Ness Ziona, Israel-based Nextage Innovation, a maker of cannabis-based products, said Monday it has entered into an agreement in principle with Israel’s Tempo Beverages Ltd. to set up a joint firm to develop cannabis-based products for the foods and beverage industries.
The joint venture will also develop and sell new technologies for the food and beverage industry, the two firms said in a statement.
Tempo, which produces, imports and markets alcoholic and non-alcoholic drinks, is Israel’s largest brewer and second-largest beverages firm. The firm is part owned by the brewer Heineken International Beheer B.V.
Nextage said in the statement that the joint venture is a “significant strategic milestone” to consolidate its position at the forefront of cannabis-based products.
Nextage Innovation holds a license from the Israeli Health Ministry for the development, testing and manufacturing of cannabis products, and was founded in 2018, according to the database of Start-Up Nation Central. The firm is soon to be part of the shell company Micromedic Technologies Ltd., a holding biopharmaceutical firm traded on the Tel Aviv Stock Exchange.
The firms said the company will be owned in equal parts and that a final agreement will be signed within 90 days.