- Delta 9 Cannabis (TSX:DN) has entered into a definitive agreement to acquire a five per cent interest in Oceanic Releaf
- In exchange, the company will provide Oceanic with consulting and training services over a one-year term
- Delta 9 has also entered into an agreement with the province of Newfoundland and Labrador, its Liquor Corporation, and Oceanic
- Under the agreement, Delta 9 will supply cannabis and cannabis-related products to the province, where Oceanic Relief is based
- Delta 9 Cannabis (DN) remains unchanged and is currently trading at C$0.48 per share
Delta 9 Cannabis (TSX:DN) has entered into a definitive agreement to acquire a five per cent interest in Oceanic Releaf.
Oceanic Releaf is a cannabis company, based in Burin, Newfoundland and Labrador. The company has a 63,000 square foot facility, and is about to finish Phase One of the facility’s retrofitting.
In exchange for five per cent interest in Oceanic’s common stock, Delta 9 will pay consideration in services rendered. Instead of cash or shares, the company will pay Oceanic by providing consulting and training services over a one-year term.
Oceanic Releaf’s President, Taylor Giovannini, welcomed the agreement, which she believes will revitalise the community of Burin.
“We are so excited by the opportunity to work with a company like Delta 9, to learn from them, and especially to see them invest in our province.
“It’s proof that we have the potential to contribute something special to the cannabis industry, both here at home and around the world – fresh, clean products from one of the last unspoiled areas in North America.
“Strategic partnership with Delta 9 will elevate Oceanic’s expertise and expedite products to market,” she said.
Delta 9 is continuing its investment in Oceanic’s province through a second, separate agreement. The company has entered into a three-way agreement with the province of Newfoundland and Labrador, Oceanic Releaf, and Newfoundland and Labrador Liquor Corporation.
Through this agreement, Delta 9 will provide Canada’s easternmost province with a supply of cannabis and cannabis-related products.
Delta 9’s CEO, John Arbuthnot, said the company is looking forward to helping start-up cannabis companies like Oceanic to grow.
“We also look forward to bringing our portfolio of high quality Delta 9 products into the Province of Newfoundland and Labrador.
“This marks Delta 9’s first direct investment in a cannabis company in Newfoundland and Labrador, and when looking for opportunities to do so in that province, Oceanic stood out as a clear choice,” he said.
Delta 9 Cannabis (DN) remains unchanged and is trading at C$0.48 per share, as of 12:31pm EDT.