PHARMADRUG INC. SIGNS CANNABIS SUPPLY AGREEMENT WITH EVE & CO.
Toronto, Ontario – July 22, 2020 – PharmaDrug Inc. (CSE: BUZZ) (OTC: LMLLF) (“PharmaDrug” or the “Company”) is pleased to announce that it has entered into a supply agreement (the “Supply Agreement”) with Natural MedCo Ltd.(“NMC”), a Canadian Licensed Producer of medical cannabis and a wholly-owned subsidiary of Eve & Co Incorporated (“Eve & Co”) (TSX-C: EVE; QTCQX: EEVVF) for bulk and finished EU-GMP medical cannabis.
Pursuant to the Supply Agreement, PharmaDrug will purchase and import into Germany between 250-500 kilograms of cannabis flower on a bulk basis. NMC has already achieved EU-GMP certification from Germany and PharmaDrug will register the product for its import over the next couple of months. The company anticipates it should begin receiving shipments in the final quarter 2020. The flower will be packaged in Germany and sold under PharmaDrug’s own in house brand.
Daniel Cohen, CEO of PharmaDrug, commented, “We are pleased to begin this new relationship with Eve & Co. The company is seeing a stronger than anticipated demand for medical cannabis in the German marketplace, but supply chain continues to be a challenge. Eve & Co. is one of the few Canadian cultivators that has been able to achieve EU-GMP certification and we believe it speaks volumes on their standards and operations. We look forward to working with Eve and Co and we hope we will continue to explore avenues of collaboration and potentially expand the supply agreement to include more strains and larger volumes.
Melinda Rombouts, CEO and Director of Eve & Co also commented, “We are very pleased to enter this agreement with PharmaDrug. We are impressed with their leadership, established sales and strong distribution network throughout Germany and look forward to working with PharmaDrug as both our companies grow into the German market.”
PharmaDrug Germany Update
As Pharmadrug continues to develop its business in Germany, management believes that the Company will see significant growth in the next 12 months. The Company sales efforts have borne fruit and the number of pharmacies in its distribution network has more than tripled since the start of the year. That being said, the supply of Bedrocan has become increasingly scarce and does not meet PharmaDrug’s current demand. PharmaDrug plans to achieve critical mass of volumes in Germany by expanding its supply chain with contracts such as the one announced today with Eve & Co and by layering in supply from agreements already signed in Israel and Canada.
About PharmaDrug Inc.
PharmaDrug Inc. is building an international controlled substance and natural medicine company with a focus on Europe. The Company owns 80% of Pharmadrug GmbH, a German medical cannabis distributor, with a Schedule I European Union narcotics license allowing for the importation and distribution of medical cannabis to pharmacies in Germany and throughout the EU. The Company also owns 100% of Super Smart, an early-stage retail company focused on consolidating the fragmented Dutch smartshop market. Smartshops are retail establishments in The Netherlands that specialize in the sale of psychoactive substances including psychedelic truffles.
About EVE & CO Inc.
Eve & Co, through its wholly-owned subsidiary Natural MedCo Ltd., holds cultivation and processing licences under the Cannabis Act (Canada) for the production and sale of various cannabis products, including dried cannabis, cannabis plants and extraction of cannabis oil and has received its European Union certificate of Good Manufacturing Practice. Natural MedCo Ltd. was Canada’s first female-founded licensed producer of medicinal marijuana and received its cultivation licence from Health Canada in 2016. Eve & Co is led by a team of agricultural experts and has a licensed 1,000,000 square foot greenhouse located in Strathroy, Ontario.
For further information, please contact:
Daniel Cohen, Chairman and CEO
Caution Regarding Forward-Looking Information:
THE CANADIAN SECURITIES EXCHANGE HAS NOT REVIEWED NOR DOES IT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
This news release may contain forward-looking statements and information based on current expectations. These statements should not be read as guarantees of future performance or results of the Company. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management’s reasonable assumptions, there can be no assurance that such assumptions will prove to be correct. We assume no responsibility to update or revise them to reflect new events or circumstances. The Company’s securities have not been registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”), or applicable state securities laws, and may not be offered or sold to, or for the account or benefit of, persons in the United States or “U.S. Persons”, as such term is defined in Regulations under the U.S. Securities Act, absent registration or an applicable exemption from such registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in the United States or any jurisdiction in which such offer, solicitation or sale would be unlawful. Additionally, there are known and unknown risk factors which could cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained herein, such as, but not limited to dependence on obtaining regulatory approvals; the ability to locate additional supply of medical cannabis, owning interests in companies or projects that are engaged in activities currently considered illegal under United States federal law; changes in laws; limited operating history, reliance on management, requirements for additional financing, competition, hindering market growth; regulatory and political change. All forward-looking information herein is qualified in its entirety by this cautionary statement, and the Company disclaims any obligation to revise or update any such forward-looking information or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect future results, events or developments, except as required by law.