Eve & Co Announces Second German Supply Agreement; Provides Update on First German Supply Agreement
TORONTO, May 29, 2019 (GLOBE NEWSWIRE) -- Eve & Co Incorporated (the “Company” or “Eve & Co”) (TSXV: EVE; OTCQB: EEVVF) is pleased to announce that its wholly-owned subsidiary Natural MedCo Ltd. has entered into a second binding non-exclusive supply agreement for the sale of dried cannabis to a German importer and distributor.
The supply agreement is for an initial term of three years and is automatically renewable for two subsequent two-year terms unless otherwise terminated by the parties at the end of the initial or renewal term. The German distributor has agreed to purchase 500 kilograms of dried cannabis per month for the first two months and a minimum of 1,000 kilograms and a maximum of 5,000 kilograms per month for the next 22 months. The Company expects to commence shipments subsequent to the anticipated Q2 2019 completion of its 780,000 square foot greenhouse expansion, and the anticipated subsequent approval thereof by Health Canada.
This is a very significant supply agreement for Eve & Co. as it provides another inroad to the German market. The timing fits well with our anticipated expansion facilities coming online and the related ramp up of production
said Melinda Rombouts, President and Chief Executive Officer of Eve & Co.
The purchase and sale of dried cannabis under the supply agreement are subject to various conditions precedent, including receipt of all requisite regulatory approvals, including applicable Canadian and Germany export and import authorizations.
Eve & Co is also pleased to announce that the German importer and distributor with respect to Eve & Co’s initial German supply agreement, as announced on January 30, 2019, has now received the necessary import permit from the German government. Eve & Co is now in the process of seeking the necessary export permit from Health Canada and anticipates that is will commence shipping product pursuant to this supply agreement by Q3 2019.
Eve & Co, through its wholly-owned subsidiary Natural MedCo Ltd., holds cultivation and processing licenses under the Cannabis Act (Canada) for the production and sale of various cannabis products, including dried cannabis, cannabis plants and cannabis oil. Natural MedCo Ltd. was Canada’s first female founded licensed producer of medicinal marijuana and received its cultivation license from Health Canada in 2016.
Eve & Co is led by a team of agricultural experts and has a licenced 220,000 sq. ft. scalable greenhouse production facility located in Middlesex County, Ontario with 32 acres of adjacent land for future expansion. Eve & Co is constructing an additional 780,000 sq. ft. expansion, bringing Eve & Co’s total anticipated greenhouse capacity to 1,000,000 sq. ft.
The Company’s website can be visited at www.evecannabis.ca.
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Certain statements in this press release constitute forward-looking information. All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the Company’s expansion and construction plans and the expected timing of completion, opportunities for growth, future, strategy, plans, objectives, goals and targets, ability to execute on its export sales and any statements preceded by, followed by or that include the words “believe”, “expect”, “aim”, “intend”, “plan”, “continue”, “will”, “may”, “would”, “anticipate”, “estimate”, “forecast”, “predict”, “project”, “seek”, “should” or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company’s expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict, including those described in the Company’s management’s discussion and analysis for the two and fourteen months ended December 31, 2018 which is available on the Company’s SEDAR profile. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. The forward-looking information and forward-looking statements included in this news release are made as of the date of this news release the Company does not undertake an obligation to publicly update such forward-looking information or forward-looking information to reflect new information, subsequent events or otherwise unless required by applicable securities law.