Redfund Capital Corp (CSE:LOAN) (OTCMKTS:PNNRF) said Wednesday that it has formed a strategic alliance with Cannabis Mercantile Exchange, a hemp auction platform.
The cannabis-focused financier said it will help the company, also known as Cannamerx, with financing and building clientele. Redfund plans to publish terms of the deal next week
Cannamerx, according to Vancouver-based Redfund, is the first fully automated, business-to-business (B2B) international auction platform for wholesale cannabis and cannabis products. It also handles hemp and hemp products as well as genetics.
"Investing in a working cannabis auction platform in the sector is a game changer,” Redfund CEO Meris Kott said in a statement.
Cannamerx connects European buyers with Canadian licensed sellers and allows South American licensed producers to list their products globally with a click of a mouse.
More than 50 Canadian licensed cannabis companies have joined Ottawa-based Cannamerx, according to Redfund. Since June 2018, the auction platform has helped facilitate the trade of more than 25 tonnes of cannabis and more than C$22 million in bids received through its automated auction platform as well as its supply agreement auction process.
“We are very excited to be working with Redfund,” Cannamerx CEO Dietwald Claus said. “Redfund’s resources and international network in the cannabis and hemp industry will accelerate our plans to position Cannamerx as the leading international marketplace for cannabis and hemp.”
Shares of Redfund climbed C$0.02 to C$0.23 in Tuesday’s Canadian trading. They traded at US$0.17 on the OTC Markets.
Earlier this month, Redfund announced plans to convert the first tranche of a convertible secured promissory note with cannabis tea client Mary’s Wellness Ltd into shares.
Contact Dennis Fitzgerald at [email protected]