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HEXO Corp (TSX:HEXO) announces US production facility in Colorado

Cannabis
TSX:HEXO
14 May 2021 08:45 (EDT)
HEXO Corp. - CEO, Sebastien St Louis

Source: The Cannabis Stock

HEXO Corp ( HEXO) has signed purchase and sale agreements for its first US production facility, through a wholly-owned US subsidiary.

The ~50,000 sq. ft. production facility, located in Northern Colorado, will provide US CPGs and consumers access to “Powered by HEXO” technology.

“Signing the purchase and sale agreements is an important milestone as we continue to expand into the US market. The Colorado facility will be instrumental in successfully executing on our US strategy, which includes the supply of high quality Powered by HEXO technology to our current and potential multinational CPG partnerships in the United States,” said HEXO CEO and co-founder Sebastien St-Louis.

“The facility will provide HEXO with the necessary infrastructure to begin production and enable the company to continue expanding our joint-venture with Molson Coors to create Truss CBD-infused beverages, while also creating the necessary capacity to support future, non-beverage CPG partnerships.”

The Colorado production facility is zoned for the production of a full range of cannabinoids and offers multiple operational capabilities. The site will support Powered by HEXO initiatives across the country, in compliance with all applicable laws and regulations.

Powered by HEXO® is the trusted solution for leading CPG companies to safely enter the cannabinoid market, combining HEXO’s expertise in cannabis with CPG partners’ expertise in their industries, to co-develop best-in-class cannabinoid-infused products.

The closing of the transaction is subject to a due diligence period as well as usual customary closing conditions, which is anticipated in the fourth quarter.

HEXO Corp is an award-winning consumer packaged goods (CPG) cannabis company that creates and distributes innovative products to serve the global cannabis market.

HEXO Corp. (HEXO) opened trading at C$7.10 per share.

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