GreenGro Technologies has signed two multi-year management contracts for both Cannabis Ventures and Genobreeding divisions. The new agreements with two Northern California-based licensed cannabis growers, encompasses GRNH’s cultivation and nursery expertise through licensing, management, compliance and consulting.
“Today’s announcement is testament of the industry’s continued acceptance of our state-of-the-art greenhouse technologies which enable cannabis growers to maximize their plant yields,” said James Haas, Chairman and Chief Executive Officer of GreenGro Technologies. “The anticipated revenues to be generated from these multi-year contracts will ideally strengthen our balance sheet and provide us with the financial flexibility to accelerate our growth strategy in the months and years ahead.”
With these newly announced cultivation support and service contracts, the company anticipates putting itself in the position to create a growing earnings stream in its first year through the ramping-up and completing required renovations of the client greenhouses. Once the greenhouses are at full capacity, earnings from just the cultivation contracts should be on course to grow significantly throughout the contracts. GRNH’s new nursery contracts are anticipated to also contribute to its earnings growth when it begins delivering on its genomics production for both the existing cultivations and the ability to introduce these genomics to other licensed cultivation distribution networks.
“The cannabis business is complex with nuances and demands that range from compliance and regulations, to training, licensing and other needs,” added Mr. Haas. “We consider ourselves among the top resources in the industry for our technology, service, support and expertise and are excited to solidify that reputation,” concluded Mr. Haas.