VANCOUVER, February 04, 2021 – TheNewswire - CANNAMERICA BRANDS CORP. ("CannAmerica Brands" or the "Company") (CSE:CANA) (OTC:NNXF) is pleased to provide the Company’s shareholders with a corporate update from the Dan Anglin, the founder and Chief Executive Officer of CannAmerica Brands.
Due to the extensive efforts the Company undertook towards the close of 2020 to revitalize the Company’s existing markets with new products, CannAmerica Brands is seeing the fruits of these efforts being realized and positive momentum through the first month of 2021. In the last year, the Company has focused on restructuring CannAmerica Brand’s business model to create opportunities for recurring revenue generation through licensing the Company’s technology to companies with licensed cannabis operations but no mechanism for creating edible products. This new focus allows the Company to license CannAmerica Brand’s proprietary equipment and procedures for a fee and lease payments, as well as offering the Company’s supply chain of substrates, ingredients and packaging to enable the licensees to create their own brands.
Despite the global economic downturn resulting from the pandemic that started in first quarter of 2020, the Company focused CannAmerica Brand’s efforts on operational restructuring, creating new business opportunities through new licensing models, expanded the Company’s focus into the national hemp marketplace and created new product lines to expand the reach of its brands in multiple markets.
Revenue generation declined during the FY 2020 due to the Company offering extended terms to all of CannAmerica Brand’s clients for licensing fees and supply chain costs. The decision to allow licensees to defer payments of fees allowed for the Company’s branded products to remain in distribution in all three of the Company’s operating markets and established solid relationships between the Company and the licensees. CannAmerica Brand’s was able to offer the extended terms to licensees as the Company’s overhead consists primarily of supply chain costs.
The Company’s decision to make product marketing investments and diversify into the hemp market has greatly increased the opportunities for revenue generation in the first quarter of 2021, with the trend likely to continue with new product releases in both the Company’s cannabis and hemp markets in first and second quarters of 2021.
The Company is now well positioned for substantial growth in sales and market share and is increasingly focused on creating new business opportunities through expansion of CannAmerica Brands business model and identifying opportunities for acquiring ownership of licensed cannabis and hemp operations across the United States.
The Company’s achievements in the last year include:
-Licensing of the Company’s proprietary technology, processes and branding to VIII Brands, LLC., a privately held hemp product manufacturer based in Colorado.
-Licensing of the Company’s proprietary technology, processes and supply chain to Leaf & Mark, a privately held Canadian manufacturer of cannabis products working in a Health Canada licensed facility located in Alberta, Canada.
-Licensing of the Company’s proprietary technology, processing and branding to Arsenal Oils and Extracts, a privately held licensed cannabis manufacturer of infused products, located in Aurora, Colorado.
-Expanded product lines in Oklahoma and Colorado to include genome specific and strain specific products in the edibles marketplace in both states.
-The Company entered into a consulting agreement to assist an applicant for two of six a cannabis cultivation, production and distribution licenses in the state of Georgia. The applicant submitted both Tier 1 and Tier 2 license applications which are based on size. This agreement includes a provision for the Company to partner with the applicant for production of a cannabis oil based product if the applicant is awarded a license.
-An increase in sales and market share of the Company’s branded products in both Colorado and Oklahoma in the fourth quarter of 2020.
-The Company restructured and streamlined management and the Board of Directors for an operational and sales focus, in an effort to concentrate on revenue generation in the states with CannAmerica Brand’s products.
-The Company has created a new line of edible products scheduled for introduction into the cannabis market in the first and second quarters of 2021.
-The Company is creating new products and brand developments for the launch of multiple verticals of products offerings in the US national hemp marketplace starting in March 2021. Lines and brands include:
-Hemp Crave – a line of multiple CBD infused edible products in various hemp-based cannabinoid formulations including CBD in multiple dosing offering and cannabinoid blends of CBD, CBN, CBG and more. The first products, scheduled to launch with partners VIII Brands in March, 2021 through direct-to-consumer online sales, wholesale and delivery to distributers and retailers across the United States.
