Abattis Signs LOI to be North American Distributor of Cromogen's Cannabinoid Class Compound "Cannabidiol" or "CBD"
VANCOUVER, March 5, 2013 /PRNewswire/ - Abattis Bioceuticals Corp. (the "Company" or "Abattis") (OTC PINK: ATTBF) (CNSX: FLU), announces it has signed a Letter Of Intent for a multimillion dollar supply agreement with Cromogen Biotechnologies to purchase Cannabidiol or "CBD's" for the use of creating infused products to be sold in the US Natural Health Product Market(s). Under the terms of the agreement the CBD's being supplied to Abattis are not listed as Scheduled 1 Drugs. Cannabinoids are a group of 21-carbon-containing terpenophenolic compounds produced uniquely by Cannabis sativa and Cannabis indica species. These plant-derived compounds may be referred to as phytocannabinoids. Although delta-9-tetrahydrocannabinol (THC) is the primary psychoactive ingredient, other known compounds with biologic activity are cannabinol, cannabidiol (CBD), cannabichromene, cannabigerol, tetrahydrocannabivarin, and delta-8-THC. Cannabidiol, in particular, is thought to have significant analgesic and anti-inflammatory activity without the psychoactive effect (high) of delta-9-THC. Source National Cancer Institute at NIH.
Mr. Mike Withrow, Chief Executive Officer on behalf of the Company, stated, "we are very excited to become the first company to work with a specialty raw source CBD producer like Cromogen, focusing on the emerging US "CBD" infused products market. We see this as a very high growth opportunity that enables Abattis to market the highest level CBD infused quality products with food safety certification." Mr. Withrow went on to say, "Cromogen's unparalleled capacity to supply CBD's will expedite our entry into the US market, starting operations in Colorado and distributing to all US states as the market permits. The multimillion dollar supply agreement in the works, will position Abattis to take the lead in providing the healing properties of CBD to consumers."
Michael Brubeck, Chief Executive Officer of Cromogen, stated, "We are enthusiastic to begin utilizing the plant physiology breakthroughs that our company is developing at this time. In leveraging Cromogen, Abattis has a significant cost advantage in the CDB market. They are now positioned to lead the spectrum of nutritional supplements in Cannabidiol, Cannabigerol, Cannabidivarin, and Cannabichromene. Cromogen's ability to supply high volumes of CBD provides Abattis with a green field of opportunities in this high growth market.
About Abattis Bioceuticals Corp.
Abattis Bioceuticals Corp. is a specialty biotechnology company with capabilities through its wholly owned subsidiaries of producing, licensing and marketing proprietary ingredients and products containing standardized phytochemicals for sale in Pharmaceutical, Nutraceutical, Cosmetic and Animal Nutrition markets. The company also has a deep pipeline of proprietary products ready for sale in high growth areas of Functional Foods and Supplements business. For more information, visit the Company's website at www.abattis.com
About Cromogen Biotechnologies.
Cromogen is a licensed pharmaceutical company and raw cannabidiol (CBD) manufacturer, delivering market shifting products from centers across Latin America into USA, Canada, and EU markets. As one of the first companies on the cusp of a CBD market disruption, the business combines leading plant physiology experts with the pharmaceutical industry's best product development scientists. Cromogen's research team is achieving a global first by conducting stage 3 clinical trials for severe nausea caused by cytotoxic antineoplastic therapies.
"Quietly changing the hemp and cannabis industry through health and medicines"
For more information, visit the Company's website at: http://www.cromogenbiotechnology.com
ON BEHALF OF THE BOARD
Michael Withrow, President & CEO
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SOURCE Abattis Bioceuticals Corp.