Leading the Southern California Market in the Category, Canna Candys is now Poised for Rapid Expansion in US, Europe and Asia as a Weekend Unlimited Brand
VANCOUVER, BC / ACCESSWIRE / November 22, 2018 / Weekend Unlimited Inc. ("Weekend" or the "Company") (CSE: YOLO – FSE: 0OS1) announces the closing of its deal to acquire California's Canna Candys (CBD) and Canna Medibles (THC), strengthening the Company's product portfolio as it executes on its strategy to build its flower, extracts and edibles verticals.
"This is a highly strategic acquisition for Weekend, following our business objective to identifying strong brands that require capital and expertise to grow," said Mr. Cody Corrubia, President and CEO of Weekend. "Paul Chu, CEO of Canna Candys, leads a team with tremendous product development expertise and a thriving distribution network in Southern California," added Mr. Corrubia.
"Canna Candys and Canna Medibles are perfectly positioned to expand throughout US states where recreational or medical cannabis is legal," said Mr. Paul Chu, CEO of Canna Candys. "Now, as part of Weekend, we will expand our distribution to build upon the strong foundation in Southern California adding New York, Florida, Nevada, New Jersey, Texas and on to Europe and Asia," added Mr. Chu.
Canna Candys (THC) and Canna Medibles (CBD) highlights:
- 2019 same channel revenue forecast of approximately USD$ 2 million*
- Launching a new 10MG VESIsorb line of CBD and THC edibles
- Distribution to 380 retail stores Southern California
- Artisan handmade hard candies with 31 flavors & lollipops with 10 flavors
- CBD only distribution deals being negotiated in NY, FL, NV, NJ, TX, CA, Europe and Asia
- New product lines to include gummies, beverage packs, chocolates
*Cost of goods 38% based on current available supply chain agreements and cost of goods for lab tested and approved raw material. Risks associated with the forecast are competition, regulatory change, an increase in costs, and consistent availability of lab tested and approved raw material.
Weekend provided a secured loan of US$ 750,000 and converted this note for 51% of the equity in the company that owns these brands. Weekend paid an additional US$ 690,000 and is in the process of issuing shares worth US$ 1,440,000 at a 5 day VWAP (the "Escrow Shares") to acquire a further 29% of the company so as to own 80%. The final 20% can be purchased, during a time period ending 90 days after the first closing, for US$ 720,000, to be paid by cash, shares or a combination of the two as agreed to by the parties.
The Escrow Shares will be released at that date that Canna Candys and Canna Medibles have occupied and are operation in a manufacturing facility located in Adelanto California.
For further information, please contact:
Mr. Cody Corrubia, President and CEO
Telephone: 1 (236) 317-2812 - Toll free 1(888) 556-YOLO (9656)
E-mail: [email protected]
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.
Forward Looking Statements
Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management's current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "predicts", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.
SOURCE: Weekend Unlimited Inc.