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Clever Leaves, Canopy Growth Sign Supply Deal

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Clever Leaves, Canopy Growth Sign Supply Deal

Versión en Español en El Planteo: Gigante del Cannabis Canopy Growth Anuncia Alianza Estrategica Con Clever Leaves en Colombia

Cannabis companies Clever Leaves and Canopy LATAM Corp. announced Tuesday a joint agreement to enroll in a regional supply deal that will last at least one year.

According to the terms, Clever Leaves is required to deliver extracted products from its Colombian cannabis farming sites and GMP-licensed processing system to the Canopy Growth’s (TSX:WEED) (NYSE:CGC) Latin American subsidiary.

If successful, both companies may renew the agreement for two additional years.

Kyle Detwiler, CEO of Clever Leaves, said the company strongly believes this agreement will yield them significant near-term revenue.

“It also validates Colombia as a key source for the future of the cannabinoid supply chain, an important milestone for both Canopy Growth and Clever Leaves," Detwiler said. "Certified with Good Manufacturing Practices (GMP) to produce medical cannabis, Clever Leaves is well-positioned to supply companies such as Canopy Growth, enhancing their returns on capital invested and enabling greater focus on downstream commercial activities.”

The company is managing around 1.8 million square feet of greenhouses in Colombia, where it received permits for cultivation, extraction, and commercialization of high-THC medical cannabis via exporting.

Clever Leaves is licensed under Colombia’s food and drug regulatory agency and has the potential to enter the league of large suppliers of medical cannabis on a global level.

“Clever Leaves has proven its capabilities in Colombia and through this supply agreement, Canopy LATAM is furthering the implementation of its asset-light model and accelerating time to market with regionally produced GMP-certified medical cannabis products,” said Canopy LATAM’s Managing Director Antonio Droghetti.

 

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