The legalization of marijuana, for either medicinal or recreational purposes, continues to be a hot topic in the United States. While cannabis is not legal on the federal level, individual states are able to pass and enforce their own laws pertaining to the manufacturing, distribution and use of marijuana. As within any other business, marijuana sellers and growers must receive approval for operation by acquiring the proper permits and licensing, and for grow facilities and retail businesses in regions where recreational marijuana use has been legalized, business is booming. One Vancouver-based company, Vodis Pharmaceuticals Inc. (VP:CNX) , has received the green light that allows their tenant to join this controversial yet highly profitable industry.
Vodis along with its wholly owned Washington state-based subsidiary, Vodis USA Inc., has announced that its tenant, a Washington state company that produces and processes recreational marijuana, has recently received its marijuana production license. The license, issued by the Washington State Liquor and Cannabis Board, allows the tenant access to use an indoor grow facility designed, engineered and built by Vodis.
"This is a major milestone for our Company, as we expand on our business model of bringing state-of-the art technology and capability to the design, engineering, build-out and operation of indoor marijuana production and processing facilities, and prepare to offer other related value add services,” said Otto Folprecht, CEO and Director of Vodis Pharmaceuticals. “We are also committed to further developing turnkey facilities for other indoor marijuana production and processing companies. Now that our facility design and infrastructure has passed the requirements of the Liquor and Cannabis Board, we are in an excellent position to design, license and/or build similar turn-key facilities for other tenants and partners in the recreational marijuana industry. Finally, as we expand our capabilities at our current location and identify other strategic opportunities, we expect to deploy our facility design into other locations in Washington state and, eventually, across the United States.”
Reaping the Benefits of Early Cannabis Adoption
In recent years, grow houses and dispensaries based in Washington state (one of the only four states that legalized the recreational use of marijuana) have seen the tremendous popularity and profitability of retail marijuana. After its first year, The Washington State Liquor Control Board reported $257-million in sales, along with $70-million generated in tax revenue for the state.
Vodis’ tenant will begin production immediately, with Vodis continuing to act as advisor and consultant on quality control. Vodis will also assist in establishing a genetic library for future use and distribution by the tenant, along with assistance in branding and distribution services. With initial sales expected in four months, Vodis and their tenant is well-positioned to compete in one of Washington state’s thriving industries.
For more information about Vodis Pharmaceuticals, visit vodis.ca.
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