Auxly Cannabis Group Inc., a consumer packaged goods company in the derivative cannabis products market, is pleased to announce that its wholly-owned subsidiary Dosecann LD Inc. has entered into an agreement with GSW Creative Corporation Canada Inc., doing business as dosist, to manufacture their proprietary wellness vape devices at Dosecann’s facility in Prince Edward Island.
Dosecann will utilize its production capabilities, capacity, and world-class expertise in cannabis derivative products to manufacture dosist’s innovative dose control solutions. dosist will also utilize Auxly’s well-established national distribution channels to bring its proprietary new innovations to Canadians nation-wide, including their newly engineered dose pen 100, their new range of high potency formulas for THC-forward experiences called thc-plus, and their new rechargeable dose pen system.
“We are thrilled to expand the Dosecann business to include the manufacture and distribution of dosist’s proprietary wellness devices,” said Hugo Alves, CEO of Auxly. “Our arrangement with dosist allows us to leverage our sales and distribution reach and maximize the use of Dosecann’s manufacturing capacity and expertise in making the highest quality products for consumers. Also, as a premium wellness-focused brand with an international track record of success in California and here in Canada, dosist is a perfect fit within Auxly’s existing portfolio of branded cannabis products. We look forward to building our relationship with dosist and continuing to deliver a compelling portfolio of cannabis products that delight consumers.”
The Company remains committed to the development and success of its diverse, in-house platform of branded products and realizing its vision of becoming a global leader in branded cannabis products that deliver on the consumer promise of quality, safety and efficacy. Auxly believes that the manufacture of dosist’s technology is a great complement to its existing suite of products. The arrangement allows the Company to maximize production capacity at Dosecann and generate additional cash flow to support the business as it moves towards profitability.
“At dosist, our vision continues to be anchored in providing targeted formulas and precise dosage to Canadians through our proprietary technology with the objective of providing a safe, effective and dose controlled experience,” said Lenny Louis, Chief Commercial Officer for dosist. “We are excited and confident that this new partnership with Dosecann will help ensure we deliver on this vision and improve our ability to provide greater access to dosist for the Canadian wellness consumer.”
Pursuant to the agreement, dosist will provide Dosecann with an exclusive license to the intellectual property required for Dosecann to manufacture, distribute and sell Dosist’s branded cannabis products, and the Company in turn will receive certain fees for such manufacture and distribution. The Company has the right of first offer to manufacture any other branded cannabis product introduced by dosist in the future, at the Company’s election.
The agreement is for a three-year term, subject to renewal for an additional two years.