LiveWell Canada and Vitality CBD Natural Health Products Merger to Create a Global CBD Life Sciences Company
LiveWell Canada Inc. (“LiveWell” or the “Company”) (CSE:LVWL) is pleased to announce that LiveWell has signed a binding letter of agreement to acquire 100% of Vitality CBD Natural Health Products Inc. and its wholly-owned U.S. subsidiaries (“Vitality”), which will result in a reverse takeover transaction by Vitality (the”Transaction”).
The Transaction will enable the combined companies to become a new leader in the health and wellness market for CBD products from hemp and cannabis. Vitality, a cultivator and producer of hemp CBD, and LiveWell, a cannabidiol (“CBD”)researcher, developer, marketer and distributor, will combine their U.S. and Canadian operations to address the anticipated growing demand for CBD and other cannabinoid products in North American and international markets.
The Transaction will bring together strategically aligned U.S. and Canadian assets to create one of the first fully integrated CBD companies: one of the largest hemp cultivation and CBD extraction operations in North America, which is anticipated to be producing 3,000 kilograms per day of CBD isolate by mid-2019; CBD research, product development and GMP manufacturing facilities; international sales networks; and experienced leadership. The new Canadian company (“Merger Co”) will be headquartered in Ottawa, Ontario, with locations in Las Cruces, New Mexico, and Eureka, Montana, United States, in addition to Gatineau, Quebec, Canada.
Legalization and acceptance of CBD products for health and wellness is accelerating globally. CBD is most commonly used to treat anxiety, insomnia, pain and nausea, but is being investigated as a treatment for other conditions. Earlier this year, the U.S. FDA approved the CBD drug, Epidiolex, for treatment of childhood epilepsy. The World Health Organization has recommended that CBD be descheduled across its 194 nation members.
The market for hemp CBD products is rapidly emerging and is expected to eclipse recreational cannabis. CBD and other cannabinoids can be extracted from both hemp and cannabis, but hemp faces fewer legal restrictions worldwide and is more economical to cultivate than cannabis. The Brightfield Group of Chicago has estimated that the North American market alone for CBD from hemp could reach US$22 billion by 2022.
On Nov. 29, 2018, the U.S. Senate and House Agriculture Committee Chairmen jointly announced an agreement in principle that would legalize hemp under the U.S. 2018 Farm Bill. The anticipated passage of the final Farm Bill is expected to dramatically impact the demand for hemp products in the United States — and possibly beyond, therefore potentially positioning the Merger Co to capitalize on this opportunity. Although hemp cultivation, processing and sales are currently legal in the U.S. under the Agricultural Act of 2014 if conducted pursuant to a state Department of Agricultural pilot program, the passage of the 2018 Farm Bill would essentially grant industrial hemp the same unrestricted legal status federally as any other agricultural commodity.
Being able to address the full spectrum of this emerging market, from large-scale cultivation to safe and effective consumer outcomes, makes the Merger Co unique among its peers. “This transaction is about meeting and satisfying patient and consumer needs. We are transforming to a global life sciences company, leveraging a robust supply chain and production capacity, while focusing on a differentiated brand development strategy that prioritizes innovative and functional products and outcomes,” said David Rendimonti, President and CEO of LiveWell.
“While North American markets are the primary focus for wholesale and consumer sales initially, European and South American markets are also on the horizon for the Merger Co.,” Mr. Rendimonti said.
“As the cannabis and hemp industry grows and matures, we believe the combined organization better positions us for large-contract opportunities, greater market awareness and long-term success,” said Robert Leaker, President and CEO of Vitality. He further added: “We’ll have the resources to rapidly scale to meet the anticipated explosive demand in newly legalized CBD markets worldwide, we’ll have broader management experience, and we already share a vision of excellence backed by research and science.”
The two companies have a history of strategic joint ventures. As previously announced on October 30, 2018, Vitality and LiveWell signed a binding term sheet on October 27, 2018, for a major CBD supply and marketing deal with Global Wellness Distributors LLC., a company controlled by a U.S. private equity firm (“CBD Transaction”). The CBD Transaction, anticipated to be finalized by December 31, 2018, is for 1,000 kg/month commencing in January 2019, increasing to 3,000 kg/month in April 2019.
