Canna-V-Cell

Developing Disruptive Biofarming Technology for the Cannabis Industry

This profile is part of a paid investor education campaign.*

Overview

Canna-V-Cell Sciences Inc. (CSE:CNVC) is the exclusive international cannabis licensee for the patent-protected BioHarvest technology, a large-scale plant cell growth technology capable of producing active plant ingredients without having to grow the plant itself. Canna-V-Cell is adapting this technology to create the active ingredients found in cannabis so that the company can become a leading medical and recreational cannabis supplier.

The global cannabis market is expected to reach US$66.3 billion by the end of 2025, according to a report by Grand View Research. Most of the growth is being driven by the adoption of cannabis in the pharmaceutical industry as new products are being developed to treat severe medical conditions, such as cancer, Parkinsons, Alzheimers and arthritis. However, issues with cannabis supply can affect the long-term growth of the industry as more countries initiate cannabis programs and legislative reforms, making it difficult for licensed producers to provide enough high-quality products to meet the demand.

Canna-V-Cell believes it has developed a solution to the cannabis supply and consistency problem with the BioHarvest technology called biofarming. The technology isolates the active ingredient cells from the cannabis plant before multiplying (growing) them in the biofarming process. The technology can do this without using any solvent extraction, genetic modification or synthetic molecular processing techniques. To facilitate its biofarming operation, Canna-V-Cell has built a production facility that can produce approximately one ton of cannabis active ingredients powder (equivalent the cannabis plant dried bud) per year in a 100-square-meter space. The company intends to increase its production to 10 tons per year by 2022.

The company is currently in the feasibility testing phase of development but expects to release its products by 2020. Using a B2B business model, Canna-V-Cell intends to sell its active ingredients as a powder for repackaging and formulation to its clients. In addition the company may license the technology in order to accelerate the industry adoption curve.

BioHarvest has already demonstrating the feasibility and viability of the biofarming technology through its commercially available product called VINIA. This product is based on red grapes.  It contains all the healthy ingredients (polyphenols) without the sugar, calories or alcohol found in wine and grapes. Consumers can currently purchase the powder in 400-milligram daily dose.

Canna-V-Cell Company Highlights

  • Over 10 years and $30 million have been invested in developing the Biofarming technology.
  • The Biofarming technology is expected to ease bottlenecks in the cannabis industry.
  • Canna-V-Cell will be utilizing a B2B business model and will supply its active ingredient products as a powder for repackaging by its clients.
  • The company is expecting to launch its products by 2020.
  • The current production capacity of the company’s facility is 2 tons per year and is expected to increase to 10 tons per year.
  • Canna-V-Cell’s seasoned management team has a track record of success behind them.
  • Bioharvest (the inventor and licensor of Biofarming) notably holds 50 percent of shares.

Canna-V-Cell’s Patented BioHarvest Technology

BioHarvest has spent 10 years developing its internationally patented Biofarming technology. The technology has undergone numerous clinical trials, pre-clinical trials and in-vitro studies to support the structural-functional claims of the products. Canna-V-Cell is now adapting the technology to produce the active ingredients in cannabis without having to grow cannabis.

As the exclusive global license holder of BioHarvest, Canna-V-Cell plans to use a B2B business model. The company will provide its active cannabis ingredients to interested parties in a powdered form for repackaging in different forms. The company is currently in its feasibility stage of testing but expects to roll out its technology by 2020.

Canna-V-Cell has built a production facility that can currently produce approximately one ton of cannabis cells per year in a 100-square-meter space. The company intends to increase its production to 10 tons per year by 2022.

Cannavcell-produced-trichomes

Trichomes grown in the callus produced by Cannavcell.

regular cannabis trichomes

Trichomes of a cannabis plant

How it works

The technology isolates specific cell-produced compounds while maintaining its structural consistency. The cells are then grown commercially in liquid bioreactors without using any solvent extraction, genetic modification or synthetic molecular processing techniques. In the end, plant phytochemicals are produced in high concentrations and in their natural state, ensuring optimal bioavailability and efficacy.

Simply put, Canna-V-Cell only has to isolate the cells from the cannabis plant once before being able to multiply them through the biofarming process.

Canna-V-Cell How it works

The advantages of biofarming

Canna-V-Cell’s technology provides several advantages over traditional cannabis growing operations. As the technology only needs the active ingredients from the plant, there is no need to build out costly growing facilities. Production costs can also be reduced significantly, and the facilities can be built anywhere.

Biofarms are also resistant to adverse weather conditions and operate in an aseptic environment, limiting problems with fungi and pesticides. The farms also offer more growth cycles when compared to their traditional counterparts. Canna-V-Cell is able to produce new cells within as little as three weeks, providing them with up to 17 growth cycles per year; whereas, conventional farming operations can complete between two to four grow cycles per year depending on the facility and climate.

Easing bottlenecks in the cannabis industry

Biofarming could ease bottlenecks in the cannabis industry on the cultivation side. Many cannabis cultivation companies are focused on providing high-quality cannabis products to their consumers consistently but are unable to do so due to external factors in the growing process. By eliminating the need for multiple plants through the cloning of the plant cells, Canna-V-Cell can deliver consistent cannabis products and compounds.

Another issue that Canna-V-Cell’s technology addresses is the cannabis industry’s supply crunch. After cannabis legalization in Canada, numerous press releases have “hit the stands” concerning supply shortages. Biofarming provides a solution to this problem by offering short “cultivation” times, allowing for up to 17 growth cycles per year.

VINIA

VINIA is the product developed by BioHarvest using the Biofarming technology. VINIA has been proven to help promote healthy blood circulation and antioxidant activity and supports the elasticity of blood vessels and blood pressure already within a normal range.

Management

Dr. Zaki Rakib —CEO and Director

Dr. Zaki Rakib is a veteran serial entrepreneur and executive. He was the founder and CEO of a company that reached a market cap of $7 billion on the NASDAQ in 2000.

Dr. Yochi Hagay —CTO

Dr. Yochi Hagay is the co-founder of BioHarvest and the one who led the original team that developed and implemented the biofarming technology.


*Disclaimer: This profile is sponsored by Canna-V-Cell Sciences Inc. (CSE:CNVC). This profile provides information which was sourced by the Investing News Network (INN) and approved by Canna-V-Cell Sciences Inc., in order to help investors learn more about the company. Canna-V-Cell Sciences Inc. is a client of INN. The company’s campaign fees pay for INN to create and update this profile.

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The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with Canna-V-Cell Sciences Inc. and seek advice from a qualified investment advisor.