Blue Sky Hemp Ventures Acquires True North Cannabis Corp's Retail & Bulk Business
Blue Sky Hemp Ventures Ltd. (Blue Sky), a private Canadian company with a focus on whole plant utilization for hemp foods, extracts and sustainable industrial products, is pleased to announce that it has acquired True North Cannabis Corp's (True North) Retail and Bulk distribution assets including all True North’s current and future products.
Andrew Potter, President and Chief Executive Officer of Blue Sky, said, “The Blue Sky-True North combination further leverages Blue Sky’s existing extraction facility and creates a winning platform for low-cost, high-quality CBD products – particularly as Health Canada deregulates CBD distribution in Canada. The combined company’s focus on whole plant utilization provides a structural cost advantage while also delivering a sustainable carbon footprint”.
True North is a recognized leader in hemp-based CBD supply with growing proprietary distribution channels through wholesale bulk ingredient and branded, THC-free retail sales in medical and recreational markets. “We are pleased to see our distribution businesses become part of the Blue Sky organization. True North and Blue Sky hold similar foundational mindsets focused on whole plant utilization for hemp, making them the ideal partner to capitalize and grow the True North brand going forward”, said Brett Halvorson, President, and CFO of True North.
The transaction closed on Nov 23, 2022 with approval of True North shareholders. The combined company sees a number of strategic benefits arising from this transaction including:
- Revenue and Utilization Gains: Adding the True North products to Blue Sky’s portfolio is projected to add significant revenue in F2023 to Blue Sky’s business, increasing overall utilization at Blue Sky. The acquisition provides Blue Sky with a cost-effective, cash-flow-generating strategic entry into packaged cannabis products while providing a stable, cost-effective home for the growth of the True North brand.
- High Quality Carbon-Sustainable Retail CBD Products: Blue Sky’s whole plant utilization approach will allow the company to economically contract industrial hemp production to create high quality and low-cost CBD extracts. By utilizing the whole plant (grain for foods, flower/chaff for extracts and the stalk for industrial products), Blue Sky will be able to sequester 2-6 tonnes of Co2 per acre, positioning all of our products (foods, nutraceutical and industrial) with a sustainable Co2 footprint that few can match.
- Expanded CBD Innovation: True North is known for innovative, health and wellness-oriented products such as its CBD-infused Honey Sticks and high potency Nectar brand THC-free tinctures. True North has been a first mover in Canada regarding the cannabinoid-infused honey category and is the only brand offering CBD-infused honey in a single-serving format. Over the coming months, Blue Sky will look to expand on these offerings with CBN and CBG formulations along with the introduction of various water-soluble formulations, incorporation of Blue Sky’s Refined Hemp Seed Oil (high in Omega 3) as an additional carrier oil for tincture formulations.
- Improved Positioning for Canadian CBD Deregulation: Blue Sky anticipates Health Canada will deregulate distribution of CBD products in Canada over the coming years – unlocking the true potential of the Canadian CBD market. Bringing together Blue Sky’s low-cost whole plant utilization system with True North’s retail brand and innovative CBD product portfolio positions the company for success. Prior to deregulation, Blue Sky will continue to grow the True North brand in the regulated cannabis market through existing listings in Alberta, Ontario, and Saskatchewan, alongside distribution in the medical market through listings with Medical Cannabis by Shoppers.
About Blue Sky Hemp Ventures Ltd.
Blue Sky Hemp Ventures is a private Canadian company rapidly emerging as a world leader in whole plant utilization for hemp superfoods, cannabis extracts and sustainable industrial products. Blue Sky is Alberta incorporated with the majority of its current producing assets in Saskatoon, Saskatchewan. Blue Sky produces innovative bulk hemp food and cannabinoid ingredients and provides customers with white-label packaging and product development solutions. For more information please visit www.blueskyhempventures.com.
About True North Cannabis Corp.
True North Cannabis Corp. is a Canadian hemp-based CBD products company. True North and its partners supply value priced CBD bulk ingredients to licensed producers across Canada and deliver a range of extracted and edible CBD products to patients and consumers alike through the True North brand. For more information, please visit www.truenorthcannabis.com.
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Media Contact:
Alison Mair
amair@blueskyhempventures.com
403 826 0416
