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Dec 12, 2018

Aphria signs medical marijuana supply deal with Paraguay firm

The Canadian Press

Aphria marijuana

An Aphria employee watches over marijuana crops , Image courtesy of Aphria Inc.

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LEAMINGTON, Ont. - Marijuana producer Aphria Inc. (APHA.TO) has signed a letter of intent to supply a company in Paraguay with medical cannabis.

Under the agreement, Aphria will supply Insumos Medicos S.A., a pharmaceutical manufacturing, import and distribution company.

Aphria says Insumos will undertake the registration of the Canadian company's products in Paraguay and the appropriate licensing for the import of medical cannabis.

Paraguay will become the Ontario company's third market in Latin America, following Argentina and Colombia.

Aphria has been under pressure in recent days after short-sellers alleged the company bought assets in Colombia, Argentina and Jamaica at "vastly inflated prices."

The company has denied the allegations, but it has appointed a special committee to review the acquisitions.

Cannabis Canada is BNN Bloomberg’s in-depth series exploring the stunning formation of the entirely new – and controversial – Canadian recreational marijuana industry. Read more from the special series here and subscribe to our Cannabis Canada newsletter to have the latest marijuana news delivered directly to your inbox every day.