Namaste owns 10% of Cannbit and has a collaboration and supply agreement to purchase medical cannabis from the Israeli company
() (OTCMKTS:NXTTF) told investors Monday that it has won a victory as the Israeli government has approved the export of medical cannabis from its Israeli partner Cannbit Ltd.
Namaste owns 10% of Cannbit (TASE:CPHO.M) and has a collaboration and supply agreement to purchase medical cannabis from the Israeli company. It also maintains a collaboration agreement where Cannbit consults on Namaste’s Israeli operations.
READ: Namaste Technologies signs deal to buy bulk medical cannabis from Tilray Canada
Looking ahead, Namaste will look to rely on Cannbit for the importation of medical cannabis from the Israeli market to Canada and other jurisdictions, subject to regulatory approval. Cannbit’s cannabis will also be added to its medical cannabis subsidiary Cannmart’s product line later this year.
“This is an important milestone for our Israeli partners, Cannbit, and our Cannmart customers,” said Sean Dollinger, CEO of Namaste Technologies in a statement. “Our goal is to import medical cannabis from the Israeli market and offer it to Canadian patients. Furthermore, the approval opens the door for Namaste to potentially import product into other key markets.”
Yaron Razon, CEO of Cannbit, was just as bullish on the news.
READ: Namaste Technologies takes $250,000 stake in Kief Cannabis
“The government approval for the export of medicinal cannabis should have a material impact on our business and help us with global expansion,” Razon said in a statement. “We will be producing flower and cannabis oil in-house and anticipate that the first exports will be seen towards the end of the year, and look forward to supplying Cannmart and its global partners with high-quality medical-grade cannabis.”
On top of the medical cannabis sold via Cannmart, Namaste’s product offerings through its subsidiaries include vaporizers, CBD products, glassware and other cannabis-related accessories.
The Vancouver-based company also runs NamasteMD, an online patient portal, and has developed Canada’s first cannabis telemedicine app for smartphones, which allow patients to connect to doctors or nurse practitioners for consultations on cannabis.
Namaste shares closed up 10.4% to hit C$1.49 on Friday.
Contact Ellen Kelleher at [email protected]