Adelanto News

Alternate Health to launch 2 new cannabis extraction facilities in Adelanto

ADELANTO, Calif. — On March 28, 2019, Alternate Health Corp., announced that the company has signed two agreements to launch operations at a state licensed 60,000 square foot cannabis extraction facility in Adelanto, California.

The first agreement outlines Alternate Health’s purchase of DTS Lab Services (“DTS”), a leading cannabis extracts company with over eight years of experience operating in California’s medical cannabis industry. The agreement details the purchase of all of DTS’s assets, extraction equipment and intellectual property, including the Dank Tank brand of extract vaporisers and cartridges. (Instagram: @danktank_official)

“We are proud to bring DTS and Dank Tank into Alternate Health’s growing portfolio of Californiacannabis brands,” says Howard Mann, CEO of Alternate Health. “DTS’s expertise and experience in performing high level extractions will be invaluable as we look to capture the value-added cannabis manufacturing market.”

Alternate Health intends to bring DTS under the umbrella of a new subsidiary called Alternate Extracts. DTS’s management will work with Alternate Health to expand production, including relocating operations to a new licensed facility in Adelanto, California. DTS’s founder, Keyan Shokraie, will continue to work with Alternate Health as the manager of the Adelanto facility.

“I am excited to begin this ambitious project with Alternate Health as we push for a leadership position in California cannabis extraction,” says Keyan Shokraie, founder of DTS Lab Services. “With state licenses in place, this is the perfect location to develop a world class extraction facility.”

Alternate Health has also signed an agreement with two California cannabis companies to expand, build-out and manage the 60,000 square foot Adelanto facility. Alternate Health will take a 55% stake in both companies in return for providing equipment and managing operations, including producing wholesale extracts and manufacturing Dank Tank-branded products.

The Company intends to begin CO2 extraction immediately following the relocation of DTS’s assets and equipment to the Adelanto facility. Alternate Health plans to expand production to maximize capacity throughout the 60,000 square feet of already state-licensed space. Leasehold improvements and equipment ordering are underway to expand production rapidly to include distillation, ethanol-based extraction and on-site remediation and decontamination. 

“These agreements give Alternate Health immediate access into high-margin cannabis manufacturing,” says Howard Mann. “With 60,000 square feet of production space, Alternate Health is well positioned to be a major player in California’s cannabis extraction industry.” 

Alternate Health’s new extraction facility will complement the Company’s Bionic Bee brand of flavoured cannabis extracts, creating high quality bulk extractions for the Company’s product line. Originally announced in a press release on Nov. 19, 2019, Alternate Health acquired the medical cannabis extraction company Kare MMJ and their brand Bionic Bee. With expert marketing and extraction expertise developed over five years of operations, Bionic Bee is a key brand in Alternate Health’s growing portfolio of California extraction businesses. 

For more information on Alternate Extracts visit

Terms of the Agreements

Under the agreement with Genesis Integral, Inc. and Professorganix, Inc., Alternate Health becomes a 55% owner of each company, responsible for managing extraction of hemp and cannabis at two locations in Adelanto, CA.  Alternate Health will contribute a full extraction laboratory setup of over 125 items and machinery, including specialized shredding, evaporation and distillation equipment valued over $475,000. Alternate Health will manage full time operations at the facility and employ all staff and technicians. 

Under the agreement with DTS Lab Services, Inc. Alternate Health will acquire 100% of the company’s assets, equipment and intellectual property. As consideration for the purchase under the agreement, an initial 250,000 Alternate Health common shares will be issued to DTS along with a $48,240.84 reimbursement for equipment costs and other expenses. An additional 600,000 common shares will reserved for issuance to DTS as performance-based incentives.

Both agreements are expected to close on the equipment delivery date at the Adelanto facility, estimated to be in the third week of April 2019.

About Alternate Health

Alternate Health (CSE: AHG, OTCQB: AHGIF) is an international cannabis company, focusing on technology and value-added services. Alternate Health’s industry-leading software systems provide the platform for the company’s diverse operations, including distribution and the first medial cannabis software portal approved by the Florida Department of Health. 

Alternate Health’s corporate office is located in Toronto, Canada, with additional offices in Veniceand Humboldt County, California and San Antonio, Texas. The Company is well positioned to reinvest internal operating cash flow in its platform and product development over the long term, creating an attractive investment profile for its shareholders. Alternate Health resides in the cannabis sector along with companies like GW Pharmaceuticals, AXIM Biotechnologies Inc., and Canopy Growth Corporation. For more information about Alternate Health Corp., visit

Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release. Statements included in this announcement, including statements concerning our plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as “forward-looking statements”. Forward-looking statements may be identified by words including “anticipates”, “believes”, “intends”, “estimates”, “expects” and similar expressions. The Company cautions readers that forward-looking statements, including without limitation those relating to the Company’s future operations, business prospects derived from the DTS asset purchase are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.

SOURCE Alternate Health Corp.

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