Visionstate Corp. (TSXV:VIS) announced that its portfolio company, Freedom Cannabis Inc., has entered into a joint venture to expand its diverse revenue streams to include extraction services.
Branded under the name Cannabis Tolling Solutions (CTS), the joint venture is the next step in Freedom's vertically-integrated business model that includes cannabis production, retail sales, packaging and now extraction services for the fast-growing vape market.
"We are excited to collaborate with CTS to deepen our vertical integration, broaden our product range into extraction solutions, and create exciting new revenue streams with experienced, innovative and award-winning partners," John Frank Potestio, CEO of Freedom Cannabis Inc., said.
The addition of extraction services expands Freedom Cannabis' revenue streams as it positions itself as a vertically-integrated cannabis producer.
The company recently posted sales of more than $1 million for the month of January and is seeing significant growth in retail sales in the largest markets in Canada. Month-over-month sales have grown steadily during the past quarter, with December 2021 sales 45% higher than the previous month.
"Vertically-integrated cannabis producers are becoming the leaders in this industry," Visionstate CEO John Putters, said. "With diverse revenue streams serving several different sectors of the market, these companies are showing that they can be sustainable and show significant revenue growth."
Heading up the new joint venture is Andrew Freedman, a well-known author and cannabis expert who has more than ten years' experience in the cannabis industry.
Freedman has written extensively for leading international publications and is known as a "Cannabis Sommelier" for his unique focus on pairing cannabis, beer, cocktails, wine, and gastronomy. He also manages several social media channels and hosts a podcast entitled "Beers with Buds".
Visionstate Corp. is an investor and partner with Freedom Cannabis. The Company owns four million shares of the privately-owned company and is working with Freedom to install Internet of Things (IoT) technology to monitor growing conditions in order to maximize yields.
Photo: Courtesy of Benzinga