High Tide Inc. (TSX-V: HITI) (Nasdaq: HITI) (FSE: 2LYA) is teaming up with two licensed producers to manufacture white label shatter and edibles.
In a statement Monday, the company explains it’s struck white-label deals with Heritage Cannabis Holdings (CSE: CANN) (OTCQX: HERTF) and privately held Loosh Inc., doing business as Loosh Brands, for upcoming house-branded products.
Heritage and Loosh will make the branded shatter and THC gummies, respectively, to be sold as High Tide’s Cabana Cannabis Co.
The shatter and edibles are expected to be on shelves within about four months, High Tide says, and will be distributed in Ontario, Manitoba, Saskatchewan and Alberta, with further expansion in Canada “in due course.”
The house brand rollout has been in the works for a while, says Raj Grover, president and CEO of High Tide.
“We have taken a measured approach in launching our own house-branded products given the oversupply of branded biomass in the Canadian market. That’s why we are moving cautiously by making an entry into the 2.0 category which is much less crowded,” he says in a statement.
He adds the company is in negotiations with Canadian LPs to bring select products from the FABCBD catalogue into the store network as well.
High Tide notes that Heritage Cannabis ranks among the top three for concentrate sales in Canada.
“This strategic relationship allows us to strengthen and expand our concentrate portfolio and provides the opportunity to further our partnership with one of the leading cannabis retailers in the country,” Heritage CEO David Schwede said in a statement.
High Tide’s stock inched up to $9.64 on Monday.
Last week, The Valens Company Inc. (TSX: VLNS) (OTCQX: VLNCF) said it has entered a white-label partnership with Fire & Flower Holdings Corp. (TSX: FAF) (OTCQX: FFLWF). Valens will make Fire & Flower’s Revity CBD oil for distribution in Ontario, Manitoba and Saskatchewan.