Cronos Enters Venture to Launch Colombian Cannabis Company

Cronos Group (NASDAQ:CRON,TSX:CRON) announced a joint venture agreement to create a new company to develop a presence in the Colombian cannabis market.

As quoted in the press release:

Cronos Group is pleased to announce that it has entered into a joint venture agreement with an affiliate of Agroidea SAS (“AGI“), Colombia’s leading agricultural services provider with over 30 years of research, development and production operations. This partnership establishes a newly formed entity, NatuEra S.à r.l. (“NatuEra“), in Colombia that will develop, cultivate, manufacture and export cannabis-based medicinal and consumer products for the Latin American and global markets.

NatuEra is a 50/50 joint venture between Cronos Group and an affiliate of AGI. It will be led by AGI’s executive team, brothers Andres Nannetti and Nicolas Nannetti, who have extensive multi-generational expertise managing industrial scale horticultural operations for export from Colombia. Their experience includes the acquisition, re-structuring and management of Dole Food’s Fresh-Cut Flower Division, one of the world’s largest flower growing operations, with a greenhouse cultivation footprint of over 1,020 acres. Currently, AGI’s sophisticated business model provides services through five business units: a micro-propagation and tissue culture laboratory, plant production services, a plant health laboratory, plant genetics improvement, and a SaaS model for delivering online agricultural management tools. AGI has a roster of global clients, from producers such as Dole, food processors like Frito-Lay (Pepsico) and McCain, to agri-suppliers such as Bayer Agriculture and BASF.

NatuEra plans to develop its initial cultivation and manufacturing operations with a custom-built facility on 207 acres of available land located in Cundinamarca, Colombia. The natural environment and climate conditions of this region are particularly well suited for the growth of cannabis. Colombia is a global leader in tropical agricultural products for export and is poised to play a pivotal role as the cannabis industry expands globally and new markets continue to open.

Click here to read the full press release.

Source: www.newswire.ca