Vencanna Ventures Subsidiary Cannavative to Cease Operations and Liquidate

September 16, 2026 — Leads & Copy — Vencanna Ventures Inc. announced that its principal operating subsidiary, The Cannavative Group, LLC, will cease operations and undergo voluntary liquidation. Cannavative, a Nevada-based licensed manufacturer and distributor of recreational cannabis flower and extracted products, has been operating at a loss despite cost-saving measures. AcquisitionCo, the sole member of Cannavative and a direct subsidiary of Vencanna, approved the voluntary liquidation, dissolution, and winding-up under Nevada law. Cannavative's officers have been directed to prepare and file Articles of Dissolution with the Nevada Secretary of State, upon which the dissolution will become effective.

Cannavative, established in 2016, has faced challenges maintaining sales amid ongoing price compression and market consolidation in the Nevada cannabis market. Over the past two years, the company implemented cost-saving initiatives including headcount reductions, improved logistics, lower supply costs, and elimination of redundant administrative expenses. A relocation to a new, more suitable facility at a reduced carrying cost was also part of these efforts. However, these measures were insufficient to overcome the financial difficulties.

The decision to wind up Cannavative followed a comprehensive review of its operations and financial standing. The board of directors of AcquisitionCo determined that Cannavative's continued operations were not economically viable. To facilitate an orderly liquidation process, Cannavative has engaged Sonoran Capital Advisors, LLL as its liquidating agent.

The cessation of operations and dissolution are expected to incur one-time costs ranging from an estimated C$25,000 to C$50,000, covering professional fees and other related charges. Vencanna stated its commitment to ensuring minimal disruption to all stakeholders during this transition and extended gratitude to Cannavative's team members, pledging support and guidance during this period.

Vencanna Ventures Inc. transitioned to its current structure on September 24, 2018, following a recapitalization financing, the appointment of a new management team and board of directors, and commencement of trading on the CSE as an investment issuer. This move shifted the company from an oil and gas focus to a merchant capital firm, rebranded as "Vencanna Ventures." On April 30, 2024, Vencanna acquired Cannavative, a cultivation and extraction company in Nevada. Cannavative began operations in 2017. The acquisition marked Vencanna's transition from a merchant capital firm to an operating company.

Currently, Vencanna continues to explore investment opportunities within the cannabis sector, with a strategic focus on the United States. The company's ticker symbol is CSE:VENI.