Mountain Valley MD Holdings Inc. (CSE:MVMD) (FRA:20MP) has announced that its operating business has completed the first portion of a multiprong strategic agreement with Circadian Wellness Corp., a privately-held Ontario corporation that is focused on the rapidly emerging global mushroom space.
The company said it has completed the previously announced transaction under a share purchase and exchange agreement to sell its wholly-owned subsidiary, Mountain Valley Medicinals Inc. (MVM) and its related assets, including the company’s property on Vancouver Island in British Columbia - which to date has not been built on, advanced or utilized for any current operations - for the amount of C$1,000,000, made up of a combination of cash and a 9% equity stake in Circadian.
The company said this is part of its ongoing strategy to shift away from ownership of physical property and idle assets, towards focusing on monetizing licenses against its more lucrative technology patent portfolio.
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Mountain Valley MD has been working closely with Circadian on proprietary formulations for mushroom-infused products that achieved a significant increase in overall molecule efficacy with the company’s Quicksome desiccated liposome technology applied across a variety of rapid dissolve oral products. Circadian plans on bringing a broad line of naturally derived mushroom products to the global marketplace, with many of the extracts coming from the old-growth forests found on the MVM property being sold.
“Our partnership with Circadian Wellness is a perfect example of how MVMD is zeroing in on our specific value-add in the health and wellness space,” said Dennis Hancock, president and CEO of Mountain Valley MD in a statement.
“Providing our global nutraceutical, vaccine and pharmaceutical partners with unprecedented product and market advantages through strategic technology licensing agreements is core to how our business will scale
The group noted that internal formulation and testing work the company has completed for Circadian across a variety of mushroom molecules has reached desired efficacy targets while using up to 1/50th of the raw mushroom extracts versus comparable tincture dosing.
The company said it believes the dramatic increase in bioavailability across convenient and easy-to-use rapid dissolve Quicksome oral delivery formats will position Circadian Wellness products as a leading contender in the rapidly growing mushroom marketplace.
Mountain Valley MD and Circadian are now working to finalize the commercial licence agreement as contemplated in an executed binding letter of intent based on applying the group's Quicksome technology to mushroom nutraceutical products, with the anticipation of completion in January 2021.
Circadian is a privately held Ontario corporation in the business of mushroom cultivation, extraction, clinical research and development, and end-user consumer health and wellness products and retreats.
Mountain Valley MD is building a world-class biotech and life sciences company organization centred around the implementation of its patented Quicksome oral drug formulation and delivery technologies to innovate industry-leading products that are sought out globally.
The company’s patented Quicksome desiccation technology utilizes advanced liposomes and other stabilizing molecules to encapsulate and formulate active ingredients into highly efficient product formats that are consumed orally. The result is a new generation of product formulations that are capable of delivering vaccines, drugs and nutraceuticals into the body faster, with greater impact, efficiency and accuracy.
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