Blue Sky Hemp Ventures Sells Food Division to Focus on Cannabis Manufacturing Growth
Blue Sky Hemp Ventures Sells Food Division to Fresh Hemp Foods
Blue Sky Hemp Ventures Ltd., a pioneering company in the industrial hemp sector since its founding in 2017, has recently announced the sale of its hemp-based food division to Fresh Hemp Foods. This strategic move is aimed at refocusing resources on their cannabis extraction and contract manufacturing operations. The financial terms of the transaction have not been disclosed, but the implications for both companies suggest significant opportunities for growth in the emerging cannabis market.
Andrew Potter, the CEO of Blue Sky, spoke to the press about the decision. He highlighted the company's impressive performance over the past two years, achieving positive EBITDA and net earnings, a remarkable feat in the competitive hemp sector. Potter elaborated on how strong growth across both food and cannabis divisions brought Blue Sky to a critical junction. With limited capital and space to expand, selling the successful hemp food business was seen as a pathway to accelerate the scaling of cannabis operations, thus enhancing long-term value for shareholders.
The proceeds from this sale are set to catalyze Blue Sky's expansion in contract manufacturing services, which includes producing items like vape pens, pre-rolls, and softgels. The company has already established a solid reputation for its topical and oil products, and the infusion of capital from this sale will further reinforce their operations. Additionally, Blue Sky is on track to obtain EU-GMP certification, which will open up new global markets for bulk extracts and finished products, further solidifying its position in the industry.
Potter expressed pride in the team's accomplishments, particularly regarding product innovation, citing their refined hemp seed oil as a standout achievement. He is confident that the spirit of innovation that has defined their food division will carry forward into their cannabis operations. He also expressed optimism for the future of the food division under Fresh Hemp Foods, hoping that they will elevate the brand further while honoring Blue Sky's commitment to whole plant utilization.
Jared Simon, President of Manitoba Harvest and Tilray Wellness, shared excitement about integrating Blue Sky's customer and supplier relationships into Fresh Hemp Foods. He emphasized their commitment to sustainability and the intent to continue promoting nutritious hemp food products to a broader audience. This sale not only helps Blue Sky streamline its focus but also allows Fresh Hemp Foods to expand its offerings in the hemp food sector, thus fostering growth for both companies.
Blue Sky Hemp Ventures, based in Saskatoon, Saskatchewan, operates a significant 15,000 sq ft cannabis processing facility. After their latest expansion in December 2024, they have become one of Canada's leading independent extractors, managing around 20,000 kg of dry cannabis flower monthly. Their operations now center on bulk cannabinoid extraction, refinement, and contract manufacturing, which includes diverse product ranges such as oils and topicals, alongside new ventures into brewing, pre-roll production, and softgels.
In the upcoming months, Blue Sky plans to continue transforming its facility to comply with EU-GMP standards, which is essential for establishing global manufacturing and extraction partnerships. This move not only signifies a shift in focus for Blue Sky Hemp Ventures but also reflects the evolving landscape of the hemp and cannabis industry, where companies need to adapt swiftly to remain competitive and capitalize on emerging opportunities.