OrganiGram Holdings Inc (OGI)

[OSOROJO]

F.Y.I: OGI has invested in Hyasynth Biologicals Inc. a Montreal-based biotechnology company and leader in the field of cannabinoid science and biosynthesis. Hyasynth has developed a disruptive technology using proprietary yeast strains and patent-pending enzymes to naturally produce cannabinoids without growing the cannabis plant.

Biosynthesis vs Traditional Cultivation:

Reduced operating and capital costs
Scalable, consistent, superior purity and quality
Production of minor cannabinoids just as feasible as major ones
Able to meet even more rigorous standards of CPG and Pharma
Smaller environmental footprint
While Organigram believes there will always be a sizeable market for the premium dried flower produced at its facility, working with Hyansynth changes assumptions about scale, speed and precision to produce the highest margin products such as extract-based medical products and a range of adult-use recreational products such as edibles and beverages.

In addition to the investment, Organigram has the right to purchase 25 per cent of the cannabinoid offtake from Hyasynth at a discount to market prices.