SAFFRON TECH ENTERS STRATEGIC PARTNERSHIP WITH NAVEH PHARMA TO CREATE PREMIUM SAFFRON-BASED COSMETICS AND SUPPLEMENTS

Rhea-AI Summary

Sativus Tech Corp (OTC: SATT) announced a strategic joint venture with Naveh Pharma to enhance R&D and revenue streams via saffron-based products. Currently, Naveh Pharma reports $1.3 million in annual revenues with $300,000 net profit and a growth rate of 30% annually. Saffron Tech will invest $1.5 million and hold 70% equity, supplying Naveh Pharma with at least 100 kg of saffron extract at over $2,000 per kg. This partnership aims to develop saffron-based pharmaceuticals and nutraceuticals, targeting global markets in 2022.

Positive

• Joint venture with Naveh Pharma expected to enhance R&D and revenue opportunities.
• Naveh Pharma's annual revenue growth of 30% indicates strong market demand.
• Saffron Tech's investment of $1.5 million shows commitment to the joint venture.
• The venture is set to expand the market for saffron-based health products.

Negative

• Completion of joint venture is contingent on signing a definitive agreement, posing potential delays.

Naveh Pharma currently achieves annual revenues of $1.3m and a net profit of $300,000 and is growing at 30% per year

Joint Venture creates a gateway for Saffron Tech to continue its R&D efforts with the new revenue stream.

Saffron Tech to service pharma companies looking to leverage the natural medicinal properties of saffron in pharmaceutical and nutraceutical applications.

Tel Aviv, Israel, March 01, 2022 (GLOBE NEWSWIRE) --  Sativus Tech Corp (OTC: SATT), an AgTech company that is developing the protocols to grow saffron using vertical farming technology, today announced that its subsidiary, Saffron Tech has signed a non-binding LOI with Naveh Pharma, a company that specializes in creating pharmaceutical and healthcare products with unique active ingredients including saffron. The strategic joint venture is expected to accelerate grown for both companies as the fast-growing nutraceutical industry continues to expand with consumers looking for natural solutions for conditions such as depression and inflammation. The partnership creates undeniable value for both companies and their shareholders by creating a synergy where Saffron Tech would supply Naveh Pharma’s saffron-based supplements.

“This partnership aligns both companies’ unique strengths,” says Tal Wilk Glazer, CEO of Saffron Tech. “Using our premium, lab-grown saffron in nutraceutical and pharmaceutical applications is a testament to the quality of saffron that we are producing. We see significant value in saffron-based supplements, and we look forward to working with Naveh Pharma to unlock the potential of our combined businesses.”

Under the terms of the transaction, Saffron Tech will invest $1.5 million and will hold 70% of the equity of the joint venture. In addition, as part of the agreement, Naveh Pharma will commit to purchase from Saffron Tech, at least 100 kg of saffron extract at over $2,000 a kg which translates to $23,000 per kg of pure saffron.

"I realized long ago that saffron is not just a spice,” says Nitzan Primor, CEO, Naveh Pharma. “Saffron contains ingredients with amazing medicinal properties that could benefit so many if they had access to it. Naveh Pharma and Saffron Tech can leverage their respective research and development data to develop unique and innovative products for the market. The possibility of creating a reliable and pharmaceutical-grade saffron for the world market is a proud milestone for both of our companies.”

The joint venture plans to develop and distribute a line of saffron-based food supplements globally in 2022 and launch a line of saffron-based cosmetics in the second half of 2022. Shared revenues from this joint venture will include existing products already being sold by Naveh Pharma, including a series of seven saffron-based products used for antidepressants, mood support, ADHD and more.

This collaboration could be the first step in a significant increase in the market of saffron-based food supplements and cosmetics supplements.

Completion of the deal is subject to singing a definitive agreement which the Company expenses will occur by the end of March 2022.

About Sativus Tech Corp:

Sativus Tech Corp (OTC: SATT) is an AgTech company that uses advanced vertical farming technology to increase the production of low yield food products in the global marketplace. The company focuses on the research, development, and commercialization of agriculture products that are high in demand but scarce in the marketplace. A reliable supply of these highly coveted food products can be used in various applications including pharmaceutical, nutraceutical, culinary, and the beauty industry. Sativus Tech Corp’s subsidiary, Saffron Tech, is revolutionizing the AgTech world by creating the protocols to grow saffron in indoor vertical farms. It is also increasing the production of the spice by multiplying the number of annual harvests. Sativus Tech Corp’s technology offers a responsible and sustainable way to grow crops in a world confronted by environmental challenges and dwindling earth reserves, diminishing water sources and unstable weather conditions.

Cautionary Note Regarding Forward-Looking Statements
This letter contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management's current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significantly from that expressed or implied by such forward-looking statements. Important factors that could cause or contribute to such differences include risks discussed in our Quarterly Reports on Form 10-Q and in our Annual Report on Form 10-K, including in the sections captioned "Risk Factors" and "Forward Looking Statements." Forward-looking statements speak only as of the date on which they are made, and we assume no obligation to update or revise any forward-looking statements or other information contained herein, whether as a result of new information, future events or otherwise. You are cautioned not to put undue reliance on these forward-looking statements.

Investor Relations:

Gadi Levin
CEO
(800) 608-6432

Press Inquiries:
info@saffron.ag

FAQ

What is the significance of the joint venture between Saffron Tech and Naveh Pharma?

The joint venture aims to enhance research and development efforts and create new revenue streams through saffron-based products.

What are the financial figures reported by Naveh Pharma?

Naveh Pharma currently has annual revenues of $1.3 million and a net profit of $300,000.

What investment is Saffron Tech making in the joint venture?

Saffron Tech will invest $1.5 million and retain 70% equity in the joint venture.

What products will the joint venture focus on developing?

The joint venture plans to develop saffron-based pharmaceuticals and nutraceuticals for global distribution.

When are the saffron-based products expected to launch?

The joint venture plans to launch saffron-based food supplements globally in 2022.