We are approaching the end of the week, and it appears Canadian cannabis investors are going to go into the weekend feeling pretty good. Why? Well, aside from the fact that there are a number of cannabis stocks seeing green today, we have also been informed that Cannabis Wheaton (CVE:CBW) is making some major moves in expanding its corporate business plan.
Cannabis Wheaton: What Happened?
Today, Cannabis Wheaton, an investment and merchant company, announced that it has entered into a strategic alliance agreement with Honest Inc., otherwise known as Province Brands of Canada. For those who don’t know, Province is a research and development firm based in Ontario. Thursday’s announcement is pretty significant for two reasons, in particular. First, it means Cannabis Wheaton will be helping Province with both the creation and licensing of a cannabis facility, which will focus primarily on the development and commercialization of beverages that are entirely cannabis-based. Second, Cannabis Wheaton, in exchange for its assistance, will receive 2,068,284 preferred shares in the capital of Honest Inc.
According to Cannabis Wheaton President Hugo Alves, the partnership between the Vancouver-based company and Honest Inc. is thought to be a “winning combination for both companies,” adding that both companies are going to “work to develop unique consumer products and formulations” that Cannabis Wheaton believes will “eventually play a huge role in the cannabis industry.” Cannabis Wheaton also hopes this agreement will lead to the disruption of the alcohol industry.
What Does the Future Entail for Cannabis Wheaton?
This isn’t the first headline Cannabis Wheaton has made this month. In fact, on March 1, the company announced that it, alongside Sundial, signed a definitive agreement for $7 million in debt financing. Then, on March 5, Cannabis Wheaton disclosed that it closed its definitive agreement with FV Pharma Inc.
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Is the Canadian Cannabis Market Excited About the News?
Regarding today’s announcement, it appears the market is feeling pretty optimistic about the strategic alliance agreement with Province Brands of Canada. As of this writing, Cannabis Wheaton is trading at $1.69 on the CVE Exchange. This puts the stock up $0.04, or 2.42%. The stock opened the trading day at $1.64 and hit a high of $1.70 at one point during the trading session.
Featured Image: twitter
