Supurva Healthcare Group Inc (OTCMKTS:SPRV)’s Board Of Directors Accepts Proposed Business Model
Supurva Healthcare Group Inc (OTCMKTS:SPRV) has announced that it would be redefining its business model and making several changes, within the company, for the FY2017 and beyond. The move comes shortly after the appointment of Giorgio Johnson, as the new interim CEO of SPRV. A proposal for the change has already been submitted and approved by the board of directors, in this regard.
According to the proposal, the company plans on divesting its interest in on-site healthcare services, in favor of acquiring and developing medical cannabis dispensaries. Moreover, SPRV also plans on focusing its efforts on providing cultivation, processing and packaging services to the cannabis industry. However, with its new business model, Supurva does not intend to keep itself limited to the U.S. alone and plans on expanding operations in Canada as well.
The Canadian market for medical cannabis is fairly new, with just over 37,400 patients registered with Health Canada. Moreover, the sale of medical cannabis in the country is still under heavy scrutiny and stringent requirements are to be met, by producers and dispensaries. However, this market is expected to grow at a rapid pace, with the number of registered patients surging to over 450,000, by 2024. Added to this, since the government does not officially set pricing for medical marijuana, producers are free to do so, on their own. Given that recreational use of marijuana was soon legalized in the U.S, after medical marijuana, it is expected that Canada would observer a similar trend too.
The CEO claimed in a statement that they have already engaged a Canadian brand, for their first dispensary in the country and are currently negotiating the deal. He voiced his belief that this dispensary would start generating revenues, just 60-days after closure of the deal. However, the exact details of the deal are yet to be revealed.
Supurva Healthcare Group Inc (OTCMKTS:SPRV) did not record a change in its share value, despite a trade volume of 607.93 million, during the February 15 trading session, to close at $0.0002 per share.© Copyright 2016 OTC News Magazine. All rights reserved.