Leamington pot producer inks deal with booze distributor
Leamington marijuana producer Aphria inked a groundbreaking deal this week with an existing beverage distributor that will create an unprecedented sales network that can “hit the ground running ” as soon as weed is legalized, the company said in a news release.
The deal with Great North Distributors, a wholly-owned Canadian subsidiary of Southern Glazer’s Wine & Spirits, will ensure Aphria products flow to retailers across the country, whether they are privately owned or provincially run. Great North will “establish a dedicated cannabis sales team” to peddle Aphria products from “the most populated cities to the most remote locations,” in the country, the company release said.
“With this agreement, Aphria has established an unparalleled sales network, and will hit the ground running from the very first day of legal adult-use sales,” said Jakob Ripshtein, chief commercial officer of Aphria. “This deal will ensure that Aphria’s brands and products are proudly represented by cannabis retailers throughout the country.” The decision to “become the first beverage alcohol distributor to facilitate the legal distribution of cannabis reinforces our innovative, first-mover position in the industry,” said Doug Wieland, executive vice-president and general manager of Southern Glazer’s Wine and Spirits Canada.
A day before announcing the distribution deal, Aphria announced another deal that will see the company supply medical marijuana products to customers in Colombia.
Under the South American agreement, Aphria will be the exclusive supplier of cannabis products to Colombia-based drug company Colcanna SAS.
“We see tremendous potential for medical cannabis in several emerging markets, including Colombia,” Vic Neufeld, CEO of Aphria, said in a news release. “Aphria will continue to expand its global leadership through strategic investments, partnerships and agreements such as this one.” Aphria stock closed at $12.26 on the TSX Friday, up 37 cents or 3.11 per cent.