- Cannabis companies Avicanna (AVCN) and Red White & Bloom (RWB) have entered into a distribution agreement
- Under the agreement, RWB will distribute Avicanna’s CBD-based cosmetic and topical products in the US, and other markets
- RWB will pay Avicanna an upfront licensing fee of C$250,000, along with minimum purchase requirements for distribution
- Avicanna (AVCN) is down 3.45 per cent and is currently trading at $1.40 per share
- Red White & Bloom (RWB) is up 1.04 per cent and is currently trading at 97 cents per share
Cannabis companies Avicanna (AVCN) and Red White & Bloom (RWB) have entered into a distribution agreement.
Under the agreement, RWB will distribute Avicanna’s CBD-based cosmetic and topical products in the US, and other markets. The initial products on offer will include body and face lotions, cosmetic creams, gels and serums, soaps, and bath bombs.
The Pura H&W-branded products have been formulated to target cosmetic factors associated with aging, acne-prone skin, and eczema-prone skin. The line has also undergone testing in three cosmetic human clinical studies.
Since the products are infused with CBD, a non-psychoactive cannabinoid, the products can be sold as cosmetics.
Under the agreement’s initial five-year term, RWB will exclusively distribute the Pura H&W brand, along with other white label brands. The company will pay Avicanna an upfront licensing fee of C$250,000, along with minimum purchase requirements for distribution.
In addition to RWB’s US commercial infrastructure, this CBD product line will also be available through other channels. These include big box retailers, Pura H&W’s e-commerce platform, and third-party e-commerce channels.
Avicanna’s CEO, Aras Azadian, commented on the company’s agreement with Red White & Bloom.
“After years of R&D and clinical development of what we believe is the most advanced line of CBD skin care products, we are thrilled to have partnered up with the team at RWV, who provide an ideal partner for Avicanna and the Pura H&W line of products.
“We believe their access and expertise in the US market through commercial and retail channels will allow the Pura H&W branded products to reach their potential as the leading skin care brand,” he said.
Avicanna (AVCN) is down 3.45 per cent and is trading at $1.40 per share at 11:06am EDT.avic
Red White & Bloom (RWB) is up 1.04 per cent and is trading at 97 cents per share at 12:09pm EDT.
