VANCOUVER, British Columbia, Aug. 20, 2019 (GLOBE NEWSWIRE) — AgraFlora Organics Worldwide Inc. (“AgraFlora” or the “Firm”) (CSE: AGRA) (PU31.F) (OTCPK: AGFAF), a progress oriented and diversified worldwide cannabis firm, is happy to announce that the Firm has entered right into a definitive settlement to amass 50 per-cent of the issued and excellent shares of Eurasia Infused Cosmetics Inc. (“Eurasia Infused”). AgraFlora and Eurasia will collaborate to combine the Firm’s vertically built-in, farm-to-face CBD processing, manufacturing and distribution mannequin into the Asia Pacific area.
Eurasia Infused, by means of a business concession with Hong Kong domiciled CBD Group Asia Restricted (“CBD Group Asia”) controls a distribution settlement for CBD and hemp-derived magnificence and wellness merchandise for the territories of Individuals’s Republic of China (“China”) and Hong Kong Particular Administrative Area. The distribution settlement extends to AgraFlora’s numerous portfolio of CBD-infused and/or hemp-oil-derived CPG private care merchandise, for which CBD Group Asia may have an unique for gross sales in China, together with however not restricted to:
- CBD-infused cosmetics;
- Hemp physique soaps;
- Hemp-derived lotions and pores and skin serums; and,
- CBD-infused sunscreen; and,
CBD Group Asia’s principals boast over ten years’ expertise specializing within the importation and customization of premium Canadian shopper packaged items (“CPGs”) for the Chinese language market. CBD Group Asia administration workforce have beforehand distributed premium Canadian CPGs into China’s largest retail chains and C-stores, together with RT-Mart Worldwide Ltd and Carrefour SA. RT-Mart alone operates over 484 retail areas masking 233 cities and 29 provinces in China and generated $20 billion in gross sales in 2018.
AgraFlora and CBD Group Asia have commenced collaboration on a wide range of product customization and distribution initiatives for its Entire Hemp Well being line of all pure skincare merchandise, with the target of tailoring the Firm’s product providing for speedy uptake into the Asian CPG markets. The Firm’s Entire Hemp Well being product line derived from 100 per-cent natural Canadian hemp seed oil and is presently marketed by means of brick-and-mortar shops, Amazon Prime, in addition to direct to shopper, via an built-in Shopify e-commerce platform. AgraFlora and CBD Group Asia’s ongoing CPG customization and distribution deliverables embrace:
- Nationwide CPG listings, leveraging CBD Group Asia’s high-traffic distribution channels;
- Hemp oil certificates of Evaluation (“COA”) authorization;
- Product and packaging customization;
- Growth of a full-spectrum CBD facial serum, infused with hemp root oil;
- Structure of a community of Chinese language Canutra/Entire Hemp Well being branded pop-up outlets, additional increasing the corporate’s retail footprint and model presence in a cost-effective and up to date method;
- Integration into CBD Group Asia’s proprietary direct to buyer Asia gross sales WeChat platform;
- Unencumbered entry to 1.08 billion present every day customers
- Customs brokerage; and,
- Logistics optimization;
Brandon Boddy, Chairman and Chief Govt Officer of AgraFlora, said: “Chinese language based mostly shoppers have lengthy been enamoured with premium Canadian CPGs. AgraFlora’s CBD distribution settlement with CBD Group Asia enhances our pursuit to seize worldwide shelf house for our modern, ultra-premium suite of cannabinoid-infused private care merchandise, inside jurisdictions positioned for geometric progress.
“CBD Group Asia has chosen AgraFlora as its accomplice of alternative for CBD commercialization and distribution, as a result of first-rate nature of our property, human capital and manufacturing capabilities. In response to Hong Kong based mostly funding firm Regent Pacific Group, the CBD market in China alone is forecasted to be price US$15 billion by 2024, citing magnificence and wellness as the first catalysts.”
By the use of its wholly owned, cannabinoid-infused cosmetics/topicals subsidiary, Canutra, AgraFlora is supplied with strong cultivation, extraction, manufacturing and distribution capabilities from the corporate’s flagship facility in Kent County, New Brunswick. Canutra owns and operates 76 acres of unzoned, arid agricultural land, together with 1,000 ft of river frontage.
The Firm’s New Brunswick facility, previously a federally owned farm and analysis facility, boasts over 17,500 sq. ft of commercial-grade manufacturing services, in addition to 12 separate free-standing constructions. Canutra was granted an industrial hemp licence by Well being Canada for its New Brunswick land parcel and expects the approaching award of its 2019 Well being Canada cannabis analysis licence.
Canutra manufactures and distributes premium private care, cosmetics and cannabinoid-infused product strains together with a set of trusted shopper manufacturers akin to Entire Hemp Well being; a Canadian all-natural, hand-made skincare line, formulated with 100-per-cent-Canadian natural hemp seed oil.
James Foster, CEO of CBD Group Asia, commented: “Canadian manufactured CBD cosmetics merchandise are thought-about to be from amongst the very best valued by Chinese language shoppers for his or her top quality, their model improvements and integrity. Partnering with AgraFlora offers us direct entry to among the most well-known manufacturers in Canada to promote via our distribution channels in Asia.
“Our proprietary gross sales platform utilises WeChat a Chinese language cell utility with 1.08 billion present every day customers providing the biggest standalone app at present on the earth. We sit up for making this enterprise a long-lasting success as Asian marketplaces proceed to open up and develop.”
Underneath the phrases of the Securities Buy Settlement (the “Settlement”), AgraFlora will purchase 50 per cent of the issued and excellent shares within the capital of Eurasia Infused, in trade for an mixture of 15 million frequent shares within the capital of the Firm, based mostly upon the five-day volume-weighted common value (“VWAP”) of AgraFlora frequent shares for the 5 buying and selling periods previous to the announcement of the definitive settlement. The closing of this acquisition is topic to customary phrases and circumstances.
A finders charge is payable on this transaction.
About AgraFlora Organics Worldwide Inc.
AgraFlora Organics Worldwide Inc. is a progress oriented and diversified firm centered on the worldwide cannabis business. It owns an indoor cultivation operation in London, ON and is a three way partnership accomplice in Propagation Service Canada and its large-scale 2,200,000 sq. ft. greenhouse complicated in Delta, BC. The Firm has a profitable report of making shareholder worth and is actively pursuing different alternatives inside the cannabis business. For extra info please go to: www.agraflora.com.
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www.sedar.com." data-reactid="50">Aside from statements of historic truth, this information launch comprises sure “forward-looking info” inside the that means of relevant securities legislation. Ahead-looking info is often characterised by phrases akin to “plan”, “anticipate”, “undertaking”, “intend”, “imagine”, “anticipate”, “estimate” and different related phrases, or statements that sure occasions or circumstances “could” or “will” happen. Ahead-looking statements are based mostly on the opinions and estimates on the date the statements are made, and are topic to a wide range of dangers and uncertainties and different elements that would trigger precise occasions or outcomes to vary materially from these anticipated within the forward-looking statements together with, however not restricted to delays or uncertainties with regulatory approvals, together with that of the CSE. There are uncertainties inherent in forward-looking info, together with elements past the Firm’s management. There are not any assurances that the enterprise plans for AgraFlora Organics described on this information launch will come into impact on the phrases or time-frame described herein. The Firm undertakes no obligation to replace forward-looking info if circumstances or administration’s estimates or opinions ought to change besides as required by legislation. The reader is cautioned to not place undue reliance on forward-looking statements. Further info figuring out dangers and uncertainties that would have an effect on monetary outcomes is contained within the Firm’s filings with Canadian securities regulators, which can be found at www.sedar.com.