Sugarbud Expands Supply Agreement with Yukon Liquor Corporation & Announces Sales Agency Partnership With Velvet Management Inc.

Published: February 22, 2021

Sugarbud Expands Supply Agreement with Yukon Liquor Corporation & Announces Sales Agency Partnership With Velvet Management Inc.

Sugarbud Craft Growers Corp. has signed a definitive supply agreement with the Yukon Liquor Corporation (YLC) for the sale and distribution of Sugarbud’s Craft Cannabis Collection to private cannabis retailers in the Yukon. YLC is responsible for the wholesale distribution of non-medical cannabis to private retailers and is the public retailer of non-medical cannabis throughout the territory, under the brand Cannabis Yukon.

“We are very pleased to be further expanding our distribution network and look forward to serving Yukon cannabis consumers with our Craft Cannabis Collection,” stated Sugarbud’s CEO, John Kondrosky. The Company expects initial purchase orders and shipments of Sugarbud’s Craft Cannabis Collection to the YLC to begin in March.

Sugarbud Craft Growers Corp. is also pleased to announce that it has partnered with Velvet Management Inc. (Velvet) to be its exclusive national sales and distribution agent for the Company’s Craft Cannabis Collection. Pursuant to the partnership, Velvet will be primarily responsible for store level sales representation, brand advocacy and budtender education to drive wider distribution of the Company’s Craft Cannabis Collection in key target markets nationally.

“Velvet has a rich history representing leading and iconic luxury brands in the wine and spirits industry as well as the emerging cannabis sector,” stated Sugarbud CEO John Kondrosky. “As a leading full-service cannabis sales agency with deep industry knowledge, and an established sales team nationwide, our collaboration with Velvet will no doubt have a significant impact on our ability to rapidly accelerate consumer visibility and consumption of the Sugarbud brand. Increasing our reach and connection to retailers, budtenders and the end user consumer is a priority for Sugarbud and critical to our revenue growth objectives. We are thrilled to be partnering with Velvet to expand our reach and capabilities in this regard,” concluded Mr. Kondrosky.

Velvet Management President, Vianney Aubrecht added, “Velvet is excited to be partnering with Sugarbud and representing their Craft Cannabis Collection. Sugarbud’s approach and commitment to quality – from cultivation, curing and hand trimming to their glass packing – hits all the metrics necessary for Velvet to gain national market share in the premium cannabis category. We look forward to expanding existing national distribution in the coming months.”

The Company’s partnership with Velvet covers its existing dried cannabis product portfolio and will include future Cannabis 2.0 products once the Company receives Health Canada approval permitting the direct sale of cannabis extracts. The Company currently expects approval for its amended sales license permitting the direct sale of cannabis extracts in early Q3 of 2021.

Sugarbud is an Alberta-based, consumer-driven boutique craft cannabis company focused on the cultivation and production of superior, select-batch, craft cannabis products. Our vision and mission are to become a trusted and well-respected consumer brand renowned for providing exceptional high-quality craft cannabis products to legal markets by delighting the most discerning of cannabis consumers.