Indiva Ltd (OTCMKTS:NDVAF) has reported revenues of CAD 185,539 in Q3 2019. It has received the nod for the distribution of capsules, pre-rolls, and dry flower in Quebec. The company will extract 800 kgs of dry flower annually and supply it to Transcend as per the signed accord.
Debt financing of up to $11 million
Indiva arranged debt financing to fetch funds up to CAD 11 million in October 2019. The debt financing comprises a secured demand loan facility of CAD 6.5 million and a secured bridge loan facility of CAD 7.5 million from an institutional investor. The company can repay the loan without any penalty at any time.
Receives nod for Phase 3 expansion amendment
Indiva received the nod for the phase 3 expansion amendment on October 21, 2019. As part of the expansion, the company added 10,000 Sq. Ft to production space that includes an additional two processing rooms and three new grow rooms. It will produce pre-rolls and edibles in additional processing rooms.
As per the announcement on October 22, 2019, Indiva will supply pre-rolls to The Supreme Cannabis Company in December 2019. The new supply will contribute to Q4 2019 revenues. As of today, Indiva secured distribution accords with Nova Scotia, British Columbia, Ontario, Saskatchewan, Alberta, and Quebec.
Indiva commercialized the dark chocolate and cannabis-infused milk by the end of November 2019. To get the license for the final phase of the facility, Indiva filed the phase 4 amendment with Health Canada. Its entire facility in Ontario and London will get the license after approval from Health Canada.
Chief Executive Officer and President of Indiva, Niel Marotta, said the company strengthened its foundation in Q3 2019. The company expects to report robust growth next year. He further said achieving the commercial scale of dark chocolates quickly shows the teamwork of its employees and support from the partners. Indiva expects to supply products to over 90% of the consumers with its distribution pacts in six provinces.
Indiva will put in efforts for sales amendments of the extracts, topicals, and edibles to maintain consistent growth. The company is committed to delivering safe and high-quality cannabis products consistently to consumers.