CannTrust (TSX:TRST)(NYSE:CTST) is a global leader in medical cannabis and is recognized for its consistent, high-quality products. Founded in 2013 by a group of pharmacists, CannTrust’s focus on standardization allows it to provide consistent and innovative cannabis products that can be prescribed and sold to enhance the lives of consumers across a variety of applications. CannTrust is a widely recognized, industry-leading, licensed producer of cannabis in Canada.
The company is a cultivation leader focused on innovation and has developed state-of-the-art facilities that support CannTrust’s ability to be a leading low-cost, high-quality producer with scale. The company had over 2,400 active physicians prescribing products and more than 58,000 patients in Canada. CannTrust’s patient base grew over 50% annually over the last three years and continues to grow following recreational legalization in late 2018. CannTrust’s ability to produce high-quality, standardized products for the medical markets has built considerable credibility, trust in the brand, and a loyal and broad consumer following.
In addition to the company’s success in the medical cannabis industry, CannTrust’s brand awareness has been built on quality standards with a focus on innovation and product development. This positions it as a leader in many other non-medical applications, including natural health products, health and wellness, adult-use recreational, and pet care markets. The company’s product and intellectual property development teams consist of experienced pharmacists, nurses, medical doctors, scientists, and growers along with a clinically trained client support team.
Further, the company is licensed to conduct research and development and also focuses on creating education curriculum and research collaboration models. Also, the company also owns a 450,000-square-foot commercial greenhouse facility in the Niagara region through a wholly owned subsidiary, Elmcliffe.
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The Niagara Facility is the company’s primary growth facility and is a state-of-the-art hydroponic greenhouse with computer-controlled irrigation, co-generation, and full supplemental lighting. The Niagara Facility is also equipped with a perpetual harvest cropping system, which produces cannabis 365 days a year and allows for a continuous work cycle, creating a steady production capacity and a more stable work environment for employees.
For medical use, the company offers dried flower formats as well as several cannabis drops and encapsulated cannabis oil products. The company also produces similar products in capsule form using two-piece capsules that are vegan-based and do not use animal products, such as gelatin, making these more desirable for a variety of customers and patients due to possible religious or ethical reasons. The company’s cannabis drops and encapsulated cannabis oil provide patients with a non-combustible, oral option for consuming medical cannabis.
Robust product development
The company is also expanding product development and branding across other uses. With respect to pet care, the company has entered a joint venture with Grey Wolf, a veterinary health company. Through this partnership, the company seeks to capitalize on the significant pet care market estimated at over $5 billion annually in Canada.
Overall, CannTrust has a variety of new cannabis products at various stages of development, including oral, topical, edible, and inhalable products. These products have incredible potential and could result in a higher stock price for CannTrust.
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