International Cannabis Corp brings Uruguay to compete with Canopy Growth, Aphria Inc
International Cannabis Corp. (CVE:ICC) is the newest marijuana stock to hit the Canadian TSX Venture market, and it’s got a different business model than either Canopy Growth Corp (TSE:CGC) (OTCMKTS:TWMJF) or Aphria Inc. (CVE:APH). ICC is growing cannabis in Uruguay of all places, the tiny South American country that borders Argentina on the north, and is known fondly as the Switzerland of Latin America. The nation of 3.4 million, however, boasts a marijuana user base estimated at over 55,000 people who smoke up to 40 grams per month. Total demand for recreational and medical marijuana in Uruguay, which are both legal, is said to be 27 million tonnes annually.
ICC plans to produce an initial two million tonnes from an indoor greenhouse operation that includes a 1,630 square meter vegetation room and a 3,400 square meter flowering as well as drying, extracting and processing space totalling 64,500 square meters. ICC says it has upwards of 40 hectares (about 100 acres) for expansion.
The company is planning to ramp up to 15 tonnes per annum as it targets the medical marijuana industry in Brazil. ICC says it has an advantage in that it is in prime position to supply Latin America’s total population of 620 million with its first mover status, and plans to become the leading South American producer of cannabis for both the recreational and medical markets.
ICC is also planning to distribute extracts and edibles as part of its core business strategy, and has launched a retail brand called “Grow,” that will produce vaporizers, edibles, tea, soda, energy drinks, cosmetics and other consumer oriented products are derived exclusively from its agricultural output.
ICC is one of only two licenses granted in Uruguay, and the second licensee is not known to have commenced production at this point.
The company has a total of 112 million shares outstanding.
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