This week in Latin America 4/1-4/5
Khiron’s Kuida brand expands its presence in Colombia
This week Khiron Life Sciences, Corp. (OTCQB:KHRNF) (TSXV:KHRN) announced expanded retail offerings for their cosmeceutical brand, Kuida.
Initially launched in late 2018, Kuida is Colombia’s only approved CBD cosmeceutical and nutraceutical brand by INVIMA, the country’s institution for drug and food surveillance.
The announcement states that Khiron “has signed multi-channel distribution agreements for its Kuida cosmeceutical brand with Fedco and Linio.”
Fedco, founded in 1979 with a small store in Barranquilla, Colombia, now has 23 stores across 14 Colombian cities. Today, there is also an online store, which delivers throughout Colombia.
Fedco’s Marketing Director, Cristina Acosta, expressed excitement for the deal. “Our company seeks to provide consumers with the most innovative and unique line of product offerings and we believe the Kuida brand aligns perfectly with this core objective.”
The store focuses on imported cosmetics from the United States, Europe, and Latin America and is a cosmeceutical leader in Colombia.
Linio is a catch-all e-commerce platform that operates in 6 countries, 5 of which have deregulated some forms of medical marijuana.
The shop is very successful with 100,000 items sold each month across its operating base.
“These agreements with Fedco and Linio further deliver on our market strategy for Kuida and provide the flexibility to tap into cross-selling opportunities as consumers increasingly adopt CBD based cosmeceuticals into their skincare regimen,” Khiron’s CEO stated regarding the deal.
Profile Solutions Inc., PSIQ, integrating into the Latin American Cannabis market
Profile Solutions Inc. (OTC:PSIQ), a subsidiary of Elite Products International, Inc., specializing in CBD based products, announced this week an exclusive supply agreement granted to RCS International Investments, Corp., a distributor of electronic equipment, with Paraguay, Chile, and Brazil.
The company announced a similar deal in December 2018 with Mexico and Argentina.
Both deals provide “first-year minimum guarantee[s] of $500,000 and 20 percent growth per year thereafter”.
The deals allow RCS to distribute PSIQ products, which include a range of seeds, oils, and edibles to the Latin American countries.
This week’s agreement is a direct reference to the success of the deal in Argentina and Mexico. “Based upon the success and commitment being made with Mexico and Argentina by RCS, we have granted additional distribution rights to RCS.”
Of these countries, only Brazil allows for home-grown medical marijuana. The other countries specifically disallow in-country cultivation and production of medicinal cannabis. With CBD medicine shortages across the region, a distribution agreement with PSIQ could exponentially expand access.
PharmaCielo receives approval for 10 additional strains in Colombia’s cultivation registry
PharmaCielo, (TSX-V:PCLO), a cannabis leader in Colombia, received approval from Colombia’s seed registry for an additional ten license strains. In February they received approval for the first ten strains, and the new announcement further solidifies their leadership in the Colombian cannabis scene.
While the first registered ten strains are CBD dominant, the new strains are THC dominant.
Dr. Delon Human, who is in charge of Global Head, Health, and Innovation for the company, highlights the significance of dominant strains. “The medical community has diverse requirements for cannabis oil extracts based on specific needs, as both CBD and THC are increasingly recognized for their medical role, the 1:1 ratio strain that we developed and received approval for makes a very significant contribution to the range of natural medicinal options.”
The announcement doubles the registered strains PharmaCielo can produce as medicinal oil, and the company expects to dive into production throughout this year.
“The range of the strains now available at our disposal for commercial production is an important advantage that sets the company apart in both the Colombian and global marketplaces,” Federico Cock-Correa, president and CEO of PharmaCielo, said in a statement.
The company has 186 seeds in their official seed bank to test the genomics of, cross cultivate, and submit to the government for registry. In Colombia, 10% of any registered strain must come from genetics of Colombian origin.