- VGW to produce minimum of 2.2 million vape pens over two-year period
- The introductory line of Made By BRNT-branded vape pens to contain Valens’ proprietary formulations
- The milestone agreement represents gross revenue potential for Valens of more than $50 million
In the largest publicly announced, multiyear, white-label agreement to date for a branded finished product in the Canadian cannabis industry, Valens GroWorks Corp. (TSX.V: VGW) (OTCQX: VGWCF) announced that it has partnered with BRNT Ltd. to launch a line of cannabis vape pens in Canada.
Under the terms of the agreement, Valens—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—will work closely with BRNT to produce a minimum of 2.2 million vape pens over an initial two-year time period (http://cnw.fm/l0A4w). The extract formulations will be developed, crafted and tested by Valens, with Valens also overseeing the filing and distribution of the product. BRNT will facilitate the hardware design and development of the vaporizer as well as national marketing and sales efforts. The line of single-source, cannabis-extract vaporizers with artfully designed hardware will be branded by BRNT and be made available exclusively through the company’s introductory vaporizer line, Made By.
“As Valens begins official production of next generation products for Cannabis 2.0, we are excited to be collaborating with BRNT to bring to market a line of differentiated, high quality, concentrate vape products for Canadian consumers,” said Valens GroWorks CEO Tyler Robson. “BRNT has shown impressive sales growth and market understanding through its ancillary offerings. In pairing their retail and product knowledge with Valens’ processing and product development capabilities we believe this provides a solid foundation to provide a product with strong consumer appeal.”
The milestone agreement represents gross revenue potential to Valens of more than $50 million in the first two years, subject to final acceptance from provincial distributors at the proposed price per unit. While the initial agreement calls for Valens to produce at least 2.2 million vape pens in two years, it also includes two successive one-year renewal options. Valens anticipates initial shipment under the agreement to occur during the first fiscal quarter of 2020.
“Valens has demonstrated a commitment to cannabis extraction on a global scale that is driven by passion and quality,” said BRNT Group CEO Simon Grigenas. “It was a natural fit for BRNT to collaborate with Valens to bring the Made By vaporizers brand to life with a partner that can mirror our globally recognized signature design aesthetic and brand development capabilities. BRNT and Valens are setting a new industry standard by creating meaningful brands and products through a focused, profitable approach, as opposed to the traditional vertical integration seen today.”
Valens GroWorks Corp. is a multi-licensed, vertically integrated cannabis company 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. 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 its purpose-built facility in Kelowna, British Columbia. The facility is currently in the process of becoming European Union (EU) Good Manufacturing Practices (GMP) compliant.
For more information, visit the company’s website at www.ValensGroWorks.com
CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.
To receive instant SMS alerts, text CANNABIS to 21000 (U.S. Mobile Phones Only)
For more information please visit https://www.CannabisNewsWire.com
Do you have a questions or are you interested in working with CNW? Ask our Editor
CannabisNewsWire is part of the InvestorBrandNetwork.