Westleaf Receives First Supply Order from Delta 9 for Vape Products
On November 4th, Westleaf Inc (TSXV: WL) finalized a one-year sales agreement with Delta 9 (TSX: DN) for cannabis 2.0 products. The first order entails a three-month supply of vape pens and cartridges, with a projected revenue of $740,000 beginning January 2020.
Delta 9, a licensed medical cannabis producer, is obligated to obtain a minimum of $4 million worth of white labelled cannabis product from Westleaf within the year, with the option to expand the order up to $16 million per annum. The initial agreement is for a period of one year.
Westleaf, a Canadian cannabis company that concentrates on retail, cultivation, extraction and production of cannabis by-products, had successfully received a Health Canada Standards Processing License on October 11th, and this new sales agreement is anticipated to further its vertical integration business strategy.
This is another important milestone in the development of Westleaf, as we add the critical processing and manufacturing component to our vertically integrated strategy.
Scott Hurd, President and CEO of Westleaf.
Westleaf Inc is currently trading at $0.30 on the TSX Venture.
Information for this analysis was found via Sedar, Delta 9 Cannabis, and Westleaf Inc. 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.
