Khiron reports EU-Mercosur Trade Agreement (TSXV: KHRN)
Khiron Life Sciences (TSXV: KHRN) (OTCQB: KHRNF) (Frankfurt: A2JMZC) reports an EU-Mercosur Trade Agreement. Mercosur is the Latin American trading block made up of Argentina, Brazil, Uruguay and Paraguay. I reported on this possibility at the time KHRN announced plans to acquire NettaGrowth International which subsequently closed on June 19, 2019. NettaGrowth and its wholly-owned subsidiary Dormul S.A. is a Uruguayan company that holds one of the first licenses to grow and export medical cannabis . It is also positioned to serve Brazil and Latin American through the Mercosur trading block.
The trade agreement between the European Union and Mercosur was announced at the G20 Summit in Japan and is subject to ratification by member countries.
Alvaro Torres, Khiron CEO and Director, said "As we build Khiron's dominant position in Latin America and Mercosur markets through our operations in Uruguay, we welcome this trade deal as it strengthens our ability to now directly supply the European medical cannabis market. This significant milestone is another step towards a globalized medical cannabis trade network where Latin America, with its strategic location, many natural advantages and regulatory leadership, will continue to play a significant part."
I keep repeating my message because you never know which of KHRN’s steps forward will suddenly turn on the light for the investment community. KHRN is already in the process of establishing a beachhead in Europe with an LOI to acquire 100% of Canapalife S.r.l. and 100% of the economic interests of Campodoro S.r.l. in Italy. Taking into account their agreement with Dixie Brands (CSE: DIXI.U) that will see Khiron’s Kuida® line of cosmeceutical products widely distributed throughout the United States, KHRN now gives investors exposure to the three largest cannabis markets in the world: Latin American, Europe and the United States.
I remember several months ago when Alvaro Torres first told me of their “audacious” intention to build a global cannabis business from their base in Latin America. I have to say it is happening and as it becomes recognized, today’s shareholders will be well rewarded.