SUMMARY OF NEW MERGER CO
- 20,000 acres of CBD hemp harvested in 2018.
- Two extraction facilities with capacity to produce an estimated 100 kg/day of CBD isolate starting in December 2018, increasing to 3,000 kg/day by the second half of 2019.
- Footprint in Canada and the United States.
- Personalized diagnostics and patented therapeutics R&D capabilities.
- 36,000-square-foot nutraceuticals development and manufacturing facility, including 20 pharmaceutical-grade clean rooms. Located close to Canada/U.S. border near Windsor, Ontario, the facility is certified by Health Canada, is FDA registered and has NSF certifications for GMP, for Sport, and is USDA-Certified Organic.
- Team of researchers and scientists specializing in CBD and other cannabinoids. Have completed a seven-month study and major market report on CBD, as well as a white paper on CBD from Industrial Hemp.
- 540,000-square-foot greenhouse facility on 100 acres of land with 61,000 square feet completed for cannabis production (20,000 sq. ft. grow space and 41,000 sq. ft. support space).
- LiveWell’s current market capitalization is floating at approximately $110-$120 million, which will represent 15% of the Merger Co.
As noted below under “Financial Terms of the Transaction”, this Transaction will result in a reverse takeover of LiveWell by Vitality. Accordingly, this constitutes a fundamental change under CSE Policy 8 and therefore the Transaction and successful listing of the new Merger Co will be subject to CSE approval (see below “Transaction Conditions”).
About Vitality CBD Natural Health Products Inc.
Vitality is a privately-owned Canadian company and one of North America’s largest cultivators and producers of bulk CBD isolates from hemp. Vitality’s hemp cultivation, processing and sale activities are fully certified and compliant under U.S. state and federal laws, as per the Montana Farm Act. It also has cultivation operations in Alberta. In 2018, Vitality planted and harvested 20,000 acres of industrial hemp, purposely planted for CBD production (19,000 in Montana across 33 farms and 1,000 acres at one farm in Alberta).
Vitality is currently producing CBD isolate in its facility at Eureka, Montana, with existing capacity to reach 100 kg/day of CBD isolate in December 2018. Vitality also acquired additional production capacity in Las Cruces, New Mexico, where it plans to retrofit the existing production/extraction equipment. By the second half of 2019, Vitality’s total production capacity of CBD products, at both plants, is anticipated to reach more than 3,000 kg/ day. Vitality management anticipates a capital investment of up to US$10 million for the New Mexico location, to be funded by future capital raise. The products offered include CBD isolate, CBD distillate and CBD full-spectrum soft gels.
About LiveWell Canada Inc.
LiveWell is an innovative Canadian hemp and cannabis company focused on advanced research on CBD and other cannabinoids, as well as developing, marketing and distributing consumer health and wellness products. The company is a late-stage cannabis cultivation applicant with two locations: Ottawa, Ontario, and Litchfield, Quebec. A Research and Innovation Centre is also planned for the site in Litchfield to further LiveWell’s discovery in CBD and other cannabinoids.
LiveWell’s team of researchers and scientists recently completed a seven-month study and major market report on CBD, has published a white paper on CBD from Industrial Hemp, is working on CBD product formulations and partnering with other research entities. LiveWell has leadership experience from the pharmaceutical, engineering, consumer marketing, food and grocery industries, and the ability to leverage commercial and strategic expertise in global markets.
In October 2018, LiveWell announced it was acquiring Acenzia Inc., a Windsor, Ont.-based developer and manufacturer of nutraceutical products for the health and wellness market. Acenzia specializes in patented therapeutics specific to particular medical conditions and personalized diagnostics. It also offers a manufacturing facility that is certified by Health Canada, is FDA registered and has NSF certifications for GMP, for Sport, and is USDA-Certified Organic. The acquisition is expected to close by the end of 2018.
