Medcolcanna Organics Inc. announced it has entered into a distribution agreement with the company responsible for the Rappi app for the distribution of MCCN's magistral formulations and to provide telemedicine services for the diagnosis and treatment of conditions and diseases with medicinal cannabis formulations. Following the November 2020 INVIMA certification of MCCN's laboratory under its Good Elaboration Practices for Magistral Preparations with Cannabis (GEP) program, the Company has signed a distribution agreement with Rappi, a last mile delivery app. With its presence in over 150 cities in 9 countries, Rappi has more than 5.6 million users of its online grocery and pharmacy delivery services, making this app the largest and fastest growing direct to consumer delivery platform in the Latin American region with a compound monthly growth rate of 12% in 2020. The deal between MCCN and Rappi is a commission-based arrangement, lowering the risk to the company while giving it access to a well-developed and widely recognized distribution channel with potential to benefit more than 5.6 million active users in the region that spent, in 2020, more than USD 4 million per month in pharmacy transactions alone, with growth expected to continue in 2021 in Colombia. This agreement between Rappi and MCCN will provide patients immediate access to the company's portfolio of medicinal cannabis products (accompanied by a doctor's prescription). The company's strategy is to augment the market penetration of its magistral formulations by launching its telemedicine platform and e-health services, helping to get closer to the patient in an efficient and responsive manner leveraging a fully digital service. Medcolcanna's telemedicine platform will be part of the services offered through the Company's in-app store. This will allow patients in need of these medicines to more easily consult a knowledgeable physician trained in prescribing these medications, educate themselves on the various formulations and receive these prescriptions in a safe manner, granting access to patients in remote locations immediate access to MCCN's portfolio of capsules, oils, sprays, transdermal gel, creams, and almost all pharmaceutical forms and reducing the need to consult with physicians in person. This agreement requires implementation to be executed and available on the Rappi platform within the next 90 days. The agreement with Rappi is expected to increase exponentially the patient base of MCCN's Masana Clinic (formerly Medicina Nueva), a network of clinics specializing in cannabis formulations, and Grupo Curativa's network of physicians caring for more than 4,000 patients. All clinic patients will be receiving their prescribed medication fabricated by Soluciones Magistrales, the company's certified magistral preparations lab. This deal lead by MCCN's CEO Felipe de la Vega is part of the company's strategy to move into the pharma space after successfully setting up the commodities business unit, with two cultivation sites that are expected to reach approximately 40 hectares by the end of 2021, in which isolates and oils are being produced and are expected to bring the Company to self-sustainability upon completion.