- Cannabis company, SLANG Worldwide (CSE:SLNG) has announced a strategic partnership with Gage Cannabis Co
- Gage Cannabis has received an exclusive license to produce and distribute SLANG’s product suite to Michigan consumers
- Under the agreement, SLANG will provide sales consulting services and receive royalties for branded products sold in Michigan
- A recent study by Michigan State University predicted that cannabis sales in Michigan could reach C$3 billion by 2025
- SLANG Worldwide (SLNG) is down 4.00 per cent and is currently trading at $0.24 per share
Cannabis company, SLANG Worldwide (CSE:SLNG) has announced a strategic partnership with Gage Cannabis Co.
The purpose of the partnership is to introduce new cannabis brands to consumers in Gage Cannabis’ home state of Michigan.
Pending regulatory approval, Gage Cannabis will be granted an exclusive license to produce and distribute SLANG’s products in Michigan.
Adding SLANG’s brands will help fortify Gage Cannabis’ offerings in cannabis product categories including vapes, edibles, and concentrates. Gage will use its increasing cultivation and processing capacity to produce the extra products.
Under the agreement, SLANG will provide Gage Cannabis with sales consulting services, along with production and distribution rights. In return, SLANG will receive royalty payments for every branded product sold in Michigan.
SLANG expects that its branded products will be available from Michigan provisioning centres by 2020’s fourth quarter.
SLANG Worldwide’s CEO, Peter Miller, said the company is excited to embark on this initiative with Gage.
“Gage has demonstrated an ability to scale as leaders in a rapidly growing and competitive market. By supporting their business with the diversified SLANG product offerings, we expect even greater mutual scale and success.
“This deal is directly on target with our licensing and partnership strategy, and we look forward to growing together,” he said.
Historically, Michigan has been one of the US’s top five cannabis markets. Since late 2019, when adult-use cannabis became available in Michigan, sales have steadily increased.
From March to April 2020, adult-use cannabis sales in the state have experienced 27 per cent growth month-over-month. Furthermore, a recent study by Michigan State University predicted that cannabis sales in Michigan could reach C$3 billion by 2025.
SLANG Worldwide (SLNG) is down 4.00 per cent and trading at $0.24 per share at 12:34pm EDT.