NEW YORK, June 16, 2021 (GLOBE NEWSWIRE) -- Clever Leaves Holdings Inc. (NASDAQ: CLVR, CLVRW) (“Clever Leaves” or the “Company”), a leading multinational operator and licensed producer of pharmaceutical-grade cannabinoids, announced it has entered into an active pharmaceutical ingredient (“API”) supply agreement with CBD Life Holding SAPI de CV (“CBD Life”), an emerging leader in the Mexican cannabis industry that offers a line of CBD Wellness and consumer products and medical cannabis products that are under development. Under the agreement, Clever Leaves will act as the API supplier for the development and manufacture of CBD Life’s medical cannabis products. Commencing with CBD isolate, Clever Leaves aims to be the ongoing supplier of the required APIs for CBD Life’s product manufacturing purposes.
The partnership is Clever Leaves’ first commercial agreement in the Mexican market, and it comes shortly after regulations were fully approved in the country, providing a strategic growth opportunity in one of the world’s largest pharmaceutical markets.
CBD Life has significant distribution in Mexico, with their products available in more than 18,000 points of sale. The company has established itself as an early-mover when it comes to providing cannabis-based products to the Mexican market. It also has formed strategic alliances with some of Mexico’s largest media groups and is the first cannabis company to launch a nationwide advertising campaign for non-psychoactive cannabinoid-based consumer products.
“As a multinational cannabis operator with substantial operations in Latin America, it has always been one of our top goals to identify leaders in the region and build long-lasting commercial relationships,” said Kyle Detwiler, CEO of Clever Leaves. “CBD Life’s brand positioning and local exposure are attractive, but it’s their commitment to high-quality, pharmaceutical-grade medical cannabis products that makes this an ideal partnership.”
CBD Life’s current product line is comprised of topicals (including the traditional Hispanic household brand “Mariguanol”), beverages, and food supplements infused with hemp-derived CBD. With a team with more than 40 years of experience in brand building and pharmaceutical distribution, CBD Life is strongly positioned to develop and market safe and innovative cannabis pharmaceutical solutions.
“We feel very fortunate to have the opportunity to work with Clever Leaves on our mission to develop safe and accessible pharmaceutical-grade cannabis medications of the highest quality. Our partnership will further propel our domestic and international expansion efforts thanks to their unmatched expertise and certifications that meet the highest standards and regulatory compliance equivalencies in most countries,” said Janko Ruiz de Chavez, COO and co-founder of CBD Life.
According to a recent report from Prohibition Partners for Latin America and the Caribbean (2020), the medical cannabis market in Mexico could be worth 60 million USD by 2024. The recent regulatory changes that allow for the production and commercialization of medical cannabis, as well as stringent requirements for product commercialization, makes Clever Leaves, who produces pharmaceutical grade, EU GMP-certified cannabis, a potential partner for companies wanting to enter the medical cannabis space in an effective, agile, and compliant way.