- AgraFlora (CSE:AGRA) subsidiary, Sustainable Growth Strategic Capital, has formed an extraction partnership for hemp processing
- The partnership is with an unnamed, top-tier extractor, located in Quebec
- The agreement includes Sustainable Growth’s joint venture partner, Micro C45, which will provide hemp biomass to the extractor
- Sustainable Growth will act as the funding partner of the extraction enterprise
- AgraFlora (AGRA) is down 6.25 per cent and is currently trading at C$0.075 per share
AgraFlora (CSE:AGRA) subsidiary, Sustainable Growth Strategic Capital, has formed an extraction partnership for hemp processing.
The partnership is with an unnamed top-tier extractor from Quebec. The extractor has GMP certification and advanced high-volume extraction capabilities.
The agreement is in junction with Sustainable Growth’s joint venture partner, Micro C45, which has a unique hemp separation process. Micro C45 has developed a post-harvest mechanical separation process, which produces higher extraction values from hemp biomass.
As a supply partner, Micro 45 will deliver 44,000 kilograms of hemp biomass, in four installations over six months. The unnamed extractor will use the high-quality biomass for crude and distillate extraction.
Sustainable Growth Strategic Capital will act as the funding partner of the extraction agreement.
AgraFlora’s Executive Chairman and CEO, Brandon Boddy, commented on the company’s role in the partnership.
“We see this new partnership as a nod to our capacity to deliver a technically superior extraction-ready material, and the ability to propel higher yields and throughputs resulting in efficiencies that drive costs down.
“The efficiencies garnered from higher quality input material will finally allow for reduced production costs in creating CBD products derived from hemp, ultimately allowing for more economical solutions for users and patients in health and wellness products, as well as across multiple medical product formats,” he said.
In other news, AgraFlora has announced plans to complete a non-brokered private placement for C$2 million in gross proceeds. The company will sell up to 26,666,667 units at 7.5 cents each.
Each unit will contain one common shares, plus one transferable share purchase warrant. Each warrant entitles the holder to buy another company share for 10 cents, within five years of the placement’s closing.
AgraFlora (AGRA) is down 6.25 per cent and is currently trading for 7.5 cents per share at 10:26am EDT.