Flora Growth Corp. (“Flora”), a leading all-outdoor cultivator and manufacturer of global cannabis products and brands, is pleased to announce it has entered into a definitive agreement with Canada-based Avaria Health & Beauty Corp. (“Avaria”) to form FloVaria Corp. (“FloVaria”), a joint venture company equally owned by Flora and Avaria. Through FloVaria, Flora will provide distribution, supply chain, and marketing support of KaLaya products in Colombia, Mexico, and other LATAM countries, while Avaria will initially supply the finished product to FloVaria. In the event that manufacturing costs from Canada become materially higher than the cost to produce in Colombia, FloVaria will explore moving its supply chain activities of Avaria products to Flora Lab. Any profits from the sale of KaLaya products via FloVaria will be divided equally between Flora and Avaria, increasing the value of Flora’s existing distribution channels. Further, Flora Lab will work to produce FloVaria’s cannabinoid-infused products, with an emphasis on incorporating cannabidiol (“CBD”), using cannabis from Flora’s cultivation facility. These products are expected to be distributed across LATAM using Flora Lab’s established distribution channels.
Mmp News Author, Medical Marijuana Program Connection, 11/26/2021 18:39:00