American Cannabis Company Inc (OTCMKTS:AMMJ) has announced that it has secured a contractual agreement with California-based Cloud 9 Apothecary.
The new contract between the two firms is a consulting deal that revolves around the construction of a closed-loop greenhouse featuring a 22,000 square foot canopy that will contain premium cannabis cultivars. The project will be built in Desert Springs, California and it will help Cloud 9 Apothecary to focus on wholesale product manufacturing and cultivation. It is also part of the company’s plan to adopt a fully integrated business model that will also include dispensing solutions.
The construction of the new facility highlights the company’s plans to expand its operations organically in the future. American Cannabis deals with the provision of business-to-business consulting solutions. It also sells ancillary products to the marijuana industry. The new contract with Cloud 9 Apothecary will not only involve consultation, but it will also allow American Cannabis to purchase some stake in the project which is currently in the developmental phase.
“Our mission is to be the apex provider of premium cannabis flower products in the state of California. All of our products are grown and developed to ensure that dispensaries consistently receive premium, healthy, organic cannabis products. We are committed to being the state’s leader in quality, compliance, innovation, cutting-edge equipment, and social responsibility,” stated Cloud 9 CEO, Remington Hudson.
Hudson also pointed out that the company believes that strategic partnerships are important vehicles that will boost the company so that it becomes a national brand. He stated that it was the reason behind the partnership with American Cannabis and the firm is highly optimistic that they will emerge successful.
American Cannabis Chief Executive Terry Buffalo stated that his company was pleased to be working together with Cloud 9 Apothecary on its road to success. Buffalo also added that his firm will work towards making sure that Cloud 9 has the necessary tools that it needs to thrive in the highly competitive industry. American Cannabis plans to be a long-term solution and service provider for its new partner.
American Cannabis stock closed the latest trading session at $1.21.