Puration, Inc. (PURA) currently maintains a U.S. patented cannabis extraction process that is licensed from NCM Biotech. As an entity of NCM Biotech, Puration has access to R&D that could potentially introduce FDA-approved cannabis derived pharmaceutical products. That is, if the plant is ever federally legalized. Currently, Puration is specifically looking to create products that treat the symptoms of conditions like cancer and multiple neurological disorders.
To help Puration accomplish their lofty goals John N. Gaitanis, M.D., Director of Child Neurology at Tufts Medical Center/Floating Hospital for Children; Lloyd R. Saberski, M.D., Associate Professor of Anesthesiology and Chronic Pain Management, Yale University, and John McMichael, Ph.D., President and CEO Beech Tree Labs make up the NCM Biotech medical advisory team.
Recently, Puration issued a letter of intent (LOI) to purchase a Dallas, Texas nursery consisting of 25 greenhouses. The greenhouse currently only grows flowers used by local residential landscaping companies. This high powered nursery operation held contracts with companies large companies like Lowe’s and Home Depot. Just after issuing that letter, the publicly traded extraction company announced a $1.2 million sales contract. Combined with their patented processes, the greenhouse operation could potentially earn the company up to $100,000 per month. There’s just one catch.
Texas recently approved medical cannabis but have yet to approve any licenses for operation. Because of this, the cultivation would transition from the traditional nursery to a cannabis nursery. Then as the medical cannabis program grows the cultivation can expand. Eventually, Puration would develop their own proprietary hemp and cannabis cultivars in the greenhouse in hopes of enhancing the company’s already thriving cannabis extraction business.
The acquisition under LOI will close before August and could include expansion terms of up to 400 irrigated greenhouses. Their plan is to utilize the profits from 25 greenhouses to organically expand the cannabis cultivation into the full 400 greenhouse potential. With impending legalization, the Puration nursery could turn around a large profit for their shareholders.