Core Viewpoint - PharmaCielo Ltd. has successfully closed the sale of its La Margarita property, which is a strategic move to strengthen its financial position and focus on core growth opportunities in the cannabis market [2][4]. Financial Performance - For the fifteen months ended March 31, 2025, PharmaCielo reported revenue of CAD $487,000, an increase from CAD $240,000 for the same period in the previous year [4]. - The adjusted EBITDA loss improved to CAD $(801,000) from CAD $(1,264,000) year-over-year [4]. - The net loss for the period was CAD $(2,228,000), slightly better than CAD $(2,420,000) for the previous year [4]. - The net loss per share was CAD $(0.013), compared to CAD $(0.014) in the prior year [4]. Transaction Details - The La Margarita property was sold for a gross sale price of COP $26,000,000,000 (approximately CAD $8.6 million) [8]. - Proceeds from the sale were used to fully repay the Banco Agrario Loan, totaling COP $6,129,153,444 (CAD $2.1 million), including principal, interest, and legal costs [8]. - Approximately CAD $4.0 million of the proceeds will be transferred to Canada for corporate payments after loan repayment [8]. Strategic Rationale - The divestment of the La Margarita property aligns with PharmaCielo's strategy to optimize its asset portfolio and focus on high-value opportunities [8]. - The company aims to concentrate resources on expanding its sales pipeline and advancing strategic partnerships to achieve profitability [4][8]. Business Outlook - PharmaCielo is positioned to become profitable in 2026, with a focus on expanding its presence in Latin America, particularly Brazil, and entering new markets such as South Africa, Australia, and the EU [9]. - The company is improving its cost structure by eliminating non-essential expenditures and right-sizing its operations [9]. - PharmaCielo is committed to maintaining EU-GMP compliance while optimizing operational costs and capital investments to deliver high-quality products [16].