Benzinga | Sep 1, 2021 12:17PM EDT

Peak Partners With Boston Beer To Produce Cannabis-Infused Beverages In Canada

* Althea Group Holdings subsidiary Peak Processing Solutions has entered into agreements with BBCCC, Inc., a subsidiary of Boston Beer Company Inc. (NYSE:SAM), and WeedMD Rx Inc., a subsidiary of Entourage Health Corp (OTC:WDDMF), to develop, produce, and distribute cannabis-infused beverages in Canada.

* Under the five-year supply and manufacturing agreement, Peak will be the exclusive manufacturer of all cannabis beverage products produced and sold in Canada under Boston Beer branding.

* Boston Beer will provide up to $2 million to fund capital expenditure costs, including the construction and furnishing of laboratory facilities and additional production-related equipment.

* In addition, Peak will receive a minimum of $0.285 million for each year of the agreement term.

* Entourage will be responsible for the distribution and sales of cannabis-infused beverages in Canada.

* Price Action: SAM shares are trading higher by 2.04% at $581.84 on the last check Wednesday.