Cronos Group Inc. (NASDAQ : CRON ) (TSX: CRON) announced this morning that the company has entered into a joint venture agreement with Agroidea SAS, one of the leading agricultural companies in Colombia. Agroidea SAS has 30 years of experience in agricultural R&D and cultivation techniques.
Under the joint venture partnership, the companies are establishing NatuEra S.à r.l., or to better known as NatuEra. The new company is set to cultivate, extract, and manufacture medicinal based cannabis products to be distributed in Latin America and other legal countries around the world.
NatuEra will be run by Andres Nannetti and Nicolas Nannetti who have extensive experience in managing large scale horticulture projects in Latin America. The Cronos Group has partnered with Agroidea SAS based on the company’s intricate business model has been capable of developing micro-propagation and tissue cultures, plant health laboratories, and has experience studying plant based genetics.
NatuEra will begin construction on a state-of-the-art facility that is expected to meet GAP and GMP requirements for the cultivation, extraction, manufacturing, and distribution of cannabis. Both the Cronos Group and Agroidea SAS plans to fund the project and construction of the facility equally.
Mike Gorenstein, CEO of Cronos Group gave this statement in the press release, “We searched extensively for the right partner in Latin America. In AGI we have found an executive team with immense experience in running large scale horticultural operations and serving the needs of large, sophisticated international clients which will be crucial in establishing consistent and efficient supply chains for cannabinoid-based products.”