Chemesis’ subsidiary Natural Ventures signs an exclusive purchase order with PR ONE for a 3-year term
VANCOUVER, British Columbia, July 01, 2019 (GLOBE NEWSWIRE) -- Chemesis International Inc. (CSE: CSI) (OTC: CADMF) (FRA: CWAA) (the “Company” or “Chemesis”), through its subsidiary, Natural Ventures, announces it has signed an exclusive manufacturing agreement with PR ONE, a Puerto Rico based medical cannabis company. PR ONE’s flagship store is located in the San Juan Metro area and has over 6,000 ft2 of retail floor space. They are also currently working towards opening additional locations to meet growing demand from cannabis consumers.
The agreement has a 3-year term with automatic renewals and the initial orders will be for a minimum of $300,000 USD a month in cannabis infused products and a minimum of $200,000 USD in flower. Natural Ventures will be PR ONE’s main manufacturer and will maintain a first right of refusal for future products and additional dispensaries. As per the agreement, the initial order will be delivered in calendar Q4 of 2019 and as PR ONE’s demand increases, Natural Ventures will ensure it is able to meet PR ONE’s requirements.
“Natural Ventures continues to cement itself as a premier manufacturer for Puerto Rican cannabis companies and consumers,” said CEO of Chemesis, Edgar Montero. “Purchase orders from cannabis companies such as PR ONE serve as validation for our processes and continued dedication to quality and consistent products. Natural Ventures will continue to focus its efforts on securing more long-term contracts that build value and increase its presence in Puerto Rico.”
In addition, PR ONE will extend a line of credit of $500,000 USD at a 5% interest rate per annum. This line of credit will be extended to guarantee PR ONE's supply and will be used directly to ensure Natural Ventures meets purchase orders as they continue to grow.
On Behalf of The Board of Directors
CEO and Director
About Chemesis International Inc.
Chemesis International Inc. is a vertically integrated U.S. Multi-State operator with International operations in Puerto Rico, and Colombia.
The Company focuses on prudent capital allocation to ensure it maintains a first mover advantage as it enters new markets and is committed to differentiate itself by deploying resources in markets with major opportunities. The Company operates a portfolio of brands which cater to a wide community of cannabis consumers, with focus on quality and consistency.
Chemesis has facilities in both Puerto Rico and California, and is in the process of constructing a GMP certified facility in Colombia. Chemesis’ Puerto Rico operations are licensed to operate 100,000 ft2 of cultivation, and 35,000 ft2 of manufacturing floor space. The Company is positioned to win additional licenses in highly competitive merit-based US states, and will expand its footprint to ensure it maintains a first mover advantage.
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Forward-Looking Information: This news release contains "forward-looking information" within the meaning of applicable securities laws relating to statements regarding the Company's business, products and future of the Company’s business, its product offerings and plans for sales and marketing, including finalizing an acquisition in Colombia. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking information. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance and developments to differ materially from those contemplated by these statements depending on, among other things, the risks that the Company's products and plan will vary from those stated in this news release and the Company may not be able to carry out its business plans as expected. Except as required by law, the Company expressly disclaims any obligation and does not intend to update any forward-looking statements or forward-looking information in this news release. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct and makes no reference to profitability based on sales reported. The statements in this news release are made as of the date of this release.
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