KeyLeaf Life Sciences (KeyLeaf) is pleased to announce the next stage in its relationship with strategic partner Canopy Growth Corporation (Canopy) (TSX:WEED,NYSE:CGC). KeyLeaf, a Saskatchewan based company, is becoming a wholly owned subsidiary of Canopy and will play a key role in Canopy’s pursuit of leadership in cannabis extraction, purification and fractionation. This relationship will allow KeyLeaf to…
KeyLeaf Life Sciences (KeyLeaf) is pleased to announce the next stage in its relationship with strategic partner Canopy Growth Corporation (Canopy) (TSX:WEED,NYSE:CGC). KeyLeaf, a Saskatchewan based company, is becoming a wholly owned subsidiary of Canopy and will play a key role in Canopy’s pursuit of leadership in cannabis extraction, purification and fractionation. This relationship will allow KeyLeaf to help shape the cannabis and hemp industry as part of a network of worldwide partners and progress KeyLeaf towards leadership in plant-based ingredients.
“This is a very exciting time for KeyLeaf,” says Dr. Rick Green, President of Intellectual Capital Generation. “Canopy has utilized KeyLeaf’s decades of success in plant-based extraction and innovation for some time and bringing our two parties closer is an indication of how successful our partnership has been. Expanding our relationship advances Saskatchewan to centre stage in the global marketplace for plant extracts and natural products.”
KeyLeaf is no stranger to innovation. KeyLeaf opened its doors in 1977 as POS Pilot Plant Corporation with a 54,000 sq. ft. research facility at the University of Saskatchewan in Saskatoon. Looking to nearby canola fields for its first project, progressive thinking and advanced technology enabled KeyLeaf to fundamentally create North America’s canola oil industry overnight. KeyLeaf has since been on the cutting edge of ingredient breakthroughs for over 40 years and has established a gold standard reputation for innovation in food research, nutraceuticals, bio-based products, and now cannabis and hemp.
After completing more than 5,400 projects for clients in more than 40 countries over the past four decades, and with an additional processing facility in Batavia, Illinois, KeyLeaf has renewed its commitment to the Agri-food industry by placing the development and commercialization of high value plant-based extracts, including CBD, at the core of all activity.
As the global community demands more from plants, KeyLeaf will continue to innovate in the areas of plant-based extracts and ingredients, supplying new insights and remaining an active contributor to research communities in Saskatchewan and across the world.
For more information, on KeyLeaf Life Sciences, visit www.keyleaf.ca.
KeyLeaf Life Sciences is a global ingredient and process technology company established over 45 years ago. Headquartered in Saskatoon, Saskatchewan, KeyLeaf is recognized around the world as a trusted expert in plant-based bioprocessing. KeyLeaf has worked with over 800 companies from more than 40 countries and continues to increase Saskatchewan’s global visibility as a hub for innovation.
About Canopy Growth Corporation
Canopy Growth (TSX:WEED,NYSE:CGC) is a world-leading diversified cannabis, hemp and cannabis device company, offering distinct brands and curated cannabis varieties in dried, oil and Softgel capsule forms, as well as medical devices through Canopy Growth’s subsidiary, Storz & Bickel GMbH & Co. KG. From product and process innovation to market execution, Canopy Growth is driven by a passion for leadership and a commitment to building a world-class cannabis company one product, site and country at a time. Canopy Growth has operations in over a dozen countries across five continents.
Canopy Growth’s medical division, Spectrum Therapeutics is proudly dedicated to educating healthcare practitioners, conducting robust clinical research, and furthering the public’s understanding of cannabis, and has devoted millions of dollars toward cutting edge, commercializable research and IP development. Spectrum Therapeutics sells a range of full-spectrum products using its colour-coded classification Spectrum system as well as single cannabinoid Dronabinol under the brand Bionorica Ethics.
Canopy Growth operates retail stores across Canada under its award-winning Tweed and Tokyo Smoke banners. Tweed is a globally recognized cannabis brand which has built a large and loyal following by focusing on quality products and meaningful customer relationships.
