TORONTO, Sept. 27, 2018 (GLOBE NEWSWIRE) — North Bud Farms Inc. (CSE:NBUD) (“NORTHBUD” or the “Company”) is pleased to announce the licensing of infusion technology for its food and beverage platform with Made By Science Inc., a wholly owned subsidiary of Form Factory Inc.
The Company signed a supply and licensing agreement with Made By Science Inc. (“MBS”), an Oregon, California multi state co-packaging and infused product manufacturer. MBS owns a variety of IP protected infusion, encapsulation, taste masking and manufacturing processes.
This Agreement provides that NORTHBUD will purchase from MBS raw, non-infused protein-based encapsulation powder (MX-17) to be used for infusion and formulation purposes in the Canadian market. NORTHBUD and MBS have established a per gram cost as well as a royalty agreement where NORTHBUD will pay a floating royalty on business to business sales and a consumer direct sale.
The companies intend to negotiate a master licensing agreement (“the Agreement”) to include the licensing and use of multiple proprietary food infusion technologies for which MBS will grant a master license for NORTHBUD to the use of the patented technology.
“Over the past 8 months our team has researched many technology solutions pertaining to encapsulation and infusion of cannabinoids into foods and beverages,” said Ryan Brown, Founder and CEO of North Bud Farms Inc. “This agreement secures us access to a premier technology partner allowing us to leverage a proven technology and tested processes from an advanced consumer market. We believe this will accelerate NORTHBUD’s goal of developing a food grade cannabinoid infused taste neutral ingredient as a first step towards creating products that will follow in compliance with the upcoming regulations regarding infused consumables. Over the coming months we look forward to working with both Food and Cannabis industry participants as we establish our development platform in preparation for the legalization of edibles and consumables which is anticipated in October 2019.”
“Made By Science has been relentlessly innovating the science driving the infused edibles industry to provide brands and consumers with safe, efficient and accurate products. As our team continues to position as a best in class manufacturer in the U.S., we have had our sights set on Canada as both critical to our long-term expansion and essential for our ability to export to international markets. NORTHBUD was an early believer in our technology and our team and we are excited to support their efforts with innovation and scale,” said Joshua Held, President of Form Factory Inc.
In accordance with the corporate stock option plan, North Bud Farms has issued 85,000 options at a strike price of $0.60 to advisors and consultants assisting with this project. These options will vest over a 24-month period.
About Made By Science Inc.
Made By Science Inc. is a wholly owned subsidiary of Form Factory Inc., a multi state manufacturer of cannabis infused food and beverage products.
For more information visit: www.madebyscience.co
About North Bud Farms Inc.
North Bud Farms Inc., through its wholly-owned subsidiary GrowPros MMP Inc. which was acquired in February 2018, is pursuing a license under the Access to Cannabis for Medical Purposes Regulations (ACMPR). North Bud Farms will be constructing a state-of-the-art purpose-built cannabis production facility located on 95 acres of Agricultural Land in Low, Quebec. North Bud Farms will be focused on Pharmaceutical and Food Grade cannabinoid production in preparation for the legalization of edibles and ingestible products scheduled for October 2019.
For more information visit: www.northbud.com
Neither the Canadian Securities Exchange (the “CSE”) nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
Certain statements included in this press release constitute forward-looking information or statements (collectively, “forward-looking statements”), including those identified by the expressions “anticipate”, “believe”, “plan”, “estimate”, “expect”, “intend”, “may”, “should” and similar expressions to the extent they relate to the Company or its management. The forward-looking statements are not historical facts but reflect current expectations regarding future results or events. This press release contains forward- looking statements. These forward-looking statements are based on current expectations and various estimates, factors and assumptions and involve known and unknown risks, uncertainties and other factors. Such risks and uncertainties include, among others, the risk factors included in North Bud Farms’ final long form prospectus dated August 21, 2018 which is available under the issuer’s SEDAR profile at www.sedar.com.
FOR ADDITIONAL INFORMATION, PLEASE CONTACT:
North Bud Farms Inc.
VP, IR & Communications
Office: (855) 628-3420 ext. 3
Source: North Bud Farms Inc.