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We would expect the endorsement from Canopy make it much easier for Sunniva to find the next distribution partner, likely another large national player such as Aurora (OTCQX:ACBFF) and Aphria (OTCQB:APHQF).(Source: Winnipeg Press)As we wrote in "5 Predictions For The Cannabis Industry" that smaller producers will have a hard time securing supply agreements and find distribution channel for their upcoming productions. Without the deal with Canopy, we would imagine Sunniva having a hard time securing supply agreements given its limited scale, lack of track record, and tough competition among other large producers. We think Sunniva management understands the situation and iPhone Cases has very intelligently chosen its business model by leveraging its unique access to medical patients to secure distribution channel for its upcoming production.
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