Agritek Holdings (OTCQB:AGTK) announced the execution of a five year operational and exclusive licensing agreement with Green Acres Pharm.
As quoted in the press release:
Agritek Holdings will help provide additional infrastructure buildout costs for the services of licensing products for the Company in the new manufacturing facility as well as provide equipment lease/financing partners. Under the five (5) year operational contract and licensing agreement, Agritek Holdings will receive revenue in the form of consulting fees, licensing fees on all vaporizer and edible brands, equipment and lighting rental and financing fees. The Company has infused the first $100,000 of funding into Green Acres Pharm at the time of this release with plans for an additional $250,000 over the next months for machinery and equipment. The company will also seek to purchase the cultivation and manufacturing facility as an addition to its present real estate portfolio including Colorado and Puerto Rico.
In addition to the operational contract which is expected to produce six figures in revenue for the Agritek Holdings, the company will receive licensing revenue for several brands owned by Agritek through existing dispensary retail channels already established through Green Acres Pharms and producing revenue through its existing cultivation operations including oil cartridges, filling machines, vaporizers and edibles.