AgraFlora Organics Signs Supply Agreement with Namaste Technologies for up to 25,000,000 Grams of Medical Cannabis Annually
VANCOUVER, Dec. 13, 2018 /CNW/ - AgraFlora Organics International Inc. (formerly PUF Ventures Inc.) ("AgraFlora Organics" or the "Company") (CSE: AGRA) (Frankfurt: PU31) (OTCPK: PUFXF), a growth oriented and diversified international cannabis company, is pleased to announce it has signed an agreement (the "Agreement") with Namaste Technologies Inc.'s ("Namaste") (TSXV: N) (FRANKFURT: M5BQ) (OTCMKTS: NXTTF) wholly-owned subsidiary, Cannmart Inc. ("Cannmart"), where Cannmart may purchase medical cannabis products from AgraFlora's Propagation Services Canada (PSC) greenhouse operations in Delta, BC, subject to approval of its cultivation and sales licenses by Health Canada.
In October 2018, AgraFlora's majority-owned subsidiary, AAA Heidelberg, received a license to produce under Health Canada's Access to Cannabis for Medical Purposes Regulations for its facility in London, ON.
"We are pleased to announce the supply Agreement with AgraFlora," said Sean Dollinger, President and CEO of Namaste. "We anticipate that they will provide a high-quality product for us to offer to our patients through Cannmart. Their partnership with Houwelings Nurseries, which has 30 plus years of agriculture experience with their greenhouses in Delta, BC and the USA, gives us confidence we will have consistent and safe supply of medicine for our patients. We will continue to develop our supply chain to ensure adequate supply for Cannmart."
"I am very pleased to be partnering with one of the leading cannabis companies in Canada and commit to supply Namaste's patients with the highest quality cannabis flower possible," said Derek Ivany, President and CEO, AgraFlora Organics International Inc. "Namaste is a company with strong social corporate ethics and it is important that AgraFlora plays its part to support the needs of medical patients across Canada. We have committed up to 10% of our projected full annual capacity of 250,000,000 grams of high quality cannabis and look forward to a long and mutually beneficial partnership with Namaste."
Subject to the terms of the Agreement, Cannmart reserves the right of first refusal to purchase up to 10% of the total annual production from AgraFlora's large-scale Delta Greenhouse Complex, representing 25,000,000 grams, at a price of $4 per gram, or up to $100,000,000 per year. This Agreement is in-line with Namaste's vision to offer a diverse range of high-quality cannabis products in its online platform through Cannmart. Cannmart operates a medical cannabis sales-only license under the regulations of the Cannabis Act and purchases bulk cannabis products from a variety of licensed producers across the country to offer in its online platform.
About Namaste Technologies Inc.
Namaste Technologies is Your Everything Cannabis Store™. Namaste operates the largest global cannabis e-commerce platform with over 30 websites in 20+ countries under various brands. Namaste's product offering through its subsidiaries includes vaporizers, glassware, accessories, CBD products and medical cannabis in the Canadian market thorough its licensed affiliate, CannMart.com.
Namaste has developed and acquired innovative technology platforms including NamasteMD.com, Canada's first Health Canada compliant telemedicine application, and in May 2018 the Company acquired a leading e-commerce AI and Machine Learning Company, Findify AB. Findify uses artificial intelligence algorithms to optimize and personalize a consumer's on-site buying experience. Namaste is focused on leveraging its cutting-edge technology to enhance the user experience throughout its platforms. Namaste will continue to develop and acquire innovative technologies which will provide value to the Company and to its shareholders as well as to the broader cannabis market.
About AgraFlora Organics International Inc.
AgraFlora Organics International Inc. is a growth oriented and diversified company focused on the international cannabis industry. It has ownership in several cannabis companies including AAA Heidelberg and Propagation Services Canada in Canada and is actively pursuing other opportunities within the cannabis industry. AgraFlora Organics has an option to purchase 100% of AAA Heidelberg Inc., a licensed producer under the Access to Cannabis for Medical Purposes Regulations. For more information please visit: www.agraflora.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Derek Ivany
President & CEO
No stock exchange or securities regulatory authority has reviewed or accepted responsibility for the adequacy or accuracy of this release.
Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe the Issuer's future plans, objectives or goals, including words to the effect that the Issuer or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties.
SOURCE AgraFlora Organics International Inc.
For further information: AgraFlora Organics International Inc., E: [email protected], T: (800) 783-6056
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