KELOWNA – The Valens Company Inc., a leading manufacturer of cannabis products, has entered into a custom manufacturing agreement with Experion Biotechnologies Inc., a partner of the Company’s recently acquired LYF Food Technologies Inc. Experion is a licensed cultivator, processor and brand builder with a portfolio of premium products.
Under the agreement, Valens will provide end-to-end pre-roll manufacturing and product distribution services to Experion – the Company’s first custom manufacturing agreement of this nature following the receipt of its Health Canada licence amendment to sell dried cannabis products. In partnership, Valens and Experion will expand the pre-roll offering for Experion’s popular Citizen Stash brand, which is focused on providing consumers the highest quality handcrafted, small batch cannabis.
“We are excited to kick off our pre-roll manufacturing services with the commencement of our agreement with Experion and expedite the entry of Valens-manufactured dried cannabis products into the Canadian market,” said Tyler Robson, Chief Executive Officer, Co-Founder and Chair of The Valens Company. “Citizen Stash is synonymous with best-in-class products and we are proud to be chosen as a partner who can deliver on customized and premium quality products for the brand.”
“We are pleased to work with Valens as this partnership will allow Experion to expand production to facilitate broader consumer access to our award-winning Citizen Stash products,” stated Jarrett Malnarich, Chief Executive Officer of Experion Biotechnologies. “Partnering with an industry leader such as Valens allows us to immediately multiply our capacity and positions us to quickly develop next generation product lines. We believe this relationship demonstrates to the market that we are laser-focused on driving revenue by expanding our capacity to deliver premium cannabis products across Canada.”
The terms of the agreement support a minimum two-year partnership with monthly minimum order quantities. Valens and Experion are in continued discussions to expand the existing agreement to include additional product development and custom manufacturing services for a range of next generation products beyond gummies, which are currently being manufactured at the LYF facility, and pre-rolls. There is, however, no assurance that any such deal would be reached.
Additionally, on March 5, 2021, Valens announced the closing of its acquisition of LYF. In connection with the LYF acquisition and per the requirements of the Toronto Stock Exchange, Valens carries out its operations in compliance with the applicable laws of each jurisdiction in which the Company operates with respect to the cultivation, distribution, sale, or possession of cannabis (including laws applicable to anti-money laundering) to the extent applicable to the activities being undertaken by the Company in such jurisdiction.