Pot stock eSense-Lab Limited (ASX: ESE) provided an update on commercial supply deal that the company has inked with United Kingdom-based E-Quits Group engaged in manufacturing electronic cigarettes liquids.
On 23 October 2018, eSense-Lab entered into a commercial agreement with E-Quits to supply its Super Lemon Haze terpene blends for integration in E-Quits’ manufactured e-liquids along with several food additive products marketed in the UK. This Supply Agreement has been fixed for a period of two years which was contracted after several round of negotiations and 6-month long pilot program.
Although no minimum order requisite was mentioned in the agreement, E-Quits has recently purchased seven litres of eSense-Lab products at a fixed price per litre. And in today’s update the company announced the further order of material that is scheduled to be shipped for the distribution in the United Kingdom.
As per the update, E-Quits has already made an advance payment for the shipment.
eSense's CEO Haim Cohen stated that the initial customer feedback from the UK has been extremely positive for the eSense’s terpene blends that can be clearly getting validated by this order placed by E-Quits Group.
Mr. Cohen earlier stated that eSense underway pilot program with several industry players in the electronic-cigarette liquid market. He also noted that the development of several products that will increase the presence of eSense in food supplements, food additive, e-liquid and other associated market is under progress.
But do you know what is terpene blend produced by eSense-Lab and how it helps in E-Quits final product?
Terpenes is extracted from cannabis once the ‘high’ producing cannaboid element is taken out of the cannabis plant. So, terpene is a form of residual cannabis product that is used for medicinal purposes and for cannabis-based consumer products like electronic cigarette liquids.
These terpene blends plays a critical role in final product produced by UK’s E-Quits Group. These e-liquids are distributed by E-Quits under its range of brands including Vaping Warehouse, Lonjas, and Heidi Heisenberg.
eSense-Group told that the mix of Super Lemon Haze terpene in E-Quits final product is described as ‘a miracle in bottle’. The customer’s feedback is reportedly based on significant results experienced in the alleviation of anxiety, depression, pains like back injuries, arthritis and most importantly, severe epileptic seizures.
Mr. Cohen stated that eSense is looking forward to continuing to expand its partnership with leading e-liquid company of the UK, E-Quits Group and are currently exploring additional commercial agreements throughout the UK and Europe as part of its existing commercialization drive.
With the significant increase in supply order for the UK market, eSense has witnessed the upward trends in stock market trade. That translates an increase of as much as 5.882% in the share price of the company, closing at $0.036 on 6 December 2018.
But when it comes to historical performance of the company, ESE stock represents a plunge of massive 88.47% over the past one year. Further, it has been down 45.16% in the past three months as at 6 December 2018.
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