FINANCIAL TERMS OF THE TRANSACTION
At the closing of the Transaction, LiveWell will issue sufficient number of common shares to shareholders of Vitality in order for Vitality shareholders to own 85% of the total fully diluted outstanding and issued common shares of LiveWell. Furthermore, Vitality shareholders are entitled to receive an additional 5% of the total fully diluted outstanding and issued common shares of LiveWell if Vitality achieves the performance milestone, as defined in the binding letter of agreement, by June 30, 2019. The Transaction will constitute a reverse takeover of LiveWell (see below for appointment of Directors and Officers). Because the Merger Co intends to list on one of the major stock exchanges in the United States shortly after the closing of the Transaction, the parties may consider a share consolidation at the closing of the Transaction, which will be determined at the time of the definitive agreement.
The following includes pertinent, relevant unaudited financial information of Vitality at October 31, 2018, as prepared by Vitality management:
- Current assets were approximately US$400 million, virtually all related to the estimated carrying value of inventory (harvested hemp biomass) on 20,000 acres based on observable market transactions excluding volume discount.
- Total liabilities were approximately US$30 million, including US$0.7 million customer deposits.
For the ten months ended October 31, 2018, Vitality had not generated significant revenue (approximately US$1 million) due to its start-up phase and new extraction facility that becomes fully operational in December 2018. Its operating expenses for the same period were approximately US$2 million.
Audited consolidated financial statements of Vitality for the period from August 1, 2017, to September 30, 2018, will be provided to LiveWell shareholders to approve the Transaction (see below Transaction Conditions).
DIRECTORS AND KEY EXECUTIVES
When the Transaction closes, the following directors and key executive officers will be appointed to lead the Merger Co:
Mike Mueller, Chairman of the Board
Mr. Mueller was President and CEO of MDS Capital Corp. from 2003 to 2005. Prior to that, he held a number of senior positions at TD Bank Financial Group, including Senior VP and Country Head of its USA Division, and Vice Chairman and Head of Global Investment Banking. Mr. Mueller has served on a number of corporate and non-profit boards, including as Chairman of PSP Investments. He is currently Chairman of Revera Inc., a privately held company in the seniors living space, with more than 50,000 residents worldwide.
Bill MacKinnon, Audit Committee Chairman
Mr. MacKinnon is a Chartered Professional Accountant. He was the CEO of KPMG from April 1999, until his retirement in December 2008. Post-retirement he has served on a number of corporate and non-for-profit boards, including Telus Corporation and The Public Sector Investment Board. He presently serves on the Audit Committee of both these organizations.
Owen Kenney, Director
The CEO of VitalPure Nutraceutical and co-founder of Vitality, Mr. Kenney has more than 20 years of experience in residential, agricultural, commercial and civil construction and operations, overseeing negotiations with municipalities, landowners, engineers, lawyers and other professionals.
Kent Hoggan, Director
Mr. Hoggan has more than four decades of experience in the United States as a real estate developer specializing in infrastructure and other projects involving zoning, government entitlements and clearance.
David Rendimonti, Director and Chief Executive Officer
Mr. Rendimonti has a 30-year track record in building and leading top brands in the life sciences sector through senior roles at some of the world’s most prominent healthcare organizations, such as Johnson & Johnson and Wyeth Pharmaceuticals (a Pfizer company).
Robert Leaker, President and Chief Operating Officer
Mr. Leaker has more than two decades of leadership experience and a track record of creating and commercializing new business ventures, leveraging his unique background in science, engineering and business finance.
Steven Archambault, Chief Financial Officer and Chief Administrative Officer
Mr. Archambault is an accomplished finance executive with more than 20 years of experience with private and public companies, including companies listed on the NYSE and TSE senior exchanges.
The Board will also appoint two additional independent directors from the life sciences sector during the first half of 2019.
INDEPENDENT COMMITTEE AND ADVISORS
In light of the conflict of interests from certain executives and directors due to equity ownership in both LiveWell and Vitality, the Chairman of LiveWell also serving as a director of Vitality, and LiveWell’s Chief Innovation and Science Officer also serving as the President and CEO of Vitality, the Board of Directors of LiveWell created an Independent Committee to review and preliminary approve the binding letter of agreement. The Independent Committee retained the services of Haywood Securities Inc. to obtain a fairness opinion on the Transaction and retained Lawson Lundell as legal advisors.
Given the conflict of interests described above, the Board of Directors of Vitality also created an Independent Committee to review and approve the binding letter of agreement. Vitality and the Independent Committee utilized Durham Jones & Pinegar, P.C. and the Law Office of David W. Steffensen, P.C. as U.S. legal advisors and will also retain a Canadian legal advisor.
