3 facility, bringing the firm near the finish line for final cannabis manufacturing licensing.
To date, the firms flagship phase 3 facility has passed health, mechanical and plumbing inspections, with only the fire inspection remaining of the five functional inspections required. Upon the passing of the fire inspection, the City of Long Beach will perform the confirmatory building inspection which upon completion grants a certificate of occupancy.
This certificate of occupancy, once granted, will enable the states cannabis licensing division to perform the final site visit, leading to the granting of the much anticipated cannabis manufacturing license for the facility. Notably, the state has identified no further concerns about the cannabis license application and requires final authorization from the City before the final inspection can occur to activate the license. Following the granting of the appropriate cannabis license, Tinley Beverage will then be able to conduct final commissioning on its bottling line.
To date, Tinley has conducted test runs on the bottling equipment with non-infused liquid, often referred to as a water test. Full commissioning however requires the use of cannabis, and inherently, a cannabis manufacturing license.
Outside of the firms phase 3 facility, Tinley noted that it anticipates the addition of Shelf Life Distributing will further enhance the sales of the firms infused products. Due to this agreement, the firm has seen reduced storage, delivery, sales and other logistics costs, while cash burn associated with its phase 2 facility has stopped as a result of the decommissioning of that facility at the end of the first quarter with the anticipated licensing of the phase 3 facility.
In terms of Tinley’s non-infused product line, known as Beckett’s, the company has seen on-boarding now completed with the USA’s largest national club/warehouse chain and one of its largest grocery chains. Product roll out to these firms has been delayed due to the ongoing coronavirus pandemic with both firms limited in their ability to schedule launch demonstrations, however Tinley is exploring ways to launch conventionally without these demonstrations if necessary.
Tinley Beverage Co last traded at $0.38 on the CSE.
FULL DISCLOSURE: Tinley Beverage is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Tinley Beverage on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
2 Responses
The fact this stock has held up so well makes me think there is something much bigger going on behind the scenes.
Cannabis drinks could be pretty exciting with people avoiding smoke due to lung damage.