ICC International Cannabis Corp (OTCMKTS:WLDCF) (CSE:WRLD.U) announced two strategic hemp acquisitions, which mean it can execute its 2019 and 2020 purchase orders.
The Vancouver-based firm has struck a deal to buy 155 metric tonnes of processed industrial hemp from Eviana Health Corporation (Eviana) and simultaneously entered into a definitive agreement to acquire 100% of Future Hemp Corp (Future Hemp), which holds an exclusive supply agreement for the delivery of 400 metric tonnes of certified organic hemp from a licensed Croatian producer, the company said in a statement.
Securing the hemp inventories via these acquisitions mean ICC can deliver product to its distribution network starting in the second quarter this year. International Cannabis has an exclusive agreement with Cosmos, a European-based pharmaceutical distributor, which has a trans-European network of over 160 clients and vendors.
The company highlighted that it now boasts of local presence in 13 European countries via licensing or off-take agreements. It also now has supplies on hand of products ready for sale starting in Q2 2019 and an experienced operational team.
"This grants the company additional ability to post significant operating numbers in 2019 and secure its first-mover advantage in what is probably the world’s largest and most important unified market for CBD products," the company said Friday
"By combining a material stockpile of already processed hemp with a steady pipeline of organic hemp available for harvest, ICC is fully equipped to execute upon its 2019 and 2020 purchase order obligations."
Hundreds of millions of dollars
Organic CBD (cannabidiol) isolate is currently trading within the European Union at €12,000 equivalent per kilogram, which will translate to hundreds of millions of dollars of realizable revenues to ICC, the firm noted.
"By further formulating and branding into a market starved for product, the company could geometrically multiply this figure," it added.
The 155 metric tonnes of processed, extraction-ready hemp will be transported to Eviana’s existing Serbian facilities for immediate extraction in the coming days.
For the Future Hemp agreement, the harvest of 400 tonnes of certified organic hemp is expected to take place in September this year. Then the product will be sorted, processed and then transported for end extraction and distribution.
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