The Transaction is subject to the following key deliverables: execution of definitive agreement, following satisfactory due diligence by both LiveWell and Vitality; completion of the audited consolidated financial statements for Vitality; completion of the fairness opinion by Haywood Securities Inc.; final approval by LiveWell’s Independent Committee; completion and consummation of the acquisition of Acenzia Inc. by LiveWell; completion and consummation of the acquisition of all of the assets (free and clear of all liens and encumbrances) of Vitalpure LLC by Vitality; approval by LiveWell’s shareholders at a Special Meeting to be scheduled; receipt of regulatory approval; and other customary closing conditions.
The Transaction is expected to close by March 31, 2019.
Cautionary Note Regarding Forward-Looking Statements
This release includes forward-looking statements about LiveWell and its business. Often, but not always, forward-looking statements can be identified by the use of words such as “plan”, “continue”, “expect”, “schedule”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”, “potential”, “proposed” and other similar words, or statements (including negative variations) that certain events or conditions “may” or “will” occur.
These forward-looking statements include, but are not limited to, statements regarding benefits and timing of the proposed Transaction, the completion of the CBD Transaction, the completion of LiveWell’s acquisition of Acenzia Inc., the completion of Vitality’s acquisition of Vitalpure LLC, the hemp production capacities of Vitality, the estimated value of Vitality’s assets and liabilities, and the market demand and growth with respect to CBD and other cannabinoid products. There are a number of risks and uncertainties associated that could cause actual results to differ materially from the forward-looking statements included in this communication. For example, the expected timing and likelihood of completion of the pending Transaction, including the due diligence and the timing, receipt and terms and conditions of any required governmental and regulatory approvals of the pending Transaction that could reduce anticipated benefits or cause the parties to abandon the transaction, the ability to successfully integrate the businesses, the occurrence of any event, change or other circumstances that could give rise to the termination of the Transaction agreement, the possibility that LiveWell shareholders may not approve the Transaction, the risk that the parties may not be able to satisfy the conditions to the proposed transaction in a timely manner or at all, risks related to disruption of management time from ongoing business operations due to the proposed Transaction, and the risk that any announcements relating to the proposed Transaction could have adverse effects on the market price of LiveWell’s common stock. All such factors are difficult to predict and are beyond our control.
Furthermore, the forward-looking events and circumstances discussed in this release may not occur by certain specified dates or at all and could differ materially as a result of unknown and known risk factors and uncertainties affecting LiveWell and Vitality. Accordingly, LiveWell cautions that this foregoing list of material factors is not exhaustive, and readers are encouraged to read all Risk Factors disclosed in the Company’s Management Discussion & Analysis datedOctober 26, 2018.
The forward-looking information contained in this press release represents expectations of LiveWell as of the date of this press release and accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While LiveWell may elect to, it does not undertake to update this information at any particular time except as required in accordance with applicable securities laws.
Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
For more information, visit livewellcorp.com
SOURCE LiveWell Canada Inc.
For further information: Media, English – Deborah Stokes, 819 576-3789 – firstname.lastname@example.org; French – Dorra Jemail, 819 718-2042 (8:30 am-4:30 pm), email@example.com; Investors, Nicole Marchand – 416 428-3533 – firstname.lastname@example.org; Company, David Rendimonti, President and CEO – 819 718-2042 — email@example.com; Steven Archambault, Chief Financial Officer – 819 718-2042 – firstname.lastname@example.org
A report just released in early April confirms that the cannabis beverage sector is thriving. According to this report from industry stalwart, Marijuana Business Daily while sales for vapes, pre-rolls and flower were lackluster, cannabis beverages shined:
“The beverage category continued to shine in the first quarter, leading all categories with sales growing 68.4% over the same period last year and 14.2% versus the fourth quarter of 2020. Most beverage categories experienced double-digit growth going into 2021.”
That’s a staggering increase. And from the looks of the numbers, it’s a trend, not a fad. Cannabis beverages are becoming an option for consumers as more and more hit shelves and brands get smarter about dosing, flavors, and what customers want. With the summer months fast approaching, sales have been picking up in key markets.
