On February 21, 2018, Canopy Growth Corporation (“Canopy Growth”) (TSX:WEED) announced the signing of a definitive supply agreement with Sunniva Inc. (“Sunniva”) (CSE:SNN) (OTCQX:SNNVF). Through the terms of a two-year agreement, Canopy Growth will purchase up to 90,000 kilograms of dried cannabis from Sunniva’s wholly-owned Canadian subsidiary, Sunniva Medical Inc., a late-stage Access to Cannabis for Medical Purposes Regulations (“ACMPR”) applicant. The deal secures a diverse supply of curated cannabis products for Canopy Growth as well as establishing a reliable sales channel and stream of revenue for Sunniva, with appropriate risk sharing formulas in place for both parties.
The agreement will expand the existing line-up of Canopy Growth genetics and will develop sales opportunities for Sunniva through Canopy Growth’s extensive distribution network, including Tweedmainstreet.com, the planned Tweed retail store network across the country, and through provinces in which Canopy has already established historic supply agreements. Sunniva is developing a 700,000 sq. ft. GMP-certified greenhouse facility in British Columbia which will act as the primary production facility to meet the agreement’s supply goals.
About Sunniva Inc.:
Sunniva, through its subsidiaries, is a medical cannabis company operating in Canada and California where it is committed to delivering cannabis products and services at scale.
About Canopy Growth Corporation:
Canopy Growth is a diversified cannabis and hemp company, offering distinct brands and curated cannabis varieties in dried, oil and Softgel capsule forms.