Rubicon Secures Strategic Capital to Upgrade Pacifica Facility

VANCOUVER – Rubicon Organics Inc. has closed a non-brokered strategic private placement with Siwash Rock Investments, Inc. Under the terms of the transaction, Siwash Rock Investments acquired 6,666,667 common shares at $0.45 per share, yielding aggregate gross proceeds of approximately $3 million. No finder’s fees or commissions were paid in connection with the deal. The equity issuance remains subject to final acceptance by the TSX Venture Exchange, with issued shares tied to a four-month-and-one-day statutory hold period.

The net proceeds are earmarked to fund a lighting and greenhouse infrastructure upgrade at Rubicon’s 125,000-square-foot Pacifica hybrid greenhouse in Delta, British Columbia, with remaining funds directed toward working capital.

The modernization project is expected to boost annual output at the Pacifica site to 15,500 kilograms, a 40% expansion above current facility estimates. When paired with the company’s Cascadia indoor facility in Hope, British Columbia, total annualized corporate cultivation capacity is projected to reach 20,000 kilograms by June 2027. This accelerates Rubicon’s long-term production timeline by nearly a full year.

According to corporate management, the capital deployment directly addresses market shortages across key sales channels:

“Demand for Rubicon’s premium-quality cannabis in Canada and international markets has consistently exceeded our supply capacity,” stated Margaret Brodie, Chief Executive Officer of Rubicon Organics. “This investment allows us to expand total output from our existing assets by 29%, serve more unmet demand, lower per-unit costs and improve gross margin.”

Beyond capital allocation, the transaction integrates growth-company management expertise into Rubicon’s corporate direction. Ted Reid, CEO of Siwash Rock Investments, joined the strategic initiative as part of the private placement”:

“Rubicon is at an important inflection point,” Reid noted in the announcement. “I am pleased to support the Company’s growth plan and contribute my experience as Rubicon’s team works to drive revenue growth and profitability.”

Rubicon Organics’ targeted equity raise reflects a pragmatic operational strategy within the North American Cannabis market. Rather than expanding physical real estate footprints, a tactic that historically burdened early-generation operators with excess debt and idle space, the company is directing capital toward density optimizations. Installing advanced lighting systems allows Rubicon to expand output by 29% using its existing footprint, preserving capital while lowering unit production costs. By accelerating its capacity timetable to 20200 kilograms per year ahead of schedule, Rubicon strengthens its supply chain for organic products across both Canadian adult-use markets and European medical avenues.