United Cannabis Corp (OTCMKTS:CNAB) has finalized a memo of understanding with Herbal Biotech Pathways Labs to form a joint venture NEWCO in order to support and advance access to medicinal cannabis in Puerto Rico. The new JV will be owned by the two firms and established as per the regulations of the Commonwealth of Puerto Rico.
As per the terms of the MOU, United Cannabis will make accessible to NEWCO its patented cannabis brands, expertise and products, Prana formulations, delivery mechanisms, professional and software network, sufficient to release complete cannabis based business for the Commonwealth of Puerto Rico. Also, Herbal Biotech will invest funds and/or make available services, equipment and capital to support and advance the operation pursuant to an operation plan as accepted upon by both parties.
Earnest Blackmon, the CEO of United Cannabis, mentioned that Puerto Rico showcases a notable opportunity within the cannabis industry, and they have been working to advance United Cannabis as a pioneer in that segment. People in Puerto Rico will not be permitted to smoke medical pot, but can utilize other delivery mechanisms, such as pills, topical creams, salves and oral drops, and proprietary Prana line complies with these needs.
Cesar’s general expertise in the segment, as well as his financial resources and contacts within the Puerto Rican community, will allow them to expedite their plans to establish a complete operation that will support company’s measures in research, product development, distribution and production.
Cesar Cordero-Kruger, the Principal at Herbal Biotech, added that they are extremely enthusiastic about this latest association, which positions them in a very different space, for the advancement of phyto-therapeutics offerings that target Puerto Rico patient’s diseases in an effective and safe manner. The inclusion of United Cannabis’ expert science team strengthens their ability to become a reliable provider of infused offerings with high therapeutic value.