Valens GroWorks Corp (CSE:VGW) said it had been granted an all-important ACMPR licence from Health Canada for its cannabis oil ahead of the opening up of the adult use market in the country.
The firm received the licence to grow and produce the oil as a licensed producer (LP) under the ACMPR (access to cannabis for medical purposes regulations) through its wholly-owned subsidiary Valens Agritech Ltd (VAL).
READ: Valens GroWorks closes $27.3 million financing deal; plans to boost extraction capacity at its Kelowna facility
It marks the third cannabis licence, which has been granted to the company by Health Canada.
"With the two regulatory bodies merging on Oct. 17, the receipt of our LP licence is a step we deemed necessary to ensure the company has every opportunity to capitalize on the adult-use, medical and retail cannabis space, both domestically and internationally.
"Our licence to cultivate and produce oil under the ACMPR brings us one step closer to being able to offer Valens-branded products directly to consumers here in Canada.
"We are excited to finally share this milestone which plays vitally into our business development plans," said Valens Groworks chief executive Tyler Robson.
It means Valens' 25,000-square-foot facility in Kelowna, British Columbia, which was built specifically for extraction, is now licensed under both the Narcotics Control Regulations (NCR) and the ACMPR.
Valens' focus currently is on expansion opportunities into international markets and working on obtaining EU GMP certification.
"The receipt of the LP licence under the ACMPR, combined with the closing of the $27.3-million bought deal financing and the company's recent procurement of the exclusive Canadian rights to the production and distribution of Tarukino Holdings Inc.'s proprietary emulsion technology SoRSE, demonstrates the company's ability to strategically position itself to capitalize on every market available, both globally and domestically," it told investors in the regulatory release.
Shares added nearly 11% in Toronto to $1.94.
Reporting by Giles Gwinnett
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