Two British Columbian cannabis producers have agreed to a new shared cultivation deal that will allow for the production of dried flower in the thousands of kilograms.

After the markets closed on Tuesday (October 22), Zenabis Global (TSX:ZENA) and privately held cannabis producer Tantalus Labs announced the deal, which is for an unspecified amount of cannabis production. No other details, such as compensation or breaking fees, were given.

The plants will be grown and harvested at Zenabis’ Langley, British Columbia, facility. Later, the Tantalus Labs team will take care of drying, trimming and packaging the resulting product.


Cannabis - Will The Fortune 500 Join The Party?

Our Exclusive FREE Report Contains Information You NEED To Know About Cannabis Stock Investing!

Tantalus Labs’ methods and growing style will be used for specific segments of marijuana at Zenabis’ operation. These plants will originate from genetic material from Tantalus Labs.

Andrew Grieve, CEO of Zenabis, said he is pleased his company was picked for this partnership with a company known for its “meticulous approach” at growing.

“We share Tantalus Labs’ commitment to continuously push growing practices and standards onward and upward for the efficient production of high-quality, sungrown cannabis,” Grieve said.

Shares of Zenabis dropped sharply as the markets opened on Wednesday (October 23). The company had seen a decline of 7 percent by 10:32 a.m. EDT, resulting in a price per share of C$0.46. Eventually, trading settled for the company and it closed the day with only a 2 percent drop for a price of C$0.49.

Tuesday’s release indicates that the cultivation agreement’s initial term will be two years, with growing and supply taking place in 2020 and 2021.

Tantalus Labs CEO Dan Sutton shared excitement for the possibilities of this new partnership.

“This relationship will allow Tantalus to deliver our sungrown quality promise to an expanding audience in Canada, while collaborating with some of the brightest agricultural minds in this new Canadian cannabis industry,” Sutton said.

Zenabis faces stock market hardship

The share price drop for Zenabis continues a negative trend for the company this week. On Monday (October 21), the firm was forced to adjust development plans for its expansion in Langley, the same facility that the Tantalus Labs deal relates to.

Zenabis informed investors it will split its expansion plans into two phases, Zenabis Langley — Part 2B and Zenabis Langley — Part 2C, and it will also delay the new second stage of this expansion.

This delay was met with a drop in value for the British Columbian cannabis producer. Over a year-to-date period, shares of Zenabis have declined 92.25 percent, representing a loss per share of C$5.53.

“By early in the first quarter of 2020, we expect to have 111,200 kilograms of capacity licensed and operational with the approval of the Zenabis Langley — Part 2B amendment,” Grieve said.

Don’t forget to follow us @INN_Cannabis for real-time news updates!

Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.


Cannabis - Will The Fortune 500 Join The Party?

Our Exclusive FREE Report Contains Information You NEED To Know About Cannabis Stock Investing!

Matica Enterprises Inc. (CSE: MMJ) (FSE: 39N) (OTCQB: MMJFF) (“Matica” or the “Company”) is pleased to announce that, in connection with the previously announced share consolidation on a thirty (30) for one (1) basis (the “Consolidation”), the Company will be changing its name to West Island Brands Inc. (the “Name Change”).

The common shares are scheduled to begin trading on a post-consolidation basis at market open on October 20, 2021 under the stock symbol “WIB”. The new CUSIP number will be 953400108 and the new ISIN number will be CA9534001081. Following the Consolidation, the Company will have approximately 10,712,484 common shares issued and outstanding.

Keep reading... Show less

In the cannabis space this week, a popular beverage maker hired a new executive in hopes of pursuing opportunities in the cannabis drink industry.

Meanwhile, Canopy Growth (NASDAQ:CGC,TSX:WEED) announced a fresh acquisition agreement for a partner designed to boost its presence in a potentially available US adult-use cannabis market.

Keep reading... Show less

Via InvestorWireIBN (“InvestorBrandNetwork”), a multifaceted financial news and publishing company, today announces that it will be collaborating with Microdose Psychedelic Insights for the Psych e delic Capital: October 2021 Conference which is set to be held in an entirely virtual format on Oct. 28, 2021.

The Psychedelic Capital: October Conference is set to be a virtual event, covering the most innovative and cutting-edge companies, latest IPOs, newest opportunities and deepest insights into the global psychedelic industry. From exploring ongoing governmental policy shifts to commercial product breakthroughs, the conference will serve to educate attendees on the potential uses and benefits attached to psychedelics in today’s environment.

Keep reading... Show less

 Adastra Holdings Ltd. (formerly Phyto Extractions Inc.) (CSE: XTRX) (FRA: D2EP) (“Adastra” or the “Company”) today announced positive operational and financial developments as the Company continues to pursue its mission to be a leader in the development and manufacture of pharma-quality, cannabis API and derivative products. These developments include record shipments in September, product portfolio expansion, and continued progress with Health Canada regarding its Controlled Substances Dealers License application.

Record September Shipments
Adastra shipped 68,272 consumer-packaged units and 20,000g of bulk extract in September compared to 41,571 units in September 2020 , a 64% increase year over year.

Keep reading... Show less

Matica Enterprises Inc. (CSE: MMJ) (FSE: 39N) (OTCQB: MMJFF) (“Matica” or the “Company”) is pleased to announce that, pursuant to a director’s resolution, the Company will be consolidating its issued and outstanding share capital on the basis of every thirty (30) old Common Shares being consolidated into one (1) new Common Share (the “Share Consolidation”). Any fractional shares remaining after giving effect to the Share Consolidation will be cancelled.

As a result, the outstanding Common Shares of the Company will be reduced to approximately 10,712,484. The Company has no other securities outstanding.

Keep reading... Show less