Nuuvera and Aphria finalize offtake agreement for extra 60,000 kgs of cannabis production
LEAMINGTON, ON, Jan. 19, 2018 /CNW/ - Nuuvera Inc. ("Nuuvera") (TSXV: NUU) and Aphria Inc. ("Aphria") (TSX: APH & US OTC QB: APHQF) announced today that they have executed a previously announced definitive offtake agreement for 60,000 kgs of cannabis production.
On January 8, 2018, Aphria announced that it had entered into a strategic relationship ("GrowCo") with Double Diamond Farms ("Double Diamond") to provide Aphria with 120,000 kgs of annual cannabis production, and Nuuvera and Aphria announced on January 11, 2018 that they were negotiating a definitive offtake agreement for half of such production. The now executed definitive offtake agreement will supply Nuuvera with 60,000 kgs of such annual cannabis production.
Combined with Nuuvera's existing offtake of 17,000 kgs from Aphria's Talbot Street Campus, Aphria will supply a total of 77,000 kgs of cannabis production to Nuuvera, which Aphria anticipates will be available for sale in January 2019, pending Health Canada approvals.
"I am delighted to report that, through this offtake agreement, Nuuvera has now secured the supply necessary to accelerate our initiatives internationally and here in Canada," said Nuuvera CEO, Lorne Abony. "Our comprehensive partnership with Aphria has long been a core strength of Nuuvera. Today this partnership has grown even stronger with the expansion of our offtake arrangement, through which Nuuvera further leverages Aphria's best-of-breed know-how in harnessing the power of the sun to grow trusted, consistent and medical-grade cannabis."
"This extension adds to our valuable distribution agreement with Nuuvera and advances our international expansion plans," said Vic Neufeld, Chief Executive Officer of Aphria. "The scale of our growing operations in Leamington, especially with the recent addition of Double Diamond Farms, enables us to adequately supply Nuuvera with medical-grade cannabis to accelerate their global strategy. We look forward to continuing to meet the needs of our partners and creating additional shareholder value."
As previously announced, Aphria, holding a controlling 51% interest in GrowCo, will supply its Standard Operating Procedures, quality oversight and will apply for a second Health Canada cultivation license for the site. Double Diamond, a 49% partner in GrowCo, will supply the land, existing infrastructure, employees and new state of the art, Dutch style greenhouses for the venture. The 100-acre GrowCo site is located on Highway 77 in Leamington, Ontario and abuts the 100-acre site of Nuuvera's to-be-constructed Leamington campus.
About Nuuvera
Nuuvera is a global cannabis company founded on Canadian principles, and built with the whole world in mind. Nuuvera is currently working with partners in Germany, Israel and Italy, and is exploring opportunities in several other countries, to develop commercial production and global distribution of medical grade cannabis in legalized markets. Through its subsidiaries, ARA – Avanti Rx Analytics Inc. and Avalon Pharmaceutical Inc., Nuuvera holds a Dealer License (GMP) under the Narcotic Control Regulations and Office of Controlled Substances. Nuuvera is currently in the final stages of the Health Canada review process to become a Licensed Producer of medical marijuana under the ACMPR, and has recently received its "letter to build" approval.
For more information on Nuuvera, please visit: www.nuuvera.com
About Aphria
Aphria Inc., one of Canada's lowest cost producers, produces, supplies and sells medical cannabis. Located in Leamington, Ontario, the greenhouse capital of Canada. Aphria is truly powered by sunlight, allowing for the most natural growing conditions available. We are committed to providing pharma-grade medical cannabis, superior patient care while balancing patient economics and returns to shareholders.
For more information, visit www.Aphria.com.
Notice regarding forward-looking statements:
This release includes forward-looking statements regarding Nuuvera and its business. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "is expected", "expects", "scheduled", "intends", "contemplates", "anticipates", "believes", "proposes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Such statements are based on the current expectations of the management of Nuuvera. The forward-looking events and circumstances discussed in this release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting Nuuvera, including risks regarding the cannabis industry, failure to obtain regulatory approvals, economic factors, the equity markets generally and risks associated with growth and competition. Although Nuuvera has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made Nuuvera undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange has in no way passed upon the merits of the transaction and has neither approved nor disapproved the content of this press release.
SOURCE Nuuvera Inc.
For media inquiries only, please contact: Justin Burrows, Venture Communications, [email protected], 1-416-276-7699
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