Sixth Wave Signs MOU for Exclusive License to Affinity™
Halifax, Nova Scotia – (June 2, 2022) – Sixth Wave Innovations Inc. (CSE:SIXW) (OTCQB:SIXWF) (FSE:AHUH) (“Sixth Wave” or the “Company”) is pleased to announce signing a Memorandum of Understanding (“MOU”) with Advanced Extractions Systems Inc. (“AESI”) for an exclusive worldwide royalty bearing license to the Company’s Affinity™ cannabis extraction technology (the “Transaction”). The Company has been working closely with AESI on the design and manufacture of its Affinity™ hardware. Affinity™ provides a vertical integration opportunity for AESI and allows AESI a comprehensive offering for extraction to purification. Moreover, AESI has a solid track record in the cannabis industry and has successfully expanded into other botanical and nutraceutical markets. These new markets will also require extraction and purification services and will effectively open additional markets for the Affinity™ technology and Sixth Wave’s patent pending molecularly imprinted polymer (MIP) solutions. This MOU is the result of initial due diligence conducted by both companies to assess the value and strength of the Transaction. As part of the overall structure, Sixth Wave will work with AESI to help transition to a publicly traded company.
Dr. Jonathan Gluckman, President, and CEO of Sixth Wave notes “AESI represents a significant increase in the ability of Sixth Wave to introduce and support faster market penetration of Affinity™ systems. AESI has a complete engineering design and manufacturing team, customer support, sales, marketing, installation and service base that would otherwise all have to be grown inside Sixth Wave. Licensing the Affinity™ technology allows Sixth Wave to focus on core technology development to expand and diversify offerings with a direct pathway to monetizing those developments within a mature production and sales infrastructure. We are very confident that the relationship will result in a faster and more successful launch of Affinity™ and provide a lucrative licensing and royalty stream.”
Peter Toombs, CEO of AESI adds “AESI has a strong history providing extraction solutions to the cannabis and hemp industries and has started to see new contracts and successes in extraction of other botanicals and nutraceuticals. Adding the Affinity™ technology to our offerings provides unique competitive advantages to AESI in cannabis and other markets as it will allow us to impact a greater portion of the equipment used in processing along with technological advantages in both extraction and purification. Moreover, the continued development relationship that will be part of the transaction will allow the two companies to effectively address emerging markets such as psychedelics and other high value molecules. The molecularly imprinted polymer (MIP) technology which is the core of Sixth Wave will be able to be brought to market much faster with the added systems engineering, sales, and support infrastructure within AESI”.
General Terms of the MOU include:
- Exclusive worldwide royalty bearing license to the Affinity™ technology for cannabis, botanical, and psychedelics purification.
- Options to license Affinity™ applications for additional botanicals and nutraceuticals.
- Upfront license fee to include cash and equity in AESI.
- AESI would agree to pay an annual percentage royalty to Sixth Wave on a monthly basis for any leases it sells of each AffinityTM unit.
Detailed terms related to the Transaction are being negotiated by the parties with the expectation that a definitive license agreement will be completed within sixty days. The Transaction is contingent on a successful public listing of AESI. The public listing of AESI is contingent on successfully negotiating a term sheet with interested parties, complete due diligence, and regulatory approval.
Thank you for your continued support.
Dr. Jonathan Gluckman
Sixth Wave Innovations Inc.
About Advanced Extraction Systems Inc.
Advanced Extraction Systems, Inc. (AESI) provides comprehensive extraction solutions in the cannabis, psilocybin, and biomass industries across the globe. AESI has designed and fabricated total extraction solutions for many of the largest companies in these industries over the past decade, ranging from small bench scale to large industrial installations. Solutions have been designed to meet a variety of region/application-specific quality regulations (CRN, ASME, PED, CE, CSA, CSAus, cGMP, euGMP, Pharma) and cover everything from consulting to equipment to training. AESI constructs its high-quality hardware and associated software from its headquarters facility in Prince Edward Island, Canada by leveraging an engineering team that has extensive experience in the real-world operation of extraction equipment.
About Sixth Wave
Sixth Wave is a nanotechnology company with patented technologies that focus on extraction and detection of target substances at the molecular level using highly specialized Molecularly Imprinted Polymers (MIPs). The Company is in the process of a commercial rollout of its Affinity™ cannabinoid purification system, as well as, IXOS®, a line of extraction polymers for the gold mining industry. The Company is in the development stages of a rapid diagnostic test for viruses under the Accelerated MIPs (AMIPs™) label.
Sixth Wave can design, develop and commercialize MIP solutions across a broad spectrum of industries. The company is focused on nanotechnology architectures that are highly relevant for the detection and separation of viruses, biogenic amines, and other pathogens, for which the Company has products at various stages of development.
For more information about Sixth Wave, please visit our website at: www.sixthwave.com
ON BEHALF OF THE BOARD OF DIRECTORS
Jonathan Gluckman, Ph.D., President & CEO
For information, please contact the Company:
Phone: (801) 582-0559
This press release includes certain statements that may be deemed “forward-looking statements” including statements regarding the performance of the IXOS®, Affinity™, and AMIPs™ technologies.. All statements in this release, other than statements of historical facts, that address future events or developments that the Company expects, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual events or developments may differ materially from those in forward-looking statements. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause the Company’s actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. In particular, successful development and commercialization of the IXOS®, Affinity™, or AMIPs™ technologies are subject to risk that they may not prove to be successful, uncertainty of medical product development, uncertainty of timing or availability of required regulatory approvals, lack of track record of developing products for certain applications and the need for additional capital to carry out product development activities. The value of any products ultimately developed could be negatively impacted if patents are not granted. The Company has not yet applied for regulatory approval for the use of this product from any regulatory agency.
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