Agritek Holdings, Inc. Announces Agreement Between Subsidiary Full Spectrum Biosciences Inc. and California Based Biomedican, to Produce First Yeast Based Cannabinoid Compounds
Synthetic CBG Nutraceutical Products in New Test Pilot Program
Los Angeles, CA - (NewMediaWire) - November 5, 2020 - Agritek Holdings, Inc. (AGTK) (www.AgritekHoldings.com), a fully integrated, active real estate investor and its wholly owned subsidiary Full Spectrum Biosciences Inc., an IP, formulation and white label provider for popular hemp brands RehabRx and Hemp Pops, today announced that Full Spectrum Biosciences and California based Biomedican Inc. (www.biomedican.com) have executed a Letter of Intent and are completing a joint venture agreement for the first test pilot program using Biomedican’s patented biosynthetic methods using yeast fermentation, to ensure the efficient production of high-quality cannabinoid profiles and compounds.
As featured in Forbes, Nasdaq and Axios, Biomedican generates cannabinoids and terpenes directly from proprietary yeast without costly plant cultivation or inefficient extraction and purification procedures in a scalable process and operation. Production facilities for biosynthesis cost a fraction of traditional cannabis cultivation and extraction facilities, enabling much more cost-efficient manufacturing within a certified laboratory setting.
In contrast to chemically synthesized compounds, the Biomedican natural, organic, non-GMO biosynthetic products are identical to those extracted from plants while offering higher purity than typically found in nature. In addition, the unique proprietary yeast is optimized to produce higher quantities of product at lower cost than competing biosynthetic methods presently being utilized.
By the numbers: According to a recent research note from Raymond James, the global cannabinoid biosynthesis market forecasted to be $10 billion by 2025. A number of startups are moving into the biosynthesized cannabinoid space, which Raymond James analyst Rahul Sarugaser has written is "synthetic biology's next killer app."
The conventional method of obtaining cannabinoids like CBD involves cultivating cannabis plants that contain the strain wanted, and then extracting the desired chemicals. Because some of the most in-demand cannabinoids occur in very low concentrations in nature, a lot of plant matter is needed, which means production costs can be several thousand dollars per kg.
“We are extremely excited to be entering the joint venture with Biomedican and to be one of the few companies chosen for the test pilot program for yeast generated synthetic cannabinoids for our nutraceutical and edible lines as IP of Full Spectrum Biosciences. This is truly next generation science within the cannabis sector and we hope our result driven research through this biosynthesis test pilot program and partnership with Biomedican allows the world wide nutraceutical and big pharma industries to take notice,” stated B. Michael Friedman CEO.
“Biomedican has the highest quality and lowest production costs in the industry, which makes us the perfect partner for companies that have large distribution networks in CBD, nutraceuticals, health food, cosmetics and pet care to add our compounds into current products and build new product lines. Agreements like these will deliver turnkey global distribution for Biomedican," says Dennis O'Neill, CIO of Biomedican.
In biosynthesis, microbes like yeast and bacteria are engineered to produce large quantities of a single cannabinoid in a fermentation process that works similarly to beer brewing. As a result, biosynthesis companies like Biomedican and Full Spectrum Biosciences will be able to produce expensive CBD, CBG, CBN cannabinoids at a much lower price and without fears of contamination and various factors associated with outdoor/indoor cultivation and large scale grow operations.
The Future of Rare Cannabinoids
“Soon, CBD will become an afterthought as more potent cannabinoids replace it in medicine, beauty products, food and beverages, and more. Rare cannabinoids like CBG, THCA, CBN, THCV, and more will all contribute to this shift, with CBG being the most highly desired for its versatile applications in both the pharmaceutical and food/beverage industries. Together, these rare cannabinoids will be the new frontier that may makes the global cannabis market a multi-billion dollar sector. CBG will be at the forefront of this rare cannabinoid boom,” stated Maxim Mikheev, CEO and Founder of Biomedican.
