International Cannabrands Inc.
International Cannabrand's La Vida Verde Exceeds Expectations
Tuesday, December 11, 2018 9:00 AM
CALGARY, AB / ACCESSWIRE / December 11, 2018 / International Cannabrands Inc. (CSE: JUJU) (the "Company") is pleased to announce that La Vida Verde is exhibiting strong performance and is positioned for substantial growth into 2019. During the latest three month period of August to October 2018, LVV generated revenue well in excess of expectations and more than 15% above the prior three month period. Assuming this pace is maintained, the annualized revenue run rate is now more than US$11 million. The inclusion of LVV's results following the second closing at the beginning of January will dramatically increase the Company's revenues and operating income.
"We are unbelievably excited about the revenue, distribution and product expansion gains La Vida Verde is achieving. This acquisition tracks exactly to our business strategy and we couldn't be more pleased with the performance. We should begin to increase our quarterly revenues over 10 fold going into the New Year. Most importantly, our operating income before any corporate expenses is expected to reverse from a modest negative to combined profitability," notes Steve Gormley, the Company's Chief Executive Officer.
Further, LVV has several important growth initiatives to implement over the next 60 to 90 days. Firstly, with the use of funds advanced by the Company LVV has doubled its manufacturing capacity and is expected to be on full production by year end. Historically, the distribution of LVV's brands have been constrained by lack of inventory. Secondly, in January LVV will introduce four new products (SKUs). Thirdly, in March LVV is on schedule to introduce three additional Blank Brand SKU's. Management strongly believes this expansion of medicated gummies, upscale protein bars, new chocolate forms and super cookies will not only fuel tremendous growth, but will continue to bolster and differentiate LVV's La Vida Verde, Blank and Skunk Feather brands among consumers, rapidly expanding distribution within the industry.
"We are extremely excited to have achieved this important milestone in this tumultuous market. LVV is a rare company that combines rapidly growing revenues, strong margins and strong brands. LVV is a shining example of the execution of our stated corporate goals to make accretive, highly valuable investments and acquisitions. Based on what we see now, we expect to continue to report enviable results," added Steve Gormley.
The Company previously announced its successful closing of the acquisition of 8.5% of La Vide Verde, Inc. ("LVV"). With the proceeds from the first closing of its brokered financing, the Company repaid the note owing to Eric Hara and advanced additional funds to LVV. The closing of the acquisition of the additional 42.5% to complete the acquisition of 51% of LVV is scheduled to close January 2, 2018. See press release dated October 31, 2018.
About International Cannabrands (ICI)
The Company's business model is to generate revenue from cannabis cultivation, brands ranging from flower to edibles and from THC to CBD, oil extraction, ancillary products and apparel in the United States. ICI markets products with THC content where that practice has been legalized at the state level through either medicinal or full recreational use. ICI also markets products containing CBD in the US and internationally. ICI's strategy centers on acquiring micro brands, distribution and specific manufacturing/cultivation companies in the cannabis space. ICI has acquired the exclusive rights to Julian Marley's JuJu Royal™ brand. The Company believes as the legal cannabis market evolves, high-quality, unique products will increasingly capture market share and provide a valuable platform for growth.
About JuJu Royal
Julian Marley conveys his message of legalization, freedom, and love through the JuJu Royal brand, a line of naturally produced medicinal herbs. Our vision is to realize the opportunity to become one of the largest brands in the Marijuana industry. The synergy between the Rastafarian culture, music, natural products and an "Irie" experience is a powerful foundation for our business. JuJu's strategy is to develop and grow a complete cannabis line based on an international appeal to a millennial lifestyle seeking a luxurious and premium experience. JuJu will capitalize on the unparalleled opportunity to position itself with unique, innovative, high quality brands that meet and exceed our customer's expectations. More information about the brand and various products can be obtained at www.jujuroyal.net.
International Cannabrands Contact:
Chief Executive Officer
1045 Lincoln Street, #106
Denver, Colorado 80203
Ph: (323) 828-4321 or s[email protected]
Media Inquiries: [email protected]
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER HAS REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Disclaimer concerning Forward-looking Statements
Certain statements included herein constitute "forward-looking statements" within the meaning of applicable securities laws. Such forward-looking statements include, without limitation, the completion of the acquisition by the Company of La Vida Verde Inc. and the expected impact on the revenue of the Company. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Additional risks and uncertainties regarding the Company are described in its publicly-available disclosure documents filed by the Company on SEDAR (www.sedar.com). The forward-looking statements contained in this news release represent the Company's expectations as of the date of this news release, or as of the date they are otherwise stated to be made, and subsequent events may cause these expectations to change. Except as required by law, the Company does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.
SOURCE: International Cannabrands Inc.