Ayurcann Holdings Corp announced it has agreed to a manufacturing and distribution agreement with Innocan Pharma Corporation, a pharmaceutical technology company that develops drug delivery platforms that contain CBD.
The agreement sees Ayurcann manufacture Innocan’s Relief and Go topical products and SHIR Beauty skincare line at its facility in Pickering, Ontario.
Toronto-based Ayurcann will also become the exclusive Canadian distributor for the products, according to a statement.
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The firm will pay Innocan royalties based on net sales of the products it sells in Canada.
Ayurcann’s B2B processing facility in the Greater Toronto Area provides services for Canadian licensed producers – anything from extraction and refinement to bulk oil sales and white label manufacturing.
CEO Igal Sudman said that the company is “excited” to manufacture and introduce Innocan’s skin care line as and topical products in Canada.
“We believe that Innocan's patent-pending, CBD-integrated products will be some of the highest quality CBD products to enter the market to date. The pharmaceutical expertise of Innocan together with Ayurcann’s large extraction capacity and manufacturing capabilities will be combined to bring top of the line products to market at scale and price points that will allow for wide market access.”
Sudman told investors that the agreement also positions both companies for CBD deregulation, allowing Ayurcann and Innocan's CBD products to be further scaled through national retailers when possible.
"InnoCan is looking forward to selling its unique line of products in Canada in collaboration with Ayurcann," said Iris Bincovich, InnoCan's CEO and a member of Ayurcann’s advisory board. "The market opportunity in Canada is unique as Canada was one of the early adaptors of CBD usage and potential customers in Canada are knowledgeable about the benefits offered by CBD.”
The agreement is subject to Health Canada approval.
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