The new Full Spectrum Biosciences and Biomedican test pilot program will seek to streamline the production pipeline of pure and consistent yeast based cannabinoid compounds, including: CBG, THCA and CBN that are expected to be in high demand by big pharma and the nutraceutical industries across many regions within the U.S. and Canada. The Company expects to complete the joint venture agreement and start the test pilot program before the year end and will jointly seek additional funding through Agritek’s institutional investment advisors to expand production nationally.
The global CBD market is expected to reach USD 146.4 billion by the end of 2025, according to a new report by Grand View Research, Inc. Growing adoption of marijuana in several medical applications such as cancer, mental disorders, chronic pain and others is expected to propel revenue growth in near future.
Browse full research report with TOC on "Legal Marijuana Market Size, Share & Trends Analysis Report By Type (Medical, Recreational), By Product Type, By Medical Application (Chronic Pain, Mental Disorders, Cancer), And Segment Forecasts, 2018 - 2025" at: https://www.grandviewresearch.com/industry-analysis/legal-marijuana-market
Increasing number of companies operating in the marijuana market is expected to bolster the quantity and variety of products reaching the end users. Products like marijuana oil have started gaining traction over the past few years owing to increased effectiveness and safety as compared to smoking it. Also, the growing research in the cannabis industry has led to introduction of new marijuana strains. These advances in new product development is expected to enhance product adoption among consumers. Legal marijuana market is witnessing strong technological and information exchange. Countries like Canada, the U.S., Germany and Australia are expected to emerge as leading markets in terms of sales, whereas countries like Israel are focusing on research and technology development and are leveraging knowledge transfer.
Further Key Findings From the Report Suggest:
· The U.S. legal marijuana market size was estimated at USD 7.06 billion in 2016 and is expected to grow at a CAGR of 24.9% from 2017 to 2025
· Medical marijuana emerged as the largest marijuana type segment in 2016 and is estimated to be valued at USD 100.03 billion by 2025
· By product type, marijuana buds segment was estimated to be dominant in 2016 with revenue share of 62.9% and is estimated to be valued at USD 82.9 billion by end of 2025
· Some players operating in legal marijuana market include; Canopy Growth Corporation, Aphria, Inc., Aurora Cannabis, Maricann Group, Inc., Tilray, The Cronos Group, Organigram Holdings, Inc, ABcann Medicinals, Inc., and Tikun Olam
About Agritek Holdings, Inc. and Full Spectrum Biosciences
Agritek Holdings, Inc. (www.AgritekHoldings.com), is a fully integrated, active real estate investor and advisor of white label brands in the legal cannabis sector. Specifically, Agritek Holdings provides strategic capital and functional expertise to accelerate the commercialization of its diversified portfolio of cannabis related real estate holdings. The hemp based raw material and products produced at facilities owned by Agritek Holdings and leased back to licensed operators are then used for retail branded CBD, CBG and Hemp oil extract products produced by its subsidiary Full Spectrum Biosciences presently sold via e-commerce, online, Amazon and Doctors offices within the United States. Brands include RehabRX, Hemp Pops, MD Vapes, and multiple white labeled brands. Agritek Holdings Inc. does not directly grow, harvest, or distribute or sell cannabis or any substances that violate or contravene United States law or the Controlled Substances Act.
Biomedican is a California based life sciences company that generates cannabinoids and terpenes directly from proprietary yeast without costly plant cultivation or inefficient extraction and purification procedures in a scalable process and operation. Production facilities for biosynthesis cost a fraction of traditional cannabis cultivation and extraction facilities enabling much more cost-efficient manufacturing within a certified laboratory setting. The Company’s proprietary technology can revolutionize the cannabinoid supply chain and directly feed into several markets where cannabinoids and terpenes are in high demand.
The pharmaceutical potential of cannabinoids cannot be overstated, as the efficacy of cannabinoids has been implicated in treating pathologies with billion-dollar markets in the U.S. alone. The Company recently featured in Forbes, Nasdaq and Axios stated their patented process and low-cost production of such high-value compounds may generate a competitive advantage over traditional forms of treatment for diabetes, cancers, autoimmune disorders, respiratory disease, nervous system disorders, pain, viruses, ADHD, and more
This press release may contain certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Agritek Holdings, Inc. to be materially different from the statements made herein.