Genovation Capital Corp. (CSE:GEC) announced that it’s entered into a non-binding letter of intent (LOI) with Valens Agritech Ltd., which among other things is a BC-based applicant to be a licensed producer under Canada’s MMPR.
The LOI outlines terms and conditions for a proposed transaction that would see Genovation acquire all the issued and outstanding shares of Valens in exchange for Genovation securities.
As quoted in the press release:
The Transaction, if completed, will form part of the “Fundamental Change” first announced by Genovation Capital in its November 2, 2015 news release. Genovation intends to acquire Valens concurrently with MKHS LLC, the subject of a binding Commitment Letter announced November 25, 2015.
The addition of Valens to the proposed group opens up the opportunity for considerable synergies between the Canadian and U.S.-based operations. Today’s announcement is a significant step towards our goal to become a global, vertically integrated medical cannabis company that spans the entire medical cannabis value chain from “Farm to Pharma”, encompassing the spectrum of cultivation through to production of pharmaceuticals derived from marijuana, and all the steps in between: extracts, testing, clinical trials, clinical development, proprietary therapeutics, licensing, marketing and delivery.