From our historic public listing on the Toronto Stock Exchange and New York Stock Exchange to our continued international expansion, pride in advancing shareholder value through leadership is engrained in all we do at Canopy Growth. Canopy Growth has established partnerships with leading sector names including cannabis icons Snoop Dogg and Seth Rogen, breeding legends DNA Genetics and Green House Seeds, and Fortune 500 alcohol leader Constellation Brands, to name but a few. Canopy Growth operates eleven licensed cannabis production sites with over 4.7 million square feet of production capacity, including over one million square feet of GMP certified production space. For more information visit www.canopygrowth.com
Notice Regarding Forward Looking Statements
This news release contains “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian securities legislation. Often, but not always, forward-looking statements and information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements or information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Canopy Growth or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements or information contained in this news release. Examples of such statements include statements with respect to future product format offerings and throughput capabilities. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information, including the Company’s ability to satisfy provincial sales contracts or provinces purchasing all cannabis allocated to them, and such risks contained in the Company’s annual information form dated June 27, 2018 and filed with Canadian securities regulators available on the Company’s issuer profile on SEDAR at www.sedar.com. Although the Company believes that the assumptions and factors used in preparing the forward-looking information or forward-looking statements in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information and forward-looking statements included in this news release are made as of the date of this news release and the Company does not undertake an obligation to publicly update such forward-looking information or forward-looking information to reflect new information, subsequent events or otherwise unless required by applicable securities laws.
For more information, please contact
Vice-President Global Sales and Business Development
Canopy Growth Corporation Contact:
Partner, Beyond Brands
Client Marketing Advisor, William Joseph Communications
The KeyLeaf Team didn’t have to travel far to attend the 12th Plant Protein Ingredients Summit 2019 held in their hometown of Saskatoon, Canada, May 29-31. The event, sponsored by The Netherlands-based organization Bridge2Food, was host to more than 300 companies, organizations, and entrepreneurs servicing the plant-based ingredients industry, and offered an opportunity for attendees…
The KeyLeaf Team didn’t have to travel far to attend the 12th Plant Protein Ingredients Summit 2019 held in their hometown of Saskatoon, Canada, May 29-31. The event, sponsored by The Netherlands-based organization Bridge2Food, was host to more than 300 companies, organizations, and entrepreneurs servicing the plant-based ingredients industry, and offered an opportunity for attendees from around the world to connect and network with their peers, apprise themselves of important new technologies and industry strategies, and explore and develop new business opportunities evolving around the increasing global demand for plant-based protein ingredients.
KeyLeaf’s Rick Green was one of the Summit’s invited speakers and gave a presentation addressing the latest innovations in plant protein processing.
KeyLeaf also participated in pre-arranged B2B meetings with companies who were potentially interested in KeyLeaf’s offerings of essential oils, algal oil, hemp ingredients, novel proteins and other ongoing developments. These meetings resulted in several promising new business opportunities. KeyLeaf’s participation in the summit also allowed the company to reinforce its new KeyLeaf rebrand with suppliers and customers who knew them as POS before the company changed names.
Takeaways: What we learned (or relearned) at the Summit.
Home to KeyLeaf, Saskatchewan’s global plant protein industry has been growing for decades and dozens of agribusinesses have invested here. The province is the world’s top exporter of lentils and dry peas, which means agri-value companies have the supply they need right in their backyard. Saskatchewan is a partner in Canada’s new research supercluster, Protein Industries Canada, opening up new opportunities for plant protein research and commercialization.
This summit provided Saskatchewan and Western Canada to show the world that it has built a very strong network with full vertical integration: the entire supply chain is here, right from the development of new plant varieties with lots of land available to grow these crops on at good economy scale.
Summit attendees put major focus on solving the processing issues that influence sustainability in order to open the plant protein marketplace. A growing number of consumers are demanding “clean labels” and “sustainable” plant proteins, but what does that mean? Does it mean consumers want the industry to develop crops that require less water? Do we need new equipment that requires less electricity? Which crops are truly sustainable, meaning carbon neutral? Which crops can replenish the soil with nitrogen? And when a company announces it is “sustainable” what does that mean exactly? Correctly defining and achieving sustainability is an opportunity and challenge for the entire industry at every level.
KeyLeaf spoke with companies whose sales have paused due to an unavailability of plant protein. The question this raises is, with global consumer appetites for new plant-based foods increasing, how can our industry meet the protein needs of 9 billion people in a sustainable, healthy, and environmentally friendly way?
