The Green Organic Dutchman Holdings Ltd (TSX:TGOD, OTCMKTS:TGODF) has entered into a supply partnership with Velvet Management Inc that will allow for sales and distribution to provincial liquor and cannabis boards across Canada.
Via the new partnership with Velvet, The Green Organic Dutchman Holdings is given a strong entry point with every provincial liquor and cannabis board across Canada for the distribution of its cannabis products.
Velvet is a new company created by the largest wine distributor in Canada, Philippe Dandurand Wines.
In response to Canada’s recent legalization of cannabis, Dandurand set up Velvet Management to focus on the sales and marketing of cannabis brands. The Green Organic Dutchman is Velvet’s first cannabis partner and it will focus exclusively on the certified organic segment of the market and hold onto responsibility for brand marketing.
"Velvet will be a powerful partner with their knowledge of the industry, extensive contacts, and second to none distribution capabilities,” said Mike Gibbons, vice-president of sales, in a statement. “We look forward to seeing the tremendous success achieved by Dandurand in the wine and alcohol industry translate to the cannabis sector."
Vianney Aubrecht, president of Velvet, was also bullish on the new partnership.
“At Velvet, we are committed to selling only the highest-quality cannabis,” Aubrecht said in a statement. “TGOD does things the right way, from organic certification to packaging and branding. It’s a model we are used to in the wine business and we have very high expectations for the TGOD brand.”
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Dandurand has been a successful Canadian business since 1968, specializing in importing wines from various countries.
The Green Organic Dutchman Holdings, meanwhile, is an organic cannabis company, with operations focused on medical cannabis markets in Canada, Europe, the Caribbean and Latin America as well as the recreational cannabis market in Canada. The company’s products are tested in labs to ensure their safety and consistency.
The Green Organic Dutchman shares slipped 3.86% to close at C$3.24 on Wednesday.
Contact Ellen Kelleher at [email protected]