Algae Dynamics Corp. goes to pot
April 5, 2017
lgae Dynamics Corp., a development stage company previously focused solely on commercialization of its proprietary BiloSilo™ system for the cultivation of highly pure algae biomass, has announced a formal re-alignment of its business focus and strategy.
The Company had previously announced, in December 2016, that it was considering ways to capitalize on synergies between its focus on algae cultivation and algae oil extraction, and oil extractions from other botanicals such as cannabis and hemp. The result of these efforts is a new strategy to develop unique health and nutraceutical products utilizing cannabis, hemp and algae oils.
Management believes that this strategy engenders both an immediate product development opportunity leading to near-term revenue and a longer-term vertically-integrated sustainable enterprise approach.
The revised strategy has resulted in a seven-step program for 2017 aimed at rapid implementation, as follows:
- Research Agreement with University of Waterloo to investigate the use of cannabis oil in the context of cancer — $600,000, three-year program (signed February 24, 2017).
- Research Agreement with University of Western Ontario to investigate the use of cannabis derivatives for the development of novel pharmacotherapies for mental health — C$1,000,000, four-year program (signed March 13, 2017).
- Collaboration Agreement with ARA – Avanti Rx Analytics, a company approved by Health Canada, to extract, purify, manufacture, sell, import/export medical marijuana products (signed March 15, 2017).
- Sign supply agreements with cannabis producers, licensed by Health Canada.
- Select location suitable for future cannabis production.
- Apply to Health Canada for license to produce, sell, import/export medical cannabis.
- Develop collaboration opportunity with pharmaceutical company.
Paul Ramsay, Chairman and President of the Company said, “We believe this revised corporate strategy will allow us to build value for all stakeholders over both the near and longer terms. In the short-term we are fast-tracking to revenue growth. In the longer term, we believe we have a sustainable enterprise-building opportunity in a rapidly expanding market.”