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Bonify Signs Cannabis Concentrate Program Agreement With MediPharm Labs Inc.
TORONTO, Aug. 02, 2018 (GLOBE NEWSWIRE) -- MediPharm Labs Inc. ("MediPharm" or the "Company") is pleased to announce that it has entered into a Cannabis Concentrate Program Agreement dated July 31, 2018 (the "Agreement") with 6779264 Manitoba Ltd. (O/A Bonify) ("Bonify"). Pursuant to the Agreement, the parties have entered into a commercial arrangement whereby Bonify will provide MediPharm with dried cannabis to use for the purposes of creating purity-assured cannabis oil (the "Program").
Subject to the bulk transfer approval of Health Canada, Bonify will ship dried cannabis to MediPharm which MediPharm will use to produce cannabis oil. The parties intend that under the Program, MediPharm may provide cannabis oil to Bonify or to other licensed producers of medical cannabis at the direction of Bonify. Alternatively, Bonify may release the cannabis extract for use by MediPharm. The Program will be established at no capital cost to Bonify; however, MediPharm will charge Bonify processing fees for the cannabis oil produced, and the revenue earned on sales of cannabis oil by MediPharm will be shared between MediPharm and Bonify.
Dalbir Bains, Bonify’s President and Chief Executive Officer, said: "This initiative with MediPharm is aligned with our mission to help make our patient and customer lives better by offering smoke free cannabis products. Bonify intends on being a leader in providing derivative cannabis products targeted at customers who are seeking alternatives to traditional pharmaceuticals and over the counter products. We look forward to working with MediPharm on this exciting initiative."
Pat McCutcheon, MediPharm’s President and Chief Executive Officer, said: “We’re very excited to provide an elevated oil strategy to Manitoba’s elite cannabis cultivators. We’re thrilled to be linking provinces together through quality and innovation in product development.”
The Program will be for an initial term of one year.
Bonify is a Canadian-owned Licensed Producer and leading provider of medical cannabis. By maximizing research findings and strictly adhering to best-in-class practices, quality standards and procedures, Bonify produces medical cannabis products to help individuals get the most out of life each and every day. With over 1,000,000 square feet of potential productive capacity at its present site in Winnipeg, Manitoba, Canada, when at full scale, Bonify will be capable of growing over 100,000 kg of cannabis annually.
For additional information about Bonify, please refer to Bonify’s website: www.bonify.com.
About MediPharm Labs Inc.
Founded in 2015, MediPharm is a pioneer in the cannabis industry and has the distinction of being the first company in Canada to become a licensed producer for cannabis oil production under the Access to Cannabis for Medical Purposes Regulations (ACMPR) without first receiving a cannabis cultivation licence. This expert focus on cannabis concentrates from our cGMP (current Good Manufacturing Practices) and ISO standard clean rooms and critical environments laboratory, allows MediPharm to work with its established, Health Canada-approved cultivation partners to produce pharmaceutical-grade cannabis oil with a competitive advantage. MediPharm is research-driven and focused on downstream secondary extraction methodology, distillation, and cannabinoid isolation and purification. MediPharm provides B2B contract processing of cannabis to Canadian authorized licensed producers and appropriate international growers, supplying integrity-assured cannabis oil to qualified companies for sale under their own brand. In addition, MediPharm will supply raw materials, formulations, processing and packaging for the creation of ready-to-sell advanced derivative products. Through its subsidiary, MediPharm Labs Australia Pty. Ltd., MediPharm has also completed its application process with the federal Office of Drug Control to extract and import medical cannabis products in Australia.
For additional information about MediPharm, please see MediPharm’s website: www.medipharmlabs.com.
For Additional Information Available:
Pat McCutcheon, President and CEO
Notice regarding forward-looking statements:
This press release contains forward-looking statements about MediPharm and its business which may include, but is not limited to, risk, uncertainties and other factors that may cause actual events to differ materially from current expectations. The forward-looking events and circumstances discussed in this release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting MediPharm. For example, there can be no guarantee that the Program will proceed as intended by the parties and set out in the Agreement. Other risk factors include risks regarding the cannabis industry, economic factors, the equity markets generally and risks associated with growth and competition. Although MediPharm has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.