MPX International Corp (OTCMKTS:MPXOF) reported an increase of 276% YoY to $798,516 in Q2 2020, supported by increased sales in HolyWorld SA, Canveda, and Spartan. Its gross profits surged by a whopping 201% YoY to $613,103 in Q2 2020.
Developments after Q2
MPX raised funds of $3.348 million on July 2, 2020, through a non-brokered placement of 3,348 units at $1,000. The company will use the proceeds for general working capital, corporate expenses, retail expansion initiatives in Canada, and product/ facility development efforts in Switzerland.
Spartan Wellness signs a services agreement
Spartan Wellness Corp, a subsidiary of MPX, entered a services accord with Medical Cannabis by Shoppers Drug Mart Inc (MCSDM) on July 6, 2020. As per the terms of the deal, Spartan will use its professionals and volunteers to provide clinical services such as delivery techniques, prescribing cannabis medicines with a precise dose for MCSDM patients. Spartan will also educate the patients about the medical benefits of using cannabis. It will also ensure follow up appointments to measure the patient’s wellbeing and efficiency of the administered therapies.
MPX is transitioning its business model to act as an intermediary to facilitate cannabis product sales between the sellers and buyers. It will source the cannabis products directly from the licensed holders and deliver to international and domestic consumers for medical use. This initiative is less capital intensive and offers attractive margins and fees for MPX. Therefore, it generates revenues on par with seed-to-sale business.
MPX is in negotiations to facilitate the export of cannabis products to satisfy the demand in Australia and Europe through MPX Australia Pty Ltd, its wholly-owned subsidiary.
Facilitates the sale of cannabis products in Canada
MCLN (Medical Cannabis Learning Network) and Spartan are engaged in educating the patients about the benefits of cannabis and facilitating sale in Canada by working closely with 13 license holders. The company will add several licensed holders to its platform soon. It earns a consulting fee from licensed holders based on the sales volume.
Spartan and MCLN act as a sales funnel for the license holders and provide prescription services and advice to the patients from reputed physicians.
MCLN, a subsidiary of MPX, entered a pact with Miramedia Retail Inc to develop MiraCBD, a web-based portal under the MCLN brand. It will connect the consumers, retailers, and medical practitioners to the MCLN network.