Namaste Technologies Inc (CVE:N) (OTCMKTS:NXTTF) announced Tuesday its subsidiary CannMart Inc has added premium craft cannabis brand Kief Cannabis Co to its product line and signed a supply agreement with Alberta Gaming, Liquor & Cannabis.
Additionally, Namaste said it continues to make strides to improve its overall financial performance and increase efficiencies through the consolidation of specific web properties.
Kief, is a pure craft cannabis company in which Namaste holds a minority stake and certain product purchasing rights. Kief recently received its Health Canada licence and its premium quality leaf products are expected to join the CannMart family of premium brands offered for medical patients on CannMart's website and through its network of B2B sales channels.
READ: Namaste partner Choklat wins Health Canada license to produce cannabis-infused chocolate edibles
CannMart has also signed a supply agreement with AGLC, the agency responsible for regulating and distributing cannabis to Alberta's licensed retailers and the sole legal online retailer for recreational cannabis at www.albertacannabis.org. Alberta represents the fifth provincial government to contract with Namaste's CannMart for cannabis product distribution with more licensed retailers than any other province.
"We are committed to offering a diverse selection of cannabis products across the full spectrum of consumer segments throughout Canada and therefore we are very excited to be working with Kief and the province of Alberta," said Namaste CEO Meni Morim.
"The addition of Alberta is particularly important as we are seeing repeat orders from our provincial agency customers. The company believes that there is a growing demand for premium cannabis brands as consumers seek both the quality and consistency that is painstakingly cultured by the craft grower.
Morim added: “While our B2B business continues to flourish with the agreement with Alberta Gaming, Liquor & Cannabis, we also continue to take decisive action to improve our overall business performance by streamlining our legacy lines of business and adding new brands to CannMart."
Other company news
In other company news, Namaste said it is streamlining its online businesses to focus on fewer sites, while setting up more diverse options for customer marketing, as a stepping stone towards its vision of creating a global cannabis marketplace.
The net result is Namaste is consolidating 14 international websites, driving cost efficiencies with minimal impact to revenue and customers. Six websites serving Australia, Canada, the UK, Germany and France have the highest concentration of customers and revenues and where the company’s international customer base can continue shopping without interruption.
Also, the company said its expansion into certain markets such as the UK has been paused due to changing government and insurance regulations pertaining to domestic medical cannabis, making expansion financially risky.
“As Namaste enters 2020, it continues to concentrate on opportunities with a clear path to a positive return on investment and seek out new opportunities around the globe to leverage the company's advanced technology and expertise in highly regulated markets,” the company said.
Lastly, Namaste has granted 200,000 stock options to its chief financial officer at a price of $0.325 per share.
The company's stock recently traded 6.3% higher to $0.42 a share in New York and rose 2% to C$0.55 in Canada.
Contact the author: [email protected]
Follow him on Twitter @PatrickMGraham