WeedMD and Phivida Sign Definitive Agreement on Cannabis Beverages Inc..

WeedMD and Phivida Sign Definitive Agreement on Cannabis Beverages Inc..

WeedMD Inc. (TSX-V:WMD) (OTC:WDDMF) (FSE:4WE) and Phivida Holdings Inc. (CSE:VIDA) (OTC.PHVAF) are pleased to announce the signing of a final definitive joint venture agreement to develop and operate Cannabis Beverages Inc. at WeedMD’s state-of-the-art greenhouse facility in Strathroy, Ontario.

As an early mover in the cannabis-infused beverage marketplace, CanBev is positioning itself to capture substantial market share in Canada’s highly-anticipated consumable cannabis market. According to Consumer Health Products Canada, the CBD-infused products market is worth $5.6 billion in Canada alone. The joint venture will be focused on product development, manufacturing, marketing and supply of cannabis-infused drinks for Canada and export to accredited international markets.  Click here for an introductory video on the CanBev joint venture project.

Under the conditions of the Agreement, the two businesses will be strategic partners in the development of CanBev. WeedMD will serve as the exclusive supplier of cannabinoid extracts for use in innovative cannabis infused consumer products to be made at the CanBev facility. In doing so, WeedMD will designate manufacturing space at its 610,000 sq. ft. state-of-the-art licensed cultivation and processing facility located in Strathroy, Ontario.

In addition to supplying CanBev with premium, high quality cannabis, WeedMD will help CanBev with obtaining all necessary federal licenses and permits and has also agreed to offer all present and future genetics.

“We are thrilled to start the development of the joint venture. With the launching of CanBev, WeedMD will be one of the first to introduce an innovative and popular consumption method with our cannabis-infused drinks — incorporating a new brand class for the medical and adult-use markets,” stated Keith Merker, CEO of WeedMD. “WeedMD is proud to collaborate with Phivida on this joint venture and also to work alongside a world-class management team that includes former senior executives from beverage and other business leaders who worked for Red Bull®, Seagram’s®, Proctor and Gamble®, and McKesson. Leveraging proven success, we’ll be well-positioned to execute on our growth plans for infused drinks. ”

Phivida will be sublicensing its present and future trademarks, intellectual property, branding and packaging to CanBev.

“The Phivida team is excited to contribute our direction, expertise and product knowledge to the CanBev joint venture,” said Jim Bailey, CEO and President of Phivida. “WeedMD is the ideal partner for Phivida and we are thrilled to bring our cannabinoid-infused drinks and brands back home to Canada. WeedMD offers CanBev with solid infrastructure, strong direction, world-class genetics and proven success in the Canadian healthcare market. We are very proud to partner with best in class among the Canadian licensed producers. ”

The joint venture will be organised as a jointly-owned firm with a committed board of directors and operational management team. Phivida and WeedMD will retain 50% all the Class A shares. The shares issued will correspond to CanBev’s appointment of nominees to a Board of Directors– to be made up of five people, two nominated by Phivida, two by WeedMD, and one independent director.  Phivida and WeedMD have agreed to finance capital requirements of CanBev equally, and on a pro-rata basis, from their respective treasuries, beginning with initial shareholder improvements of $375,000 each.

Cannabis Beverages Inc..
Cannabis Beverages Inc. (or “CanBev”-RRB- plans to manufacture, market, and distribute cannabinoid infused products for use originally into the health care market as well as for the recreational Canadian markets, and then for use globally, where such products are permitted. CanBev cannabis-infused goods are expected to be available in retail locations and online throughout Canada in late 2019, or upon the execution of government legislation on consumables. CanBev has plans to build and operate a federally approved cannabis-infused beverage manufacturing facility to be located on the WeedMD 610,000 sq. ft. expansion property located in Strathroy, Ontario. CanBev has no plans to market any cannabis-infused goods in the U.S. or some other market unless or until it is legally permissible to do so at all government levels.

Phivida [“fiii-vee-daa”] infuses CBD derived from Hemp into functional foods, beverages and wellness products. Phivida uses encapsulated cannabinoids from hemp oil to water soluble form, improving bioavailability, and timed released in the body. Phivida’s CBD drinks, foods and nutritional supplements have a proprietary blend of phytonutraceuticals studied to target a selection of health conditions, from chronic pain, treatment of tension and stress to reducing inflammation in the body. The World Anti-Doping Association’s recently lifted a ban of CBD from hemp oil and the World Health Organization’s recent announcement supports clinical advantages of CBD for athletes and active households. Celebrating; Health and Wellness, In Harmony™, Phivida’s vision is to lead the market as the benchmark excellent standard in premium CBD infused foods, drinks and clinical products, with a dedication to research, education and investing back into the communities we serve. Phivida is a publicly traded company listed on the Canadian Securities Exchange under the ticker symbol “VIDA” and the OTCQX Market as “PHVAF”. Join our social networking network @Phivida.

SOURCE

Published at Wed, 15 Aug 2018 15:07:49 +0000

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