Nabis Holdings Inc (CSE:NAB) (OTCMKTS:NABIF), a Canadian cannabis investment company, revealed Tuesday that it has struck a binding memorandum of understanding with Panaxia Pharmaceutical Industries Ltd, the largest medical cannabis products maker in Israel.
Under the terms of the pact, Panaxia will provide proprietary pharma-grade cannabis-based products that have proven to be in high demand in other states in the US, including New Mexico, Colorado and California. The products will be produced in the first operating EU GMP facility in Arizona, under Nabis licenses. It is located at the company’s 44,000 square foot cultivation, production and fulfillment facility in Camp Verde in Arizona.
Nabis will provide the raw materials for the production of the products and will also be responsible for the sales, marketing and distribution through their already established dispensary and wholesale channels, which serve more than 50% of Arizona dispensaries. In turn, Panaxia will be responsible for the production, clinical affairs and quality. All products of the joint venture will be sold under the Panaxia brand, of which Nabis owns 50% in Arizona. Under the pact, there is an opportunity for Nabis and Panaxia to expand their joint venture into additional states in the United States.
“We are excited to partner with Panaxia to develop a variety of new, high quality, pharmaceutical grade products using proven EU GMP standards to meet the evolving needs of our patients,” said Nabis Holdings CEO Shay Shnet.
“This joint venture fits well within our vertically-integrated cannabis portfolio and we look forward to co-creating new innovative products to deliver long-term value to our shareholders as well as our established Arizona customer base of over 36,000 patients and counting,” he added.
Panaxia is currently the largest manufacturer and service provider with home delivery distribution of medical cannabis products in Israel. It is part of the Segal Pharma Group, owned by the Segal family and has been in operation for over 40 years. It manufactures over 600 different pharmaceutical products and distributes them in over 40 countries. Panaxia USA makes over 60 medical cannabis-based products in North America, including sublingual tablets, lozenges, oils, and inhalers designed to treat illnesses such as PTSD, cancer, chronic pain, epilepsy, anorexia, burns, and an assortment of other disorders.
In addition to the US and international cannabis sector, Nabis Holdings invests in assets across multiple industries, including real property, securities and cryptocurrency.
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