LAVAL, QC, Oct. 17, 2019 /CNW Telbec/ - Neptune Wellness
Solutions Inc. ("Neptune" or the "Company") (NASDAQ: NEPT) (TSX:
NEPT) is pleased to announce that it entered into an agreement to
provide extraction services to a large U.S.-based farming services
operation. Under the contract terms, Neptune will receive hemp
biomass to be processed and transformed into crude oil extracts.
The 2-year agreement could reach a total value in excess of
US$20 million. The first shipment of
biomass is expected to arrive at Neptune's North Carolina facility in the coming
weeks.
"This large contract will support our capacity expansion at our
North Carolina facility and better
position us to serve the growing United
States market. Our expansion in North Carolina is on time and on budget with
extraction capacity expected to reach an annual run-rate of
1,500,000 kg of biomass by December
2019. Demand for extraction and formulation services in the
U.S. is currently strong with the ongoing harvest season and our
tolling and formulation pipeline to deliver high quality full and
broad spectrum extracts remains robust. This announcement
represents a further step towards our customer and geographic
diversification strategy," said Michael
Cammarata, Neptune's CEO.
Neptune also recently appointed Brett
DuBose as Vice-President of Sales for the U.S. Region. Brett
has more than 20 years of sales experience, most recently with
Lonza Consumer Health and Nutrition where he was Associate Director
Sales, for the Eastern U.S and Canada. He has also worked for 14 years at
Pfizer in the Capsugel division, his last role being a Sales
Manager Generic & Dietary Supplement. "With his extensive
industry contacts and experience, Brett will play a key role in
helping Neptune accelerate its market penetration in the U.S.,"
said Mr. Cammarata.
Once Neptune's near-term capacity expansion plans are complete
and the Canadian expansion approved by Health Canada, the Company
is expected to have a total extraction capacity of 3,000,000 kg of
biomass annually, spread equally between Canada and the U.S.
About Neptune Wellness Solutions Inc.
Neptune Wellness
Solutions specializes in the extraction, purification and
formulation of health and wellness products. The Company has in
excess of 100 customers across several verticals including legal
cannabis and hemp, nutraceutical and consumer packaged goods.
Neptune's wholly owned subsidiary, 9354-7537 Québec Inc., is
licensed by Health Canada to process cannabis at its
50,000-square-foot facility located in Sherbrooke, Quebec. The Company also has a
24,000 square-foot facility located in North Carolina to process hemp biomass into
extracts. Neptune brings decades of experience in the natural
products sector to the legal cannabis and hemp industries.
Leveraging its scientific and technological expertise, the Company
sees applications for hemp-derived extracts in the U.S. beyond
existing markets and product forms and into personal care and home
care markets. Neptune's activities also include the development and
commercialization of turnkey nutrition solutions and patented
ingredients such as MaxSimil®, and a variety of marine and seed
oils. Its head office is located in Laval, Quebec.
Forward-Looking Statements
Statements in this press
release that are not statements of historical or current fact
constitute "forward-looking statements" within the meaning of the
U.S. securities laws and Canadian securities laws. Such
forward-looking statements involve known and unknown risks,
uncertainties, and other unknown factors that could cause the
actual results of Neptune to be materially different from
historical results or from any future results expressed or implied
by such forward-looking statements. In addition to statements which
explicitly describe such risks and uncertainties, readers are urged
to consider statements labeled with the terms "believes", "belief",
"expects", "intends", "projects", "anticipates", "will", "should",
"likely" or "plans" to be uncertain and forward-looking. 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 forward-looking statements contained in this press release
are expressly qualified in their entirety by this cautionary
statement and the "Cautionary Note Regarding Forward-Looking
Information" section contained in Neptune's latest Annual
Information Form (the "AIF"), which also forms part of Neptune's
latest annual report on Form 40-F, and which is available on SEDAR
at www.sedar.com, on EDGAR at www.sec.gov/edgar.html and on
the investor section of Neptune's website at www.neptunecorp.com.
All forward-looking statements in this press release are made as of
the date of this press release. Neptune does not undertake to
update any such forward-looking statements whether as a result of
new information, future events or otherwise, except as required by
law. The forward-looking statements contained herein are also
subject generally to other risks and uncertainties that are
described from time to time in Neptune public securities filings
with the Securities and Exchange Commission and the Canadian
securities commissions. Additional information about these
assumptions and risks and uncertainties is contained in the AIF
under "Risk Factors".
Neither NASDAQ nor the Toronto Stock Exchange accepts
responsibility for the adequacy or accuracy of this release.
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SOURCE Neptune Wellness Solutions Inc.