The Valens Company (TSX:VLNS, OTCQX:VLNCF) Inc. announced it has signed a regional distribution agreement with APOTEKA SRL, a pharmaceutical holding company based in Costa Rica with operations throughout Central America and the Caribbean.
Under the agreement, APOTEKA will bring Valens' nūance brand, into three core Central American markets including Costa Rica, the Dominican Republic and Panama. Valens said it also plans to introduce its Green Roads brand.
Valens said it has developed two CBD tinctures for APOTEKA that combine known wellness ingredients with CBD. The products will be manufactured by Green Roads and are made with coconut MCT oil. They come in coconut and peppermint flavor, with added terpenes, and will be available in two concentrations: 900 and 1,500 milligrams of CBD. Both tinctures have been carefully developed to match the tastes of local markets.
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"This partnership with APOTEKA, part of GFI Costa Rica, a multiregional conglomerate with a 45-year track record, is consistent with our distribution first, asset-light, growth model in international markets,” CEO and chair Tyler Robson said in a statement.
“With limited competition currently in these markets, and a reputable distribution partner in APOTEKA, we see a compelling opportunity to further develop an innovative product portfolio, establish a foothold in the region and expand our strategy across other Central American countries in the future as more countries liberalize their cannabis laws,” he added.
The company also announced it has secured A$540,000 of initial orders for GMP (good manufacturing practice) product from its Australian distribution partner, Cannvalate. This follows the recent announcement that it has secured access to GMP manufacturing in Australia through an exclusive partnership with Epsilon Healthcare, furthering its international expansion to GMP markets in Latin America, Europe, UK and the Asia-Pacific regions.
"We are excited to report our first GMP production through the Southport facility, marking our further expansion into the Australian market,” Valens president Jeff Fallows said.
“The order represents Valens taking advantage of Epsilon's large scale GMP manufacturing capability, with the capacity and means to provide further accelerated access to Europe through their TGA and EU GMP capabilities.”
Valens said it expects to continue to receive purchase orders of a similar or greater value under this arrangement on an ongoing basis, which is representative of the global shift to GMP and EU GMP production standards that the company is now able to deliver through its partnership with Epsilon Healthcare.
Contact the author at stephen.gunnion@proactiveinvestors.com