Creso Pharma (ASX:CPH) - Outgoing CEO & Co Founder, Dr Miri Halperin Wernli (left) and Chairman, Boaz Wachtel (right)
Outgoing CEO & Co Founder, Dr Miri Halperin Wernli (left) and Chairman, Boaz Wachtel (right)
Source: YouTube
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  • Creso Pharma (CPH) is making further inroads into the Canadian cannabis market with its products being added to the Ontario Cannabis Store’s stock list
  • Creso’s subsidiary Mernova has been selected as an official supplier to the Ontario Cannabis Retail Corporation (OCRC), acting as the Ontario Cannabis Store (OCS)
  • The monopoly provider services Canada’s largest recreational cannabis market through both brick-and-mortar shopfronts and an online store
  • Monthly sales in September alone totalled almost C$80 million (around A$81 million), accounting for over 30 per cent of Canada’s total consumption
  • Under the agreement, Mernova will supply its Ritual Green range of artisanal cannabis strains to the OCS, with first orders expected imminently
  • While volume commitments are still yet to be finalised, Creso and Mernova anticipate strong sales growth in the near-term
  • Creso Pharma closed Wednesday’s session 6.38 per cent lower at 22 cents

Creso Pharma (CPH) is making further inroads into the Canadian cannabis market with its products being added to the Ontario Cannabis Store’s stock list.

Ritual Green

Creso’s Canadian subsidiary, Mernova, has been selected as an official supplier to the Ontario Cannabis Retail Corporation (OCRC), acting as the Ontario Cannabis Store (OCS).

The store services Ontario through both brick-and-mortar shopfronts and an online store, supplying Canada’s largest recreational cannabis market.

The OCS is Ontario’s only retailer and wholesaler of legal recreational cannabis.

Monthly sales in September alone totalled almost C$80 million (around A$81 million), accounting for over 30 per cent of Canada’s total consumption.

Under the agreement, Mernova will supply its Ritual Green range of artisanal cannabis strains to the OCS, with first orders expected imminently.

Mernova Managing Director Jack Yu says the OCS deal is a huge step for Mernova in increasing its market presence.

“To be able to compete in a market with over C$385 million [around A$400 million] in sales between April 2019 and March 2020, which continues to grow, as evidenced by over C$80 million in sales this past September alone, is a huge opportunity for us and we look forward to firmly establishing ourselves as one of the premier cannabis producers in the country,” Jack said.

“We look forward to greatly expanding the reach and distribution of our Ritual Green products, that more consumers can experience the premium products that Creso Pharma and Mernova have to offer,” he added.

Outlook

While volume commitments are still yet to be finalised, Creso and Mernova anticipate strong sales growth in the near-term.

With a sealed deal to supply the monopoly provider of Canada’s biggest legal recreational cannabis market, Creso’s North American foray is showing more than just green shoots — it’s looking like high times ahead.

Creso Pharma closed Wednesday’s session 6.38 per cent lower at 22 cents.

cph by the numbers
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