Aleafia Health Inc. (TSXV:ALEF)(OTC:ALEAF), one of the Canadian marijuana stocks, is poised to supply CannTrust Holdings Inc. (TSX:TRST) with 15,000 kg of cannabis in 2019
SmallCapPower | October 1, 2018: Aleafia Health Inc. (TSXV:ALEF)(OTC:ALEAF), one of the Canadian cannabis stocks, said recently it has signed a supply a Memorandum of Understanding (MOU) with CannTrust Holdings Inc. (TSX:TRST) to supply 15,000 kg of cannabis in 2019. This comes after Aleafia received its sales license on September 4, 2018. It plans to leverage CannTrust’s processing and packaging expertise to develop its brands and products.
Aleafia recorded revenue from clinic operations in the second quarter and is expected to reach a fully-funded growing capacity of 38,000 kg of cannabis flower by early 2019. It is a leading, vertically-integrated cannabis company with major cannabis cultivation & processing and medical cannabis clinics business operations. It has ~ 50,000 individual medical cannabis patients under the Canabo Medical Clinic network.
Aleafia CEO Geoffrey Benic said, “This major supply MOU is a testament to the sustained momentum of Aleafia’s business strategy. Aleafia now boasts two cannabis production facilities, along with a medical cannabis clinic network that has attained 50,000 patients. The exponential growth achieved by our company will ensure we continue to provide sustained long-term value for both our patients and shareholders.”
Additionally, the Company announced on September 21, that it has been added to the Horizons Marijuana Life Sciences ETF (TSX:HMMJ). HMMJ is the world’s first and largest Exchange Traded Fund (ETF) with AUM of ~ $1.1 billion, offering direct exposure to North American publicly-listed life sciences and the marijuana stocks.
Aleafia Chairman Julian Fantino said, “Aleafia’s inclusion in the Horizons Marijuana Life Sciences ETF is a significant milestone for Aleafia, which has been made possible by the rapid progress made by our team. We welcome the increased exposure to the investment community that this will bring to Aleafia.”
Aleafia Health trades at a market capitalization of C$471.1 million with a price-to-book ratio of 7.35x.
Disclosure: Neither the author nor his family own shares in the company mentioned above.
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