Canadian cannabis producer Allied Corp. (OTCQB: ALID) has added one more sales agreement recipient to its list.
On Wednesday, the Kelowna-based company announced that under the purchase agreement US$147,000 worth of its products will go to an unnamed Brazilian distributor each month that delivers medical products to São Paulo’s Hospital Israelita Albert Einstein.
The cannabis products are meant for thousands of Brazilians going through cancer treatment. The sales agreement took four months to approve due to product review, manufacturing specifications and testing.
The company expects to send the first monthly shipments under the contract starting in May this year.
Company stock dropped by 8.3 per cent on Wednesday to US$0.78 on the OTC Market Exchange.
São Paulo’s Hospital Israelita Albert Einstein was founded in 1971 with the mission of providing quality health care, generating knowledge and promoting social responsibility. It specializes in offering complex oncology and neurology treatments.
According to Forbes, it is among the 20 best hospitals in the world.
The hospital’s research and educational institute has already trained approximately 130,000 professionals and conducts hundreds of studies annually.
Allied’s products will specifically be offered to patients undergoing cancer and neurological treatments.
“With over 200 million people, Brazil is an obvious market for us at Allied. The quality, flavor profiles and supply chain integrity were all factored into the Brazilian partner and Allied coming together under this agreement,” Allied CEO Calum Hughes said in a statement.
“The stringent review process that Allied was put through in order to meet the standard for a customer of this calibre again shows our manufacturing competence and knowledge of international regulatory compliance,” he said, adding the revenue that this brings will only fuel their forward growth.