It’s a good time to be a health and wellness company, and the cannabis beverage space as the category leads the industry in growth. There are only a few companies leading the industry, including HEXO Cannabis Canopy Growth Corp, Keef Beverages (Private). BevCanna Enterprises Inc. (CSE:BEV, Q:BVNNF, FSE:7BC) has been making significant progress recently, and is now run by former Pepsi Co. executive, Melise Panetta, a veteran CPG and Cannabis executive with years of expertise selling and marketing some of the world’s most recognized beverage brands. It also added two veteran CPG (Consumer Packaged Goods) senior sales leaders to the organization.
BevCanna not only owns their own water source, a pristine alkaline spring water aquifer in British Columbia, but a world–class 40,000–square–foot, HACCP certified manufacturing facility which has a bottling capacity to produce up to 200M bottles annually. BevCanna’s extensive distribution network includes more than 3,000 points of retail distribution through its market-leading TRACE brand in Canada, a growing natural health and wellness e-commerce platform, Pure Therapy , its fully licensed Canadian cannabis manufacturing plant and distribution network, and a partnership with #1 U.S. cannabis beverage company Keef Brands .
Growing product line, world class leadership, and a growing sales team with experience, BevCanna is positioned to capitalize on the growing demand of Cannabis 3.0 beverages, and it’s looking to capture a piece of the market, which appears to be one of the hottest right now in the ever expanding cannabis industry.
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BevCanna Enterprises (CSE:BEV,OTCQQ:BVNNF,FWB:7BC) CEO Marcello Leone shared how the company is scaling up its products to forge partnerships and explore opportunities across Canada, the US and Western Europe.
“Getting your standard processing license and being fully compliant at a federal level is critical in Canada, and we were successful in getting that done. Now we’re getting ready to launch our Keef line of beverages within the next 45 days,” Leone said.
As a young company, Leone said BevCanna has only started, but it took a four-pronged approach to make sure that it is a revenue-generating company prepared for the opening of many jurisdictions for CBD-based products.
“We are blessed that we have a beautiful infrastructure of our own, a state-of-the-art bottling facility with a capacity of almost 200 million bottles per annum and a strong balance sheet of $55 million. We are in a strong position to scale and grow this company.”
BevCanna has received a Standard Processing License from Health Canada and is now fully authorized to begin production at its full-service, high-capacity beverage manufacturing facility. The company will begin production of its white-label products, number one US cannabis beverage brand Keef and its in-house beverages through licensed Canadian retailers, positioning the company to fully capitalize on the burgeoning Canadian cannabis-infused beverage sector.
Watch the full interview with CEO Marcello Leone above.
This interview is sponsored by BevCanna Enterprises (CSE:BEV,OTCQB:BVNNF,FWB:7BC). This interview provides information which was sourced by the Investing News Network (INN) and approved by BevCanna Enterprises in order to help investors learn more about the company. BevCanna Enterprises is a client of INN. The company’s campaign fees pay for INN to create and update this interview.
INN does not provide investment advice and the information on this profile should not be considered a recommendation to buy or sell any security. INN does not endorse or recommend the business, products, services or securities of any company profiled.
The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with BevCanna Enterprises and seek advice from a qualified investment advisor.
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Positive distributor feedback and strong consumer interest accelerating launch with distributors
Emerging leader in innovative health and wellness beverages and products, BevCanna Enterprises Inc. ( CSE:BEV , Q:BVNNF , FSE:7BC ) (“ BevCanna ” or the “ Company ”) announces today that its wholly-owned subsidiary Naturo Group has successfully completed its initial shipment of TRACE plant-based products to one of Japan’s largest beverage distributors.
Following up on its recently announced Japanese distribution agreement with Mirai Marketing Inc., the Company is now in active discussions with established beverage distributors to leverage their robust distribution networks and integrate TRACE’s proprietary plant-based mineral formulation into their distribution pipeline, targeting the growing health-conscious consumer segment in Japan.
“BevCanna’s market research on Japanese purchaser preferences confirms that these consumers are very responsive to natural, health-conscious products, and that TRACE’s proprietary plant-based mineralized beverages and nutraceuticals will be well received,” said Melise Panetta, President of BevCanna. “Our first product shipment to Japan will build our distribution network within this burgeoning market and solidify Japan as a primary market within our international expansion strategy.”