The Summit was very much a collaborative environment between large and small companies, entrepreneurs, and government agencies. The KeyLeaf team experienced a real openness from all of them about sharing information and resources in an attempt to grow the industry… and that’s something that one doesn’t normally see. We have arrived at a point in the industry where the major companies are virtually begging for more collaboration; they know that if you can put the growers, and the food chemists and the marketers and the researchers and the packagers all together to talk on a regular basis and let them be open about their problems and needs, you’re going to wind up with a vastly better product for the consumer.
To sum up the prevailing attitude of the Summit participants: “Yes, we all have a goal to conduct viable businesses, but there is a large world to feed, it’s a big opportunity, and we all need to come together and do this.”
On February 12, 2019, ingredient maker POS Bio Sciences announced it was pivoting away from applied contract R&D work to producing finished plant-derived ingredients under the new name, KeyLeaf. KeyLeaf’s President and CEO Dale Kelly comments on the rebrand and the company’s new direction. What prompted the company’s rebranding and shift in business model? When…
On February 12, 2019, ingredient maker POS Bio Sciences announced it was pivoting away from applied contract R&D work to producing finished plant-derived ingredients under the new name, KeyLeaf. KeyLeaf’s President and CEO Dale Kelly comments on the rebrand and the company’s new direction.
What prompted the company’s rebranding and shift in business model?
When we took the company private in 2013, we recognized that it would be very difficult to run a business doing contract R&D only, so we started down the road of creating our own ingredients based on what we learned over 40 years of R&D work. We started to do internal R&D to develop other ingredients and we began to consider other businesses that we could spin out from the company. We finally reached a point where we realized the need to rebrand and we renamed ourselves “KeyLeaf”.
Does the new company, KeyLeaf, still do contract R&D?
Yes, but we’re more selective now with whom we work. In many cases, rather than trying to do all the manufacturing ourselves, we’re now partnering with R&D groups who are looking for someone to take their ingredients to a commercial level, which is our expertise. Also, when we find companies that already have brands established where our ingredient works well, then we’ll obviously make the smart choice and partner with them. We are able to scale up from bench top to commercial production under one roof, that’s unique and rare in our industry.
What do you believe sets KeyLeaf apart from other ingredient manufacturers?
Because we’ve worked with plant materials from all over the world for nearly 5 decades and have amassed a huge database of plant-derived compounds, we often have some of the best ideas about how to take a particular ingredient from one plant and marry it with an ingredient from another plant to bring about a novel combined ingredient for use in a beverage or in an edible. And thanks to our artificial intelligence machine learning program, “Big Data”, we can combine two plant ingredients in a computerized model that tells us exactly the kind of ingredient that will evolve, and we can accomplish this without spending the money and time to do development in the lab or in a pilot plant. We feel that we are very unique in that respect. There aren’t many companies around the world that have a database that’s as robust as ours. The whole area of machine learning and artificial intelligence for ingredient development has come of age for us.
What kinds of new ingredients can we expect to see from KeyLeaf in the near term?
We have a number of ingredients in development at the moment. One is an MCT hemp product that will be in a microencapsulated powder form, and there are applications in various industries for it. We are in the market with our basic DHA and EPA oils and emulsions, and we’re currently building a product line that incorporates algal DHA with hemp-derived CBD. I believe before 2019 ends we’ll be in the market with our first product combining those two ingredients.
Plant-based DHA algal oil made by your subsidiary, Algarithm, has quickly found its way into Ritual’s vegan Essentials for Women vitamin line and Virun’s O3 Omega Smoothie line.How do you account for the oil’s incredible acceptance by the natural food, beverage, and nutritional supplement industries?
Being in business for 40 years means we have a lot of very unique manufacturing knowhow. The reason our ingredients stand out against our competitors’ is because we have developed tweaks for compounds like the omegas, where there is a concern about fishy aftertaste. Our omegas have NO fishy aftertaste. Potential clients that comparison tested our algal oil to our competitors’ algal oil chose to become our clients in virtually every case.
Looking ahead 5 years from now, where do you see KeyLeaf as a player in the plant-based ingredient space?
KeyLeaf will continue to be an industry leader, as it has been for the past 4 decades, maintaining it’s dominance in the processing of plant-based proteins and oils while making ingredients for a healthier world.