- Valens announces four-year extraction and white label
agreement with Emerald Health Therapeutics Inc. with annual minimum
quantities of 10,000 kilograms
- Valens enters into multi-year distillate and SōRSE emulsion
supply agreement with large-scale confectionary company, Dynaleo
Inc.
- Valens agreements containing white label services officially
surpass number of extraction only agreements
- Valens announces new OTCQX ticker, 'VLNCF', as part of the
Company's rebranding initiative
KELOWNA, B.C, Dec. 23, 2019 /CNW/ - Valens GroWorks
Corp (TSXV: VLNS) (OTCQX: VLNCF) (the "Company",
"Valens" or "The Valens Company") a vertically
integrated provider of industry leading extraction products and
services; including a diverse suite of extraction methodologies,
next generation cannabinoid delivery formats and an ISO 17025
accredited analytical lab, is pleased to announce a multi-year
extraction and white label agreement with Emerald Health
Therapeutics Inc. ("Emerald
Heath"), a multi-year product supply agreement with
Dynaleo Inc. ("Dynaleo"), and an update of its OTCQX stock
ticker to VLNCF.
Valens signs multi-year extraction and white-label agreement
with Emerald Health
The agreement has an initial four-year term, with Emerald Health
supplying Valens with an annual minimum quantity of 10,000
kilograms of cannabis and hemp biomass. Valens will process the
biomass provided by Emerald Health on a fee for service basis into
premium quality resins and distillates using the Company's leading
proprietary extraction processing methods. In addition to
extraction services, Valens will provide Emerald Health with a
variety of white label services including formulation, mixing and
filling for product formats including vaporizers, softgels and
tinctures. Valens expects to receive and begin processing the first
shipment from Emerald Health in Q1 of fiscal 2020 and currently
holds all required licensing from Health Canada to carry out its
obligations under the agreement.
"We are pleased to have Valens as one of our strategic
manufacturing partners, and look forward to bringing the
variety of products we will generate with them to market," said
Riaz Bandali, CEO of
Emerald. "Beyond being an industry leader in extraction,
formulation, and other services, Valens'
cost-effective end-to-end fulfillment solution can
help transition our novel product ideas into tangible products
in a faster and more cost-effective manner."
"We are excited to partner with Emerald Health to provide our
extraction and white label expertise to bolster their product
platform," said Tyler Robson, CEO of
The Valens Company. "Emerald Health is one of the industry's
leading players, focused on an important medical cannabis patient
program for individuals in need across Canada. We look forward to working closely
with the team at Emerald Health as they scale their operations and
expand their product portfolio for years to come."
Valens signs multi-year product supply agreement with
large-scale edibles producer, Dynaleo
The agreement has an initial two year term, with two automatic
one-year renewals ("Additional Term"). Under the two-year initial
term of the agreement, Valens will supply Dynaleo with distillate
or SōRSE emulsions containing a minimum of 40 kilograms of active
THC or CBD cannabinoids for use in the production of edibles for
the regulated Canadian cannabis adult-use market. During the
Additional Term, Dynaleo will purchase from Valens a minimum of 50
kilograms of active THC or CBD cannabinoids in distillate or SōRSE
emulsion in year three and 75 kilograms of active THC or CBD
cannabinoids in distillate or SōRSE emulsion in year four.
Under the terms of the agreement, if Dynaleo decides to receive
emulsified, high-potency cannabis oil, this will be processed for
an additional charge utilizing Valens' proprietary, licensed
emulsion technology, SōRSE. This technology is proven to remain
stable against various levels of heat during confectionary
production processes and provides a superior consumer experience
with ingestible products such as increased bioavailability as well
as rapid, consistent onset and offset.
"As a supply chain partner that focuses on supplying safe, high
quality oil-based products that deliver customized user experiences
through proprietary, next generation technologies and delivery
methods, we are very excited to be working with the reputable and
experienced team at Dynaleo," said Jeff
Fallows, President of The Valens Company. "The team at
Dynaleo have been active in the Canadian cannabis sector for many
years advocating for safe, high-quality edibles for the adult use
market. We look forward to supporting their operations with quality
active cannabis inputs and to seeing their purpose-built,
state-of-the-art, large scale facility come online in 2020 giving
Dynaleo the capacity to produce more that 400,000,000 units in
their first year of operations."
Valens' OTCQX ticker changes to 'VLNCF'
Further to our press release on December
17, 2019, announcing the rebranding of The Valens Company,
the company has received the final regulatory approvals for the
ticker symbol change on the OTCQX. As of market open today,
December 23, 2019, the Company will
now be recognized on the OTCQX with the ticker 'VLNCF' to
align with its recent rebranding.
About The Valens Company
The Valens Company is a global leader in the end-to-end
development and manufacturing of innovative, cannabinoid-based
products. The Company is focused on being the partner of choice for
leading Canadian and international cannabis brands by providing
best-in-class, proprietary services including CO2, ethanol,
hydrocarbon, solvent-less and terpene extraction, analytical
testing, formulation and white label product development and
manufacturing. Valens is the largest third-party extraction
company in Canada with an annual
capacity of 425,000 kg of dried cannabis and hemp biomass at our
purpose-built facility in Kelowna,
British Columbia which is in the process of becoming
European Union (EU) Good Manufacturing Practices (GMP)
compliant. The Valens Company currently offers a wide range
of product formats, including tinctures, two-piece caps, soft gels,
oral sprays and vape pens as well as beverages, concentrates,
topicals, edibles, injectables, natural health products and has a
strong pipeline of next generation products in development for
future release. Finally, the Company's wholly-owned
subsidiary Valens Labs is a Health
Canada licensed ISO 17025 accredited cannabis testing lab providing
sector-leading analytical services and has partnered with Thermo
Fisher Scientific to develop a Centre of Excellence in Plant-Based
Science. The Company expects to formally change its name in due
course. For more information, please visit
http://thevalenscompany.com. The Company's investor deck can
be found specifically at
http://thevalenscompany.com/investors/.
Notice regarding Forward Looking Statements
This news release contains certain "forward-looking statements"
within the meaning of such statements under applicable securities
law. Forward-looking statements are frequently characterized by
words such as "anticipates", "plan", "continue", "expect",
"project", "intend", "believe", "anticipate", "estimate", "may",
"will", "potential", "proposed", "positioned" and other similar
words, or statements that certain events or conditions "may" or
"will" occur. These statements are only predictions. Various
assumptions were used in drawing the conclusions or making the
projections contained in the forward-looking statements throughout
this news release. Forward-looking statements are based on the
opinions and estimates of management at the date the statements are
made and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ
materially from those projected in the forward-looking statements.
The Company is under no obligation, and expressly disclaims any
intention or obligation, to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as expressly required by applicable law.
The TSXV or other regulatory authority has not reviewed,
approved or disapproved the contents of this press release. We seek
Safe Harbour.
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SOURCE Valens GroWorks Corp.