About BevCanna Enterprises Inc.
BevCanna Enterprises Inc. ( CSE:BEV , Q:BVNNF , FSE:7BC ) is a diversified health & wellness beverage and natural products company. BevCanna develops and manufactures a range of plant-based and cannabinoid beverages and supplements for both in-house brands and white-label clients.
With decades of experience creating, manufacturing and distributing iconic brands that resonate with consumers on a global scale, the team demonstrates an expertise unmatched in the nutraceutical and cannabis-infused beverage categories. Based in British Columbia, Canada, BevCanna owns a pristine alkaline spring water aquifer and a world–class 40,000–square–foot, HACCP certified manufacturing facility, with a bottling capacity of up to 210M bottles annually. BevCanna’s extensive distribution network includes more than 3,000 points of retail distribution through its market-leading TRACE brand, its Pure Therapy natural health and wellness e-commerce platform, its fully licensed Canadian cannabis manufacturing and distribution network, and a partnership with #1 U.S. cannabis beverage company Keef Brands .
Disclaimer for Forward-Looking Information
This news release contains forward-looking statements. All statements, other than statements of historical fact that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements in this news release include statements regarding: that the Company is now in active discussions with established beverage distributors to leverage their robust distribution networks and integrate TRACE’s proprietary plant-based mineral formulation into their distribution pipeline, targeting the growing health-conscious consumer segment in Japan; the Company’s first product shipment to Japan will build its distribution network within this burgeoning market and solidify Japan as a primary market within its international expansion strategy; and other statements regarding the business plans of the Company. The forward-looking statements reflect management’s current expectations based on information currently available and are subject to a number of risks and uncertainties that may cause outcomes to differ materially from those discussed in the forward-looking statements.
Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, undue reliance should not be put on such statements due to their inherent uncertainty. Factors that could cause actual results or events to differ materially from current expectations include, among other things: general market conditions; changes to consumer preferences; volatility of commodity prices; future legislative, tax and regulatory developments; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the inability to implement business strategies; competition; currency and interest rate fluctuations; inability to successfully negotiate and enter into commercial arrangements with other parties; and other factors beyond the control of the Company and its commercial partners. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law, and the Company does not assume any liability for disclosure relating to any other company mentioned herein.
On behalf of the Board of Directors:
John Campbell, Chief Financial Officer and Chief Strategy Officer
Director, BevCanna Enterprises Inc.
For media enquiries or interviews, please contact:
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Cresco Labs Announces the Appointment of Tarik Brooks to Its Board of Directors and the Retirement of Dominic Sergi
Cresco Labs (CSE:CL) (OTCQX:CRLBF) (“Cresco Labs” or the “Company”), a vertically integrated multistate operator and the number one U.S. wholesaler of branded cannabis products, today announced an additional refreshment of its board of directors to further strengthen its leadership in the cannabis industry.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210422005351/en/
Cresco Labs appoints Tarik Brooks, President of Combs Enterprises, to its Board of Directors (Photo: Business Wire)
Appointment of Tarik Brooks
Cresco Labs has appointed Tarik Brooks to its board of directors, effective immediately. Mr. Brooks is a seasoned executive with more than 22 years of experience driving large scale business transformations across several industries including spirits, hospitality and media.
Currently, as President of Combs Enterprises, Mr. Brooks oversees all business operations and investments owned by Sean “Diddy” Combs. This diverse portfolio includes ventures in spirits (Ciroc Vodka and DeLeon Tequila), media (Revolt TV), music (Bad Boy Records), consumer packaged goods (AquaHydrate), and education (Capital Preparatory Schools). Mr. Brooks also leads all new business development activity, including the launch of “Our Fair Share”, a platform to help minority owned businesses access capital through the Paycheck Protection Program (PPP).
Prior to his current role, Mr. Brooks was the Chief Operating Officer of Account Management and Trading at Bridgewater Associates, the world’s largest hedge fund. Earlier in his career, Mr. Brooks served as Executive Vice President at RLJ Companies, a portfolio of companies owned by investor Robert L. Johnson, where Mr. Brooks led the development of gaming/nightlife ventures in the Caribbean and the completion of RLJ Kendeja, a resort hotel in Liberia.
