ZYUS and Up Cannabis Sign Definitive Supply Agreement

Published: February 8, 2019

ZYUS and Up Cannabis Sign Definitive Supply Agreement

ZYUS Life Sciences Inc. and Up Cannabis Inc., a wholly-owned subsidiary of Newstrike Brands Ltd., have entered into a definitive Supply Agreement for ZYUS to purchase dried bulk cannabis from Up Cannabis. Up Cannabis will supply bulk dried cannabis as raw material for processing by ZYUS into its emerging brand of cannabinoid-based products, subject to the receipt of licensing by ZYUS under the Cannabis Act and the Controlled Drugs and Substances Act, which ZYUS anticipates receiving in the first half of 2019.

“Providing access to a consistent supply of high-quality medical cannabis products for both patients and their healthcare providers in the domestic and international market is what will set ZYUS apart in today’s fast-growing medical cannabis market,” said Brent Zettl, President and CEO of ZYUS. “The signing of this initial supply agreement with an experienced licensed producer, will put into action our comprehensive raw material grading system and is a critical step to effectively produce GMP-compliant, targeted, cannabinoid-based phyto-therapeutic products. A significant amount of this initial supply will be used for our clinical trial program.”

According to Jay Wilgar, CEO of Newstrike and Up Cannabis, the supply agreement will help to further expand and diversify Up’s distribution channels as capacity is increased.

“We are excited to partner with Brent and his team at ZYUS,” said Wilgar. “Our industry continues to rapidly evolve and this is yet another way that we are strengthening our position as a leading player. This agreement in particular aligns us with some of the best minds in the industry which will only help us to continue to build value for Newstrike’s shareholders. We look forward to taking this step alongside ZYUS and one of the country’s most experienced cannabis professionals.”