VANCOUVER, British Columbia, Jan. 02, 2020 (GLOBE NEWSWIRE) — Isracann Biosciences Inc. (CSE: IPOT) (XFRA: A2PT0E) (OTC: ISCNF) (the “Company”) an Israel-based business focused on becoming a premier low cost, high quality cannabis producer for both domestic and European export sales is pleased to announce entry into a Memorandum of Understanding (“MOU”) towards a distribution agreement serving key legalized European cannabis markets.
Due to commercial practicalities, the currently unnamed distributor has provisionally agreed to enter an understanding with Isracann towards a strategic export and processing opportunity as part of a pending definitive agreement. The agreement in principal proposes a non-binding option on dried flower product subject to Israeli export laws and defined by minimum quantity, quality and period of delivery.
The proposed distributor represents that they will import the product through the Republic of Malta, subject to compliance with jurisdictional importation and transhipment regulations. The distributor asserts its plan to utilize the Isracann product as raw input for value added processing, extraction, packaging, branding and export distribution.
As part of the agreement, the distributor further asserts it is preparing a regional processing facility designed to meet European Union Good Manufacturing Practice (EU-GMP) as stipulated by the EU as a regulatory requirement for medicinal products.
Mr. Darryl Jones, Isracann’s CEO states, “Well before we began our agricultural efforts in Israel, we recognized the need for strategic distribution agreements. Malta has long been on our radar due to its favourable business environment, excellent logistics and proximity to major European markets. While we continue to build momentum in Israel, we concurrently undertook to identify a potential partner with a similar big picture vision and goals. We believe this agreement can expedite our entry into these markets as purveyors of what we aim to brand as the gold standard of Israel’s cannabis export sector.”
Isracann has previously announced that Germany is its stated target for entry into the EU markets pending achievement of Israeli export licensing approval. Germany legalized medical cannabis in March 2017 and today is the largest medical cannabis market in Europe. With a potential patient base of over 1 million patients, it stands to grow substantially over the next several years.
“The team here at Isracann believes that beyond Germany, future markets such as Denmark and the United Kingdom are poised to help grow the entire region into an immense opportunity much larger and more sophisticated than currently found in the Americas,” continues Mr. Jones. “Our announcement today is part of our fundamental strategy and marks the beginning of the next chapter in our development. We are excited to begin the decade with new alliances and opportunities ahead.”
ON BEHALF OF THE BOARD OF DIRECTORS
Chief Executive Officer and President
About Isracann Biosciences Inc. (CSE: IPOT) (XFRA: A2PT0E) (OTC: ISCNF)
Isracann is an Israeli-based cannabis company focused on becoming a premier cannabis producer offering low-cost production targeting undersupplied, major European marketplaces. Based in Israel’s agricultural sector, Isracann will leverage its development within the most experienced country in the world with respect to cannabis research. The Company has secured agreements within Israel for medicinal marijuana cultivation. For more information visit: www.isracann.com.
The CSE does not accept responsibility for the adequacy or accuracy of this release.
All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. Forward looking statements include but are not limited to the achievement of necessary permits for export of cannabis from Israel and to complete its proposed cultivation facilities. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ, materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time with the Canadian Securities Exchange, the British Columbia Securities Commission, the Ontario Securities Commission, and the Alberta Securities Commission.
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