Throughout his career, Brooks has negotiated transactions, including acquisitions and capital raises, led major strategic initiatives, and oversaw compliance in highly regulated industries. Mr. Brooks is a graduate of Howard University and Harvard Business School.
“I’m thrilled to welcome Tarik Brooks to our board of directors. He has remarkable experience building and managing consumer brands and will be an invaluable member of our organization as cannabis continues to evolve as a consumer packaged good,” said Tom Manning, Cresco Labs Executive Chairman. “We’ve taken a measured approach to building our board, periodically making refreshments that add new skills and experience to the group. Tarik represents another key appointment for Cresco Labs at a critical time of growth and expansion for the company.”
Retirement of Dominic Sergi
The Company announced today that Dominic Sergi, an original founder of Cresco Labs, has retired from the Company’s board of directors as part of the planned board refreshment process. Mr. Sergi currently serves as CEO of Clear Height Properties and spends his free time supporting the Nicholas D. Sergi Foundation. Mr. Sergi has been a foundational part of Cresco Labs since the company’s inception and his experience in real estate development has played an instrumental part in the construction of Cresco Labs’ asset base.
“I want to sincerely thank Dominic for his many years of service and for helping to guide this organization toward the top of the cannabis industry. Dominic is one of the most considerate and giving people I know and it has been a pleasure building this Company together,” said Charlie Bachtell, CEO of Cresco Labs.
About Cresco Labs Inc.
Cresco Labs is one of the largest vertically integrated multistate cannabis operators in the United States, with a mission to normalize and professionalize the cannabis industry. Employing a consumer-packaged goods (“CPG”) approach, Cresco Labs is the largest wholesaler of branded cannabis products in the U.S. Its brands are designed to meet the needs of all consumer segments and comprised of some of the most recognized and trusted national brands including Cresco, High Supply, Mindy’s Edibles, Good News, Remedi, Wonder Wellness Co. and FloraCal Farms. Sunnyside, Cresco Labs’ national dispensary brand, is a wellness-focused retailer created to build trust, education and convenience for both existing and new cannabis consumers. Recognizing that the cannabis industry is poised to become one of the leading job creators in the country, Cresco Labs operates the industry’s largest Social Equity and Educational Development initiative, SEED, which was established to ensure that all members of society have the skills, knowledge and opportunity to work and own businesses in the cannabis industry. Learn more about Cresco Labs at www.crescolabs.com .
Forward Looking Statements
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only the Company’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the Company’s control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as, ‘may,’ ‘will,’ ‘should,’ ‘could,’ ‘would,’ ‘expects,’ ‘plans,’ ‘anticipates,’ ‘believes,’ ‘estimates,’ ‘projects,’ ‘predicts,’ ‘potential’ or ‘continue’ or the negative of those forms or other comparable terms and includes, but is not limited to, statements relating to the expected timing by which Bluma Wellness will be de-listed from the CSE and the intention to apply to have Bluma Wellness cease to be a reporting issuer and terminate its public reporting obligations. The Company’s forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including but not limited to those risks discussed under “Risk Factors” in the Company’s Annual Information Form for the year ended December 31, 2020 dated March 26, 2021, and other documents filed by the Company with Canadian securities regulatory authorities; and other factors, many of which are beyond the control of the Company. Readers are cautioned that the foregoing list of factors is not exhaustive. Because of these uncertainties, you should not place undue reliance on the Company’s forward-looking statements. No assurances are given as to the future trading price or trading volumes of Cresco Labs’ shares, nor as to the Company’s financial performance in future financial periods. The Company does not intend to update any of these factors or to publicly announce the result of any revisions to any of the Company’s forward-looking statements contained herein, whether as a result of new information, any future event or otherwise. Except as otherwise indicated, this press release speaks as of the date hereof. The distribution of this press release does not imply that there has been no change in the affairs of the Company after the date hereof or create any duty or commitment to update or supplement any information provided in this press release or otherwise.
Jason Erkes, Cresco Labs
Chief Communications Officer
Jake Graves, Cresco Labs
Manager, Investor Relations
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