Flora Growth signs letter of intent to enter Panama and welcomes recent reforms to cannabis law
MIAMI & TORONTO – (BUSINESS WIRE) – Flora Growth Corp. (NASDAQ: FLGC) (“Flora” or the “Company”), a leading all-outdoor cultivator and maker of global cannabis products and brands, is pleased to announce that Flora Growth has issued a non-binding letter of intent (“LOI”) ) with Robust Farms Inc. (“Robust”), a Panamanian importer and distributor, to supply its premium cannabidiol (“CBD”) derivative products from its Kasa Wholefoods division. In addition, Robust will apply for its import license for cannabis products, which Flora expects to ship its medicinal cannabis products upon receipt of this updated license.
August 30thNS, passed Panama’s National Legislative Assembly Bill 153 to legalize the use of medicinal cannabis and its therapeutic properties. Panama is expected to be the first country in Central America to regulate the use of medicinal cannabis, however the new regulations must be approved by President Laurentino Cortizo. The new law aims to promote and ensure monitored and controlled access to medical cannabis products through working with a number of government departments and agencies. The main highlights of the new legislation include:
Patients who have been authorized to use medical cannabis based on specific clinical indications have the right to access medical cannabis products through licensed pharmacies
Domestic production takes place, but only seven licenses are granted for the production of cannabis seeds, plants and derivatives
Pharmacies are responsible for the distribution of medical cannabis products and must apply for a permit and pass a site visit (valid for two years initially).
The creation of the National Program for Research into the Medical Uses of Cannabis and Its Derivatives to Promote Research and Development of Awareness Campaigns
There are no provisions for home growing
Advertising may only appear in scientific journals, not in media or social networks
“It is important to recognize the continuing trend towards legalizing cannabis for medicinal and adult use that is spreading around the world as governments increasingly recognize its therapeutic properties and seek to control, regulate and tax these products in order to promote economic prosperity and implement significant reforms in civil rights and criminal law, ”said Luis Merchan, President and CEO of Flora Growth. “We welcome the efforts of Panamanian lawmakers and advocacy groups to advance this initiative, which will ultimately help provide options for patients who wish to improve their quality of life through the use of new therapeutic cannabinoid treatments, and look forward to working with local partners to bring our medical cannabis products to the citizens of Panama. ”
“We are delighted to enter into this agreement with Flora to secure preventive access to their medicinal cannabis products – which we believe are the first of their kind to have been announced since the cannabis legislation was passed – and look forward to the future to supply our customers with Flora’s premium portfolio of CBD-infused and non-CBD food and beverage products at short notice, ”said Maurice Holmes Mendez, CEO of Robust. “While the new proposed framework awaits the President’s signature, our team is working hard to expand our traditional and medicinal cannabis distribution channels in the LATAM region, which rely heavily on collaboration with experienced business partners and doctors.”
Upcoming CEO Fireside Chat
Flora is also pleased to announce that there will be another live chimney discussion between President and CEO Luis Merchan, Chief Revenue Officer Jason Warnock and Vice President of Corporate Development James Williams. The virtual fireside chat will take place on Tuesday, September 21stNS at 1:00 p.m. ET, and those interested are encouraged to sign up using the link below.
In particular, Luis, Jason and James will provide an overview of recent Colombian law changes and the timeline, including discussing how to maintain our export quota, international markets and our short and long term international product roadmap. An update will be provided on the proposed acquisition of Vessel Brand and the completion of our stake in Hoshi International, including its strategic importance to Flora’s international expansion, human capital and expected contribution to revenue growth. Finally, management will provide an operational update on activities at Cosechemos and Flora Lab, including a discussion of specific steps to commercialize our products for export.
About Flora Growth Corp.
Flora is a cannabis company that uses natural, low-cost cultivation practices to supply cannabis derivatives to its various cosmetics, hemp textiles, and food and beverage businesses. As the operator of one of the largest outdoor cultivation facilities, Flora strives to offer a higher quality premium product at prices below market prices. By prioritizing natural ingredients and maintaining value chain sustainability across the portfolio, Flora creates premium products that help consumers recover and thrive. visit www.floragrowth.ca or follow @floragrowthcorp on social media for more information.
Cautionary Note Regarding Forward-Looking Statements
This document contains forward-looking statements. In addition, we or our agents may from time to time make forward-looking statements orally or in writing. We base these forward-looking statements on our expectations and forecasts about future events that we derive from the information currently available to us. Such forward-looking statements address future events or our future performance, including: Flora’s supply chain strategy; the size of the cannabis and cannabis products markets; our financial performance and projections; our sales and earnings growth; and our business prospects and opportunities. You can identify forward-looking statements by those that are not historical in nature, especially those that contain terms such as “may”, “should”, “expects”, “expects”, “considers”, “estimates”, “believes” ” Plans ”,“ projected ”,“ forecast ”,“ potential ”or“ hopes ”or the negative of these or similar terms. In evaluating these forward-looking statements, you should consider various factors including: our ability to change the direction of the company; our ability to keep pace with new technology and changing market demands; and the competitive environment of our company. These and other factors could cause our actual results to differ materially from those expressed in the forward-looking statements. Forward-looking statements are only predictions. The forward-looking events discussed in this document and other statements made by us or our agents from time to time may not occur and actual events and results may differ materially and are subject to risks, uncertainties and assumptions about us. We assume no obligation to publicly update or revise any forward-looking statements, whether due to uncertainties and assumptions or the forward-looking events discussed in this document and other statements made from time to time by us or our representatives that do not occur, unless , this is required under applicable law.