WeedMD Launches CX Industries, A Wholly Owned Extraction Subsidiary
WeedMD Inc. (TSX-V:WMD) (OTCQX:WDDMF) (FSE:4WE) (“WeedMD” or the “Company”), a federally-licensed producer and distributor of medical-grade cannabis, is pleased to announce it has launched CX Industries Inc. (“CX Industries” or “CX”), a wholly-owned subsidiary that will specialize in extraction, tolling processing and third-party product formulation from WeedMD’s fully-licensed Aylmer, Ontario facility. CX Industries will have the capacity to process more than 200,000 kgs of biomass at its peak production in 2020.
“The launch of CX Industries represents the next step in the evolution of WeedMD. The marriage of consistent low-cost input material from our cultivation platform with our fully-licensed extraction hub in Aylmer truly sets us apart. Our management team is now working with strategic partners to provide a platform for entrepreneurs and seasoned brands to enter the concentrates market, building on our history of collaborating successfully with our peers in the cannabis industry. We have a solid reputation for executing on our production platforms – rooted in our integrity and transparency, combined with our ability to scale. CX offers world-class extraction and end-to-end production solutions as the market readies for the launch of extracts later this year.”Keith Merker, CEO of WeedMD
The Company recently announced the transition of its Aylmer, Ontario facility, now CX Industries, into a large-scale cannabis extraction and processing hub. Together with its greenhouse cultivation and outdoor grow that is in full operation at its Strathroy facility, WeedMD is producing significant low-cost biomass input for extraction. Read more here.
Details about CX Industries’ extraction facility:
- Fully licensed for cannabis oil production and sale, having processed oils onsite since June 2017
- Four fully-operational extraction lines to be brought progressively online starting in 2019 with the ability to process over 200,000 kgs of biomass annually at peak production
- Ability to provide formulation capabilities for wholesale and white label manufacturing
- Facility will be renovated to meet GxP* standards to support compliance for both domestic and international markets
- Fully-licensed 26,000 sq. ft. facility is located on an expandable four-acre site wholly-owned by WeedMD
- WeedMD will supply a large quantity of input material for cannabis extraction from both its hybrid greenhouse and outdoor production platforms at its Strathroy site
*GxP encompasses a broad range of compliance-related activities such as Good Laboratory Practices, Good Manufacturing Practices and Good Production Practices.
For more information, access WeedMD’s investor presentation here and 2019 corporate video highlights here.
About CX Industries Inc.
CX Industries is a wholly-owned subsidiary of WeedMD Inc. CX operates out of the Company’s fully-licensed 26,000 sq. ft. Aylmer, Ontario production facility and specializes in cannabis extraction and processing. The facility is located on four acres of expandable property owned by WeedMD. At peak production in 2020, CX is expected to extract and process more than 200,000 kgs of biomass annually.
About WeedMD Inc.
WeedMD Inc. is the publicly-traded parent company of WeedMD Rx Inc., a federally-licensed producer and distributor of cannabis products for both the medical and adult-use markets. The Company owns and operates two facilities: a 158-acre state-of-the-art greenhouse and outdoor facility located in Strathroy, Ontario and a 26,000 sq. ft. extraction and processing facility in Aylmer, Ontario operating as CX Industries Inc. The Company currently has 136,000 square feet of licensed indoor and greenhouse production space and is expected to have a total footprint of more than 550,000 square feet of indoor and greenhouse production online in 2019. Additionally, 27 acres or 1,176,000 sq. ft. of outdoor cultivation is licensed and fully operational with first harvest expected in October 2019. WeedMD has a multi-channeled distribution strategy that includes selling directly to medical patients, strategic relationships across the seniors’ market and supply agreements with Shoppers Drug Mart as well as six provincial distribution agencies where WeedMD’s adult-use brand Color Cannabis is sold.
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