Auxly Cannabis Group Inc (OTCMKTS:CBWT) announced towards the end of July that it kicked off an investment and R&D relationship with Imperial Brands after signing a $123 Million partnership.
The international cannabis firm announced on July 25 that Imperial Brands will inject $123 million into Auxly in the form of convertible debentures. The capital injection will be part of an R&D and Investment agreement between the two firms. The deal will also allow Imperial Brands to license its vaping technology to Auxly. The transaction will also grant Auxly access to Imperial Brand’s vapor business.
“This investment from Imperial Brands will enhance Auxly’s ability to continue to deliver on our business plans and accelerate our growth initiatives to expand our portfolio of branded derivative products,” stated Auxly President Hugo Alves.
Alves also noted that the partnership between the two firms comes at an opportune time when Auxly is preparing to introduce its robust cannabis portfolio to the fast-growing cannabis market in Canada. He also noted that the partnership will focus on expanding research and development activities on vaping technologies.
Auxly believes that Imperial Brands is the ideal partner for the charge into the Canadian market because it has a strong portfolio of assets that align with Auxly’s growth initiatives. It also has significant market expertise and resources that will help Auxly to adapt to different market dynamics. The company is currently shifting its focus to the fast-paced vapor market through its innovative technologies.
Hugo Alves appointed as Auxly CEO
Auxly announced on August 12 that it has appointed Hugo Alves as its new Chief Executive Officer. Alves will take over the helm from Chuck Rifici who stepped down from the CEO position but will continue to be part of the company as the chairman of the Board of Directors.
Auxly revealed that Hugo will take over the leadership position from August 27 this year. Mr. Rifici has been the company’s CEO since it was founded. He believes that Hugo is the right person to lead the company to the next level of growth as it works towards becoming a global leader in the cannabis industry.