MPX International’s Wholly-Owned Subsidiary, Canveda Inc., Enters Into a Purchase Agreement With Zenabis Ltd. for the Supply of Cannabis
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TORONTO, Aug. 12, 2020 (GLOBE NEWSWIRE) -- MPX International Corporation (“MPX International”, “MPXI” or the “Corporation”) (CSE:MPXI; OTCQX:MPXOF), a multinational diversified cannabis company, is pleased to announce that its wholly-owned subsidiary, Canveda Inc. (“Canveda”), a licence holder under the Cannabis Act (Canada), has entered into a purchase agreement for high quality cannabis flower from Zenabis Global Inc (“Zenabis”), a large scale Canadian producer with an estimated 96,400 kg of licensed cannabis cultivation space.
“MPX International has a strong presence in the international cannabis market and we have identified several international opportunities that are interested in purchasing Canadian cannabis. This, combined with the growth of our domestic medical cannabis projects, our recent Canadian retail distribution agreements in Alberta and Saskatchewan as well as our developing international marketing initiatives require us to partner with a large scale Canadian producer in order to fulfill our product needs,” noted Michael Arnkvarn COO Canada of MPXI. “We were introduced to Zenabis as a potential partner and have been impressed by the magnitude and quality of products that they have to offer.”
The supply agreement between the parties secures Canveda 300 – 1,000 kg of cannabis flower per calendar quarter. The initial shipment of 100 kg will be sent to Israel as soon as an export permit from Health Canada is acquired. All the required import permits from Israel have been issued.
Daniel Burns, Chair of the Board of Directors of Zenabis, stated, "We are excited to formalize our partnership with MPXI, and we look forward to being a strong, consistent partner in ongoing cannabis delivery."
“We welcome the arrangement with a quality producer like Zenabis,” stated W. Scott Boyes, Chairman, President and CEO of MPX International. “This agreement is consistent with our strategy of acting as an intermediary between Canadian cannabis license holders and the domestic and international markets. Internationally, we are working to expand distribution of the Salus BioPharma brand to additional international markets, following on our initial foray into the international cannabis market with the arrangement with Panaxia Pharmaceutical Industries Ltd. in Israel, we are working to expand distribution to additional international markets. Domestically, we are making great strides to advance revenues of our Canadian operations. Canveda has entered into supply agreements with the Provincial Governments of Alberta and Saskatchewan to supply high quality flower. Our wholly-owned Spartan Wellness Corporation, is using our Medical Cannabis Learning Network (the “MCLN”) to connect military veterans and first responders to Canveda through the Spartan Network (https://spartannetwork.ca) and has entered into a services agreement with Medical Cannabis by Shoppers Drug Mart Inc., a subsidiary of Shoppers Drug Mart, to utilize its network of volunteers and professionals to perform clinical services for Shopper Drug Mart patients. We have also been engaged by and Miramedia Retail Inc. to jointly develop the MiraCBD portal and for Miramedia to utilize with retailers, natural health practitioners and consumers to connect their customers to the MCLN platform. We think that these developments, amongst other initiatives that we are working on both in Canada and abroad will drive an increase of shareholder value as the disruptions from COVID-19 begin to ease.”
About MPX International Corporation
MPX International Corporation is a multinational diversified cannabis company focused on developing and operating assets across the international cannabis industry with an emphasis on cultivating, manufacturing and marketing products which include cannabinoids as their primary active ingredient. With current operations spanning four continents in Canada, Switzerland, South Africa, Malta and Australia as well as evolving partnership and distribution opportunities in other jurisdictions, MPXI continues to position itself as an emergent global participant in the cannabis industry.
About Zenabis Ltd.
Zenabis (TSX: ZENA) is a significant Canadian licensed cultivator of medical and recreational cannabis, Zenabis is a significant Canadian licensed cultivator of medical and recreational cannabis, and a propagator and cultivator of floral and vegetable products. Zenabis employs staff coast-to-coast, across facilities in Atholville, New Brunswick; Delta, Aldergrove, Pitt Meadows and Langley, British Columbia; and Stellarton, Nova Scotia. Zenabis currently has 96,400 kg of licensed cannabis cultivation space and four licensed facilities. Zenabis has 3.5 million square feet of total facility space dedicated to a mix of cannabis production and cultivation and its non-cannabis propagation and floral business.
Zenabis expects its Zenabis Atholville, Zenabis Stellarton and Zenabis Langley facilities to be in steady state production in 2020. The Zenabis brand name is used in the cannabis medical market, the Namaste, Blazery, and Re-Up brand names are used in the cannabis adult-use recreational market, and the True Büch brand name is used for Zenabis’ kombucha products.
Cautionary Statement Regarding Forward-Looking Information
This news release includes certain “forward-looking statements” under applicable Canadian securities legislation that are not historical facts. Forward-looking statements involve risks, uncertainties, and other factors that could cause actual results, performance, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements in this news release include, but are not limited to, MPX International’s objectives and intentions. Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties and other factors which may cause actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic and social uncertainties; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; delay or failure to receive board, shareholder or regulatory approvals; those additional risks set out in MPX International’s public documents filed on SEDAR at www.sedar.com, including its audited annual consolidated financial statements for the financial years ended September 30, 2019 and 2018 and the corresponding annual management’s discussion and analysis; and other matters discussed in this news release. Although MPX International believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except where required by law, MPX International disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
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Released August 12, 2020