Organto to cultivate high-CBD cannabis in Colombia
By Organto (edited)
By Organto (edited)
Organto Global Cannabis Group, through its wholly-owned subsidiary, Medicannabis S.A.S., has been granted a license from Colombia’s Ministry of Justice to cultivate non-psychoactive cannabis (CBD) at its cultivation and breeding facility in Guasca, Cundinamarca, Colombia.
The license authorizes the cultivation of non-psychoactive cannabis in Colombia for medicinal use and further processing into cannabis products, including but not limited to, oils, tinctures, beverages, topicals and other products. It also allows for grain and seed production and for scientific purposes.
In November 2018, Organto acquired 100 per cent of Medicannabis, a late-stage applicant for licenses to enable it to cultivate and process medicinal cannabis in Colombia. The acquisition was part of Organto’s strategy to build out a global cannabis group using cost-effective M&A strategies. The acquisition of a late stage applicant came with certain uncertainties and risks, many of which have now been mitigated with the grant of this license, supporting Organto’s cost-effective approach to the transaction.
Organto Global Cannabis Group has applied for three other license types and cultivar registrations in Colombia. Once received, these will permit the company to manufacture and export derivatives (of both psychoactive (THC) and non-psychoactive (CBD) cannabis), cultivate psychoactive cannabis, and grow cultivars for commercial use.
The Group plans to have its ecologically-designed cultivation facility operational in Q3-2019 for planting of non-psychoactive (CBD) cannabis seeds and breeding trials late in the summer of 2019. Under the proposed timeline, the first harvest would be expected to occur in late 2019, early 2020, for initial commercial sales in Q1 2020.
Organto’s other business unit, the Organto Foods Group, is an integrated provider of year-round organic vegetables and seasonal organic and non-GMO fruit and vegetable products.