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Tree of Knowledge, Northern Green sign pact to develop, sell cannabis products

Tree of Knowledge International Corp. and privately held cannabis producer Northern Green Canada Inc. signed a letter of intent to jointly carry out certain cannabis-related operations in Canada.

Scarborough, Ontario-based Tree of Knowledge and Brampton, Ontario-based Northern Green plan to undertake research and development of medical cannabis products while also providing service to medical cannabis patients. The arrangement will help in expanding distribution across the enlarged clinic network.

The companies also intend to work towards Tree of Knowledge's opioid reduction program.

Under the definitive agreement, when signed, Tree of Knowledge will issue 10 million common shares to Northern Green. In addition, Northern Green will issue a 5% equity stake to Tree of Knowledge, subject to a valuation done by the former.