Flora Growth Corp (NASDAQ: FLGC) Moves into a Non-Binding Letter of Intent with Avaria to Form a Joint Venture Focused on the Distribution of Kalaya’s Pain Cream and Other Formulations

Flora Growth Corp (NASDAQ: FLGC) happens to be a party to a non-binding Letter of Intent (“LOI”) with Avaria. It is a collaboration focused on forming a joint venture that will avail the KaLaya brand to the LATAM distribution network. Analysts project that the award-winning product will receive an outstanding reception, as was the case in Canada. 

Merchan speaks out

The President and CEO of Flora Growth, Luis Merchan, opines, “Moving forward, Flora Lab will work with the Avaria team to produce CBD-infused versions of KaLaya products for distribution across LATAM as well as export into the United States. Given CBD’s association with wellness, KaLaya’s established formulation, and Flora Growth’s low-cost high-quality cannabis, this is a natural partnership we are excited to bring globally.”

The unique aspects of the Kalaya brand

Avaria’s KaLaya pain cream brand continues to re-affirm its place as one of the most successful products available in the markets. For instance, it witnessed three consecutive years of triple-digit growth, a success that became possible through the company’s outstanding commerce channels. In addition, reports indicate how the product continues to grow in popularity, garnering many industry awards and consumer praise. One of its most revered awards happened to be TSC’s (The Shopping Channel) #1 2020 Wellness Brand.

The product garnered 4.5+ Stars across 1,500+ reviews on A’s Consumer Choice for topical pain relief products. 

 Flora Growth asserts that it knows its role in the joint venture, and that will be the KaLaya products’ management, registration, distribution, and sales. Some of the main areas of focus will include Mexico, Colombia, and other LATAM countries.

Avaria says it will play its role of supplying the finished product and remains open to the terms of conditions of the deal. The two will share the profits emanating from the sale of the KaLaya products equally. 

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