Aphria Inc. (TSX:APH) recently announced supply agreements with Nova Scotia and Ontario
SmallCapPower | August 29, 2018: Aphria Inc. (TSX:APH) Monday announced that it has signed a supply agreement with the Nova Scotia Liquor Corporation (NSLC). This agreement is to supply a range of high-quality branded cannabis and cannabis derivative products for sale in Nova Scotia’s adult-use market commencing from October 17, 2018.
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Aphria has been relentless in deploying its growth strategy and its rich product portfolio as well as using its technical knowhow to attract customers. New agreements indicate that Aphria is well positioned to supply the growing demand for cannabis. The Company has supply agreements in place with British Columbia, Alberta, Manitoba, Ontario, Quebec, New Brunswick, Yukon and now Nova Scotia. With an anticipated annual production of 255,000 kg by early 2019 and the Company’s cross-Canada partnership with Great North Distributors, Aphria appears well prepared to meet the anticipated demand for the adult-use recreational cannabis market across the country.
Aphria Chief Executive Officer Vic Neufeld said, “When the opening bell rings, Aphria will be ready to hit the ground running and has the infrastructure, know-how and capacity to deliver on all of our supply commitments. We’re also continuing our laser-focus on developing the cannabis products, product categories and innovations of tomorrow, to ensure Aphria drives the evolution of the market not just this coming year but in the many years to follow.”
Aphria Chief Commercial Officer Jakob Ripshtein added, “Today the NLSC has ensured that Nova Scotia’s adult-use consumers will have access to our thoughtfully developed brands and products come October 17. We are seeing tremendous momentum as provincial liquor boards and cannabis authorities across the country continue to respond favorably to our extensive range of product offerings. Each of our brands have been carefully developed to meet the needs and interest of distinct consumer segments, and we look forward to ensuring an ample supply is available to consumers in Nova Scotia and across the country.”
Shares of Aphria have surged about 27% during the past three trading sessions to its current price of $14.55. Aphria trades at a market capitalization of $3.48 billion with a price to book multiple of 2.70x.
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