Sundial Growers Enters Agreement To Manufacture Licensed Concentrates, Sell Rocky View Facility

Sundial Growers (NASDAQ: SNDL) this morning announced that it has entered into a non-binding agreement to sell its Rocky View Facility for $5 million as part of a new licensing agreement with Simply Solventless Concentrates. The licensing agreement itself will see the company utilize SSC’s intellectual property to process and manufacture solventless cannabis concentrate products at the Rocky View facility.

SSC is to receive a royalty on products manufactured and sold using their brand, or their technology. The firm is to provide non-cannabis materials under the arrangement to product solventless products, while also paying a monthly administration fee of an undisclosed amount. 75% of the cannabis products used in the concentrates is required to be cultivated by Sundial unless inventory is not available.

In regards to the ongoing discussions related to the sale of the Rocky View facility to SSC, the companies are reportedly working towards entering a definitive agreement. Such agreement reportedly requires due diligence, finalization of terms and licensing approval from Health Canada.

It is not clear if the licensing agreement will cease to exist upon the sale of the facility to SSC, given that this is where the products are being manufactured.

Products to be manufactured reportedly include products “from old school hash to live rosin.” Products produced under the arrangement are expected to be in stores in the second quarter of 2021.

Sundial Growers last traded at $0.47 on the Nasdaq.


Information for this briefing was found via Sedar and Sundial Growers. 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. The author holds no licenses.

Video Articles

Is Gold’s Bull Market About to Hit Junior Stocks? | Ken Armstrong – Westhaven Gold

Surge Battery Metals: The Nevada North Lithium PEA

Silver @ $36 & We’re Still 200M Oz Short | Paul Andre Huet – Americas Gold and Silver

Recommended

Goliath Resources Closes Out Funding Round With Total Gross Proceeds Of $27.1 Million

Silver47 Kickstarts 4,000 Metre Drill Campaign At Red Mountain Project

Related News

Sundial Growers Readies for Nasdaq Listing

Sundial Growers put out a release this morning, indicating that the firm had raised over...

Monday, July 8, 2019, 10:34:23 AM

Sundial Reveals 10.1% Stake In The Valens Company

In an unexpected announcement this morning, it appears that Sundial Growers (NASDAQ: SNDL) is eyeing...

Tuesday, May 4, 2021, 07:12:44 AM

Sundial Growers Reports $56.1 Million In Revenue, $230.2 Million Net Loss In 2021

After a series of delays, Sundial Growers Inc. (Nasdaq: SNDL) finally reported late on Wednesday...

Thursday, April 28, 2022, 10:46:00 AM

Sundial Growers: Canaccord Initiates Coverage With US$0.30 Price Target

This morning, Canaccord Genuity initiated coverage on Sundial Growers (NASDAQ: SNDL) with a US$0.30 price...

Monday, November 16, 2020, 12:12:19 PM

Sundial Raises US$89.1 Million From Warrant Exercise, Issues 98.3 Million New Warrants

Sundial Growers (NASDAQ: SNDL) this morning released a brief release, announcing that the company has...

Friday, February 19, 2021, 09:32:43 AM