In a move that appears to be in-line with the company’s strategy to develop products for testing and identifying cannabinoid isolates for targeted therapeutic purposes, Vinergy Resources (VIN.CN: CSE) (VNNYF: OTC) signed a binding letter of intent to acquire 65% of Biolennia Laboratories.
The company’s lab operates out of a secure premise in Toronto alongside Micrylium, which manufactures products registered under licensure from various agencies.
Under the terms of the acquisition, Vinergy will acquire 65% of Biolennia for $260,000 CAD and 150,000 shares of Vinergy at the time the agreement is signed. The acquisition is expected to close during the first quarter and we see several synergy opportunities between the two companies.
What Does and Will Biolennia Do?
Biolennia is a specialty development laboratory with expertise in microbiology and chemistry. The lab currently provides testing, R&D and quality control services for Health Canada registered and approved industrial disinfectants and other consumer products on behalf of Micrlylium.
The lab is in the process of applying for a Dealer’s License from Health Canada and the issuance of this license will be a milestone for the company since it would be allowed to process cannabis for R&D purposes.
Biolennia will provide a host of drug testing services to support MJ BioPharma’s product line, product formulation, extraction facilities, systems design, and development of standard-operating-procedures (SOPs).
Biolennia has in-house expertise when it comes to the methods accepted by Health Canada as well as the FDA for determining the purity and quality of many of the materials and methods used in validating cannabis and or testing cannabis products.
