Ontario-based cannabis concentrate producer MediPharm Labs Corp. (TSXV: LABS) just announced the company has officially been added to the Horizons Marijuana Life Sciences Index ETF (TSX: HMMJ).
Attempting to gauge the value and profitability of a variety of companies within the cannabis industry, the index is rebalanced each quarter by the value of each member company’s outstanding shares.
Beyond producers of dried flower product, the Horizons Marijuana Life Sciences Index features businesses connected to marijuana production and distribution in multiple capacities, including any related bio-products.
The index specifically focuses on manufacturing and biopharmaceutical organizations within the newly legalized industry, such as companies that produce infused products or isolates for medical or recreational usage.
MediPharm Labs issued this statement to investors this morning regarding inclusion in the ETF:
The company’s wholly-owned subsidiary MediPharms Labs Inc. was granted a sales license for cannabis extract from Health Canada back in November that covers an extraction facility located in Barrie, Ontario.
MediPharm’s addition to the index comes just a month after the company inked an 18-month extraction deal with Canopy Growth Corporation (TSX: WEED; NYSE: CGC). That deal will see Canopy purchasing between 450kg and 900kg of cannabis extract from MediPharm throughout 2019 and into early 2020.
In the ramp-up towards full-scale marijuana legalization across Canada, the company also struck multi-year supply deals with Emerald Health Therapeutics (TSXV: EMH; OTCQX: EMHTF) and INDIVA Limited (TSXV: NDVA).
Additionally, MediPharm was one of a crop of seven companies to join the ranks of the Global Cannabis Partnership in mid-December.
That collection of licensed cannabis producers, community advocacy groups, and government agencies has been recruiting newly formed Canadian cannabis companies to craft a set of corporate responsibility standards within the global marijuana sector.
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