Cann Group (ASX:CAN) - CEO, Peter Crock
CEO, Peter Crock
Source: Cannabis Club Australia
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Cann Group (CAN) has signed a five year supply agreement with Pure Cann New Zealand
  • Under this agreement, Cann will be the main production and manufacture partner for Pure Cann
  • Pure Cann is focusing on creating a business to supply medicinal cannabis to patients in New Zealand
  • This follows New Zealand’s new laws around medicinal cannabis that came into place earlier this month.
  • These new rules are to make it easier for doctors to prescribe medicinal cannabis and for manufacturing and cultivating licenses to be granted
  • Cann is up slightly on the market today, selling shares for 87.5¢ per share

Cann Group (CAN) has signed a five year supply agreement with Pure Cann New Zealand.

Under this agreement, Cann will be the primary production and manufacture partner for Pure Cann.

Pure Cann is building a patient-centric medicinal cannabis business and is focused on supplying medicinal cannabis to patients in New Zealand.

The country’s medicinal cannabis new rules came into effect on April 1 2020 and were put in place to make it easier for doctors to prescribe medicinal cannabis and for manufacturing and cultivating licenses to be granted.

Cann will supply products manufactured from cannabis flowers grown at Cann Group’s existing facilities, including the Mildura facility.

Cann, through its subsidiary Botanitech, holds a 3.9 per cent interest in Pure Cann. The company purchased the holding for NZ$1 million. This new agreement will also allow Cann to increase its holding to 7.7 per cent.

To receive this holding the company will purchase a further NZ$1 million in Pure Cann’s shares.

“Our ability to secure supply agreements with quality long-term partners helps support the value of our expansion plans and reinforces Cann Group as a leader in cannabis genetics, cultivation and manufacture,” Cann Group CEO Peter Crock, said.

The existing technical service agreement (TSA) between the companies has also been extended until April 2026.

Cann is up slightly on the market today, selling shares for 87.5¢ per share at market close.

CAN by the numbers
More From The Market Herald
The Market Herald Video

" Proteomics International Laboratories (ASX:PIQ) signs binding LOI with Sonic Healthcare USA

Proteomics International Laboratories (ASX:PIQ) signs a binding letter of intent to introduce PromarkerD to the US.
The Market Herald Video

" Dimerix (ASX:DXB) submits new patent family application for DMX-700

Dimerix (ASX:DXB) has submitted a new patent family application for its flagship DMX-700 used to treat…
The Market Herald Video

" Mesoblast (ASX:MSB) raises US$45m for lead products

Mesoblast (ASX:MSB) completes its private placement which raised US$45 million (A$64.5 million).
The Market Herald Video

" Imugene (ASX:IMU) sees “positive signs” from lung cancer trial, presents data at 2022 world conference

Imugene (ASX:IMU) presents new data from its PD1-Vaxx trial in non-small cell lung cancer patients at…