Agrify, a provider of advanced cultivation and extraction solutions for the cannabis industry, has signed a definitive agreement to provide Boone Labs, a Buchanan, Michigan-based vertically integrated cannabis operator, with a broad range of cultivation and extraction solutions at its new production facility.
Boone Labs will be the first customer to use Agrify’s full suite of offerings, across cultivation, extraction, and consumer brands, to create a fully operational cannabis production business.
Under the terms of the agreement, which is valued at $2 million, approximately $1.5 million will go towards Vertical Farming Units (VFUs) and $0.5 million will go towards a full range of extraction systems. Agrify expects to supply Boone Labs with a lineup of the services and equipment necessary to launch a cannabis production facility.
The agreement consists of facility design services, cultivation, extraction, distillation, isolation, and lab equipment, recipes and operating procedures for growing flower and creating extracts, as well as automation and production-planning software.
Boone Labs has opted to outfit its 8,500 sq. ft. facility with some of Agrify’s solutions including Longs Peak Rosin Presses and Axis Trichome Separators for solventless extraction, the PX1 for hydrocarbon extraction, and 72 VFUs, fully integrated with Agrify Insights software, for cultivation. This approach will enable precise control over operations, while providing the accompanying data to prove active ingredient levels. Boone Labs is starting with 72 VFUs to remain compliant with the 3,500 plant limit in its current Michigan license, but has room to add an additional 24 VFUs when given an expanded license.
“By harnessing the power of data, science, and technology – as well as fostering close consultative relationships with our customers – Agrify continues to execute on our mission to be the leading end-to-end solution provider in the industry for cannabis operators,” said Raymond Chang, CEO of Agrify. “Following exhaustive due diligence, companies, whether they’re new to the industry or well-established, are concluding that Agrify’s solutions provide the fastest and surest means to establishing a profitable cannabis operation. Whether the goal is to expand business and become a multi-state operator (“MSO”) or quickly reach profitability as a regional “premium craft” grower, like Boone Labs, Agrify’s solutions can be tailor-made to meet the needs of individual businesses.”