-Hemp Quench – a line of multiple CBD infused beverages with natural flavors and fast acting emulsifiers for distribution through direct-to-consumer online sales, wholesale and delivery to distributors and retailers across the United States.
-Hemp Soothe - a line of multiple CBD-enhanced topicals, including :
-Joint relief creams;
-A complete line of tattoo focused CBD products for use both by artists during the tattoo process to provide lubrication for the tattoo and relief for the client, as well as products for the healing process and care of the tattoo after healing and revitalization products for caring for older tattoos; and
-Currently developing hemp-based CBD products for sunscreen protection for tattoos.
-Secured terms for CannAmerica Brand’s supply chain of equipment, ingredients, substrate, and packaging, providing purchasing power to increase support to the Company’s licensees.
-The Company has settled a historical debt through a share issuance and continues to work with the Company’s lenders to resolve historical debts in 2021.
-The Company has signed a contract to become the first premier sponsor of the Okie Cup, a cannabis festival and competition hosted by Champlin Broadcasting, owner of 11 radio stations across Oklahoma. This sponsorship allows the Company’s branded products to be featured in promotional marketing on all eleven of Champlin’s radio stations, with a variety of genres for a total of 99 days. The Company anticipates the exposure it will receive from this sponsorship will catapult sales and brand recognition across the state of Oklahoma.
The Company also intends to expand the management team and operations in 2021 by attracting professionals and experts, with demonstrated credibility, in the cannabis and hemp-based markets. The Board of Directors of the Company are now focused on attracting suitable candidates, with national cannabis retail expertise, for a position on the board to expand the Company’s supply chain and increase distribution of the Company’s branded products.
Mr. Anglin commented “As the founder of this Company in 2015, I am extremely proud of the accomplishments of the Company’s personnel. Together, we have created a top cannabis brand, providing world class products into the cannabis market, while facing the challenges of becoming an issuer on the Canadian Stock Exchange, and the impacts of a global pandemic. While I served in the United States Marine Corps from 1988 to 1992, the mantra as Marines was to ‘adapt and overcome’ to all challenges presented to us.”
“The Company’s management team and Board of Directors have faced many challenges and overcome them in the past year through pivoting at the right moment to create new business opportunities; being focused on advocating for access for all persons to cannabis and hemp; creating opportunities for cannabis businesses to thrive through the Company’s efforts to guide legislation and rulemaking in multiple states and at the national level; focusing on creating opportunities for everyone to have an opportunity to be involved in the cannabis industry by executing the Company’s mission to partner with minority and/or women owned or operated businesses (the Company’s current licensees in the United States are 100% minority and/or woman-owned or operated); increasing the Company’s credibility by pursuing international partnerships in Canada, Mexico, the United Kingdom and the European Union; and constantly focusing on what is best for CannAmerica Brand’s shareholders for the long-term investment focus. The Company continues to strive to make CannAmerica Brands a leading cannabis brand recognized and sought after by consumers across the globe” stated Mr. Anglin.
For further information please contact the Company at firstname.lastname@example.org.
On Behalf of the Board,
CEO and Director
About CannAmerica Brands Corp.
CannAmerica is a U.S. Marine Corps veteran founded and operated portfolio of cannabis brands with licensing agreements in the states of Colorado, Nevada, Oklahoma, Massachusetts and the Country of Canada. The Company aims to maximize the value of its brands by employing strong brand management teams, marketing and licensing the brands through various distribution channels, including dispensaries, wholesalers and distributors, in the United States and internationally. The Company's core strategy is to enhance and monetize the global reach of its existing brands, and to pursue additional strategic acquisitions to grow the scope and diversity of its brand portfolio. For more information, please visit www.cannamericabrands.com.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains "forward-looking information" within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information can be identified by words or phrases such as "may", "will", "expect", "likely", "should", "would", "plan", "anticipate", "intend", "potential", "proposed", "estimate", "believe" or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions "may" or "will" happen, or by discussions of strategy.
Readers are cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking information. The forward-looking information contained herein is made as of the date of this press release and is based on the beliefs, estimates, expectations and opinions of management on the date such forward-looking information is made. The Company undertakes no obligation to update or revise any forward-looking information, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.
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