Heritage Cannabis (CSE: CANN) this morning announced that it has signed a term sheet for a contract manufacturing agreement with that of True North Agri Inc related to the sourcing of biomass and oil and vape cartridge production. The service is to be conducted via Heritage’s Voyage Cannabis subsidiary.
Further details on the matter were slim, with no financial details being provided by Heritage, nor the proposed length of the arrangement. What is known is that Voyage will be producing 1 to 1 CBD oil products, along with THC oil products and a full spectrum vape for True North.
It’s not clear when the arrangement is currently set to begin, however in any case it would be dependent on both parties signing a definitive arrangemnent.
The announcement this morning follows the release of financials by Heritage last night, with the company reporting revenues of $884,830 on a net basis. The results were rather disappointing given that cost of sales was higher than net revenues at $950,615, resulting in a net loss for the firm of $1.9 million for the three month period ended April 30, 2020.
Heritage Cannabis last traded at $0.14 on the CSE.
Information for this analysis was found via Sedar and Heritage Cannabis. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
