RotoGro scores a $2.3m order from Canadian cannabis producer

Written on the 4 April 2018 by David Simmons

RotoGro scores a $2.3m order from Canadian cannabis producer

Australian hydroponics company RotoGro (ASX: RGI) has secured an order from a Canadian cannabis producer worth $2.3 million.

Miracle Valley, a Health Canada Licensed Producer, is currently building a 29,000 square foot cultivation and manufacturing facility in British Colombia.

Phase one of the facility is comprised of 10,000 square feet of grow rooms which will be outfitted with RotoGro's hydroponic garden system, as well as the company's iGrow software management system.

The $2.3 million order from Miracle Valley will be part of the Canadian company's first large-scale facility licensed by Health Canada, acting as a flagship to promote further larger orders.

RotoGro will provide onsite assembly, installation, testing, certification, training and growing management support.

The Canadian company predicts the facility will produce 5,400kg of lawful cannabis per year.

READ The Cannabis Index: A complete guide to cannabis stocks on the ASX

Managing director of RotoGro, Michael Carli, says the order from Miracle Valley represents a major coup for the company in its plans to be a world leader in hydroponic technology.

"The successful award of the Miracle Valley order is a major milestone in RotoGro's quest to becoming the world leader in hydroponic agricultural technology," says Carli.

The company hopes a successful partnership with Miracle Valley will see increased attention from Canadian companies for RotoGro's technology. Currently there are 93 Health Canada Licensed Producers in Canada with a further 208 applicants in the final stage of the licensing process.

"Our RotoGro team has been working diligently with numerous prospective clients," says Carli.

"Each inquiry brings unique technical support and design needs which require our team to remain solution and outcome oriented in order to provide the most suitable solution for our customers."

Shares in RotoGro are up 2.22 per cent to $0.46 per share at 11.35am AEDT.

Never miss a news update, subscribe here. Follow us on Facebook, LinkedIn, Instagram and Twitter.

Business News Australia

Author: David Simmons





Contact us

Email News Update Sign Up Contact Details

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter