Nextleaf Solutions (OILS.C) has expanded their retail reach to include the Saskatchewan adult-use market and anticipates more provinces in the next few months, according to a press release.
The company launched their vape cartridges into provincial retail through their Commercial Partners Program, and it represents a milestone for OILS in terms of the commercialization of their intellectual property portfolio.
“This represents the first step in OILS entering the adult-use market in a meaningful way. We look forward to a sequence of product launches in the months ahead, as Nextleaf supports the launch of innovative cannabis products through its Commercial Partners Program,” said Paul Pedersen, Nextleaf’s CEO.
Nextleaf Labs, the company’s subsidiary, closed the bulk sale of THC distillate to a BC-based licensed cannabis processor for manufacturing and distribution of cannabis products through provincial retail. The company has also entered into a bulk cannabis supply agreement another BC-based processor, and one of Canada’s top brands to supply over 100 kilograms of CBD distillate for white labelling.
“We see this as the beginning of a long-term relationship with a cannabis brand that does some of the highest sales volume in Canada,” said Charles Ackerman, Nextleaf’s CFO.
These sales and distribution deals come with supply deals as well, as Nextleaf has one for bulk cnanabis biomass wherein a client will supply them with 2,000 kilograms of THC and CBH cannabis biomass so Nextleaf Labs can process it into THC and CBD oils using their extraction platform.
They have already contracted supply of over 27,000 kilograms of dried cannabis biomass from licensed cultivators using their Commercial Partners Program, which they have processed and are working on selling to the Canadian wholesale market.
“We believe our investment in IP and our existing fixed asset base will help OILS ensure the long-term sustainability of our business, provide a robust platform to scale, and a clear competitive advantage to provide high quality cannabinoids produced through Nextleaf’s ultra-efficient cannabis oil refinery,” Ackerman said.