Geyser Brands (TSXV: GYSR) announced this morning that its subsidiary Apothecary Botanicals has signed a non-binder letter of intent with that of Yield Growth Corp (CSE: BOSS). The agreement will see Apothecary manufacture and distribute a line of cannabis infused products that include topicals, tinctures, and capsules under Yield Growth’s “Jack n Jane” brand.
The letter of intent marks one of the first co-packing agreements for Apothecary Brands, who will supply the cannabis for the formulations, and provide all manufacturing and distribution of the product through its Health Canada licensed production facility. Under the proposed arrangement, Yield Growth will provide only the branding and non-cannabis ingredients, while Apothecary handles everything else. The first products are expected to hit store shelves by the end of the year.
The goal of Apothecary Botanicals is to deliver innovative formulations and high-quality manufacturing using cannabis as an ingredient. This LOI shows that we are delivering on both. As the new cannabis legislation comes into force, we are scaling our licensed production into beverages, edibles and cosmetics. Our experience in food and beverage, cosmetics, and GMP manufacturing provides a complete platform for brands to enter the Canadian cannabis market.Geyser Brands CEO, Andreas Thatcher
Three tinctures under the Jack n Jane brand will be the first to hit store shelves by the end of the year, which are expected to contain both THC and CBD within the formulations. A timeline was not given for further products.
Geyser Brands is currently trading at $0.36 on the TSX Venture Exchange.
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