As key terms in the agreement, Namaste has been approved as the preferred global online retailer and digital affiliate marketing partner for Phivida's product line of premium hemp-derived Cannabidiol ("CBD") infused functional beverages and clinical heath products. The agreement includes a global online territory, targeting the launch in Germany and Australia (the "Territories").
Phivida CBD beverages, extracts, juices and shots are professionally formulated by health care practitioners, made with premium ingredients, tested for quality, safety and manufactured to GMP standards. This Agreement represents a strategic initiative between both companies to promote high quality CBD products through Namaste's platform and to the Company's existing databases of users within the Territories. CBD is a cannabinoid compound which can be derived from both cannabis and hemp plants and plays a vital role in the emerging global medical cannabis market.
With Phivida's management team having a strong background from the beverage industry and branding, including former senior executives from Redbull, Proctor and Gamble and McKesson's, Namaste is pleased to be able to offer Phivida's premium CBD beverages and infusions to its patients and practitioners globally, with an initial launch in Australia and Germany.
Terms of the Agreement
Namaste has exclusive rights for online retail of Phivida's products in the Territories
The Agreement is valid for a 24-month period
The Agreement payment terms are net 30 days
Namaste shall be responsible for delivery costs
Namaste will under no circumstance retail PHIVIDA products for a price that is less than the regular retail price at which the products are advertised on PHIVIDA's website
The Agreement states that all online product marketing expenses within the Territories will be shared equally between PHIVIDA and Namaste
The Agreement is subject to obtaining a legal opinion from a designated legal firm, agreed to by both parties
Namaste's globally diversified network of e-commerce sites and distribution centers will allow Namaste, in its partnership with Phivida, to reach users in new and emerging medical cannabinoid based medical and consumer health markets. This Agreement further represents Namaste's commitment to deploy its strategic initiatives in an effort to bring the most innovative products to market. Namaste's growing global database of consumers continues to provide value to the Company and its partners, as it aims to leverage its technical expertise relating to its cutting-edge SEO and machine learning technologies
This Agreement represents a pilot project between both companies whereby Namaste will distribute Phivida's proprietary CBD beverages and infused products within the designated territories. Both companies intend on further expanding distribution through other markets where Namaste maintains significant market share.
While the Canadian market remains a primary focus for Namaste, it has identified additional opportunities in the Australian and German markets, as both countries continue to demonstrate a keen willingness to move closer towards full legalization. This partnership will allow both Phivida and Namaste to transition seamlessly into both markets, as it looks to broaden the scope of the products and services it provides. "This Agreement represents an important step for Namaste as it looks to expand its presence into emerging markets and believes Phivida's CBD beverages, oils and infusions offer Namaste an incredible opportunity to expand its offering globally."
Sean Dollinger, President and CEO of Namaste comments: "Namaste is extremely excited to be partnering with Phivida and its world-class management team. We're looking forward to entering the beverage space together with Phivida as we believe there is significant demand for these products in our market. Many of our successes to this point can be largely attributed to our keen ability in identifying industry leaders and then forming strategic alliances. Our partnership with Phivida further demonstrates that ability, and we feel very optimistic to be collaborating with a management team whose pedigree speaks for itself. We would like to thank Phivida for granting Namaste rights of its online retail products in the Territories, as we expand our presence globally.
We fully expect this partnership to evolve and fully intend on exhausting all opportunities whereby both parties are able grow and expand their respective market share. Not only does this offer Namaste the ability to expand its product line but so too does it help us in penetrating new markets as we look to create the world's most expansive online medical cannabis marketplace."
John - David Belfontaine, President and CEO of Phivida reports: "As Phivida continues to expand is CBD product offerings into a $1 Trillion global health and wellness marketi, it is critical that we secure the strongest distribution partners. Ecommerce and digital marketing is a core horizontal within our greater strategic business plan, and Namaste is an ideal partner to expand our online presence into emerging markets around the world. We look forward to launching our global digital marketing and distribution platform with Namaste's support as a key strategic partner."
About Namaste Technologies Inc. Namaste is the largest online retailer for medical cannabis delivery systems globally. Namaste distributes vaporizers and smoking accessories through e-commerce sites in 26 countries and with 5 distribution hubs located around the world. Namaste has majority market share in Europe and Australia, with operations in the UK, US, Canada and Germany and has opened new supply channels into emerging markets including Brazil, Mexico and Chile. Namaste, through its acquisition of Cannmart Inc., a Canadian based late-stage applicant for a medical cannabis distribution license (under the ACMPR Program) is pursuing a new revenue vertical in online retail of medical cannabis in the Canadian market. Namaste intends to leverage its existing database of Canadian medical cannabis consumers, along with its expertise in e-commerce to create an online marketplace for medical cannabis patients, offering a larger variety of product and a better user experience.
Phivida ["fiii-vee-daa"] is a publicly traded company listed on the Canadian Securities Exchange under the ticker symbol "VIDA". Phivida is a premiere brand of cannabidiol ("CBD") infused functional foods, beverages and clinical health products, poised for global distribution. Using nanoencapsulation technology, Phivida converts lipid based cannabinoids into water soluble delivery format, enhancing bioavailability, and timed released within the body. Phivida's nanoencapsulated CBD is infused into CBD beverages, foods and supplements containing a proprietary blend of phytonutraceuticals studied to target a range of health conditions, from chronic pain to terminal diseases. Phivida Enhanced Inc. (a wholly owned subsidiary of Phivida Holdings Inc.) is the clinical division of Phivida responsible for the formulation, manufacturing and distribution of the professional line clinical products under the brand name Vida+. These clinical grade CBD products include sublingual's, hard capsules and other full spectrum CBD-hemp oil extract infused nutraceuticals and natural health products. The Vida+ label is a professional line of products clinical grade for higher potency and are third party laboratory tested for cannabinoid potency, terpenes, residual solvents, bacteria and pesticides. Celebrating; Health and Wellness, In Harmony™, Phivida's mission is to lead the alternative health care sector as the benchmark quality standard in premium cannabinoid infused foods, beverages and clinical products, with a dedication to research, education and investing back into the communities that we so proudly serve.
For investor relations inquiries and updates, please contact Phivida via the information listed below.
This press release contains forward-looking information based on current expectations. These statements should not be read as guarantees of future performance or results. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management's reasonable assumptions. The Company assumes no responsibility to update or revise forward-looking information to reflect new events or circumstances unless required by law.
Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this press release. Actual results could differ materially from those currently anticipated due to a number of factors and risks including various risk factors discussed in the Company's disclosure documents which can be found under the Company's profile on www.sedar.com.
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The CSE has neither reviewed nor approved the contents of this press release