EastWest BioScience Group
EastWest Bioscience Adds to CBD Pet Product Line and Leverages FDA Green Light on Hemp Seed in the USA
Friday, April 26, 2019 8:30 AM
VANCOUVER, BC / ACCESSWIRE / April 26, 2019 / EastWest Bioscience (the "Company"or "EastWest") (TSX.V: EAST) announces four additional products to its Natural Pet Science line, both in Canada and the USA, with CBD included in the USA destined products and which will be marketed to CBD permitted jurisdictions.
Over shadowed by the significance of the CBD opportunity that the signing of the 2018 Farm Bill presented, in December 2018, The U.S. Food and Drug Administration completed its evaluation of three generally recognized as safe (GRAS) notices for hemp seed-derived food ingredients. These ingredients being, hulled hemp seed (GRN765), hemp seed protein powder (GRN771), and hemp seed oil (GRN778). These notices represent a real market opportunity for EastWest, which validates the Company's Canadian ‘product first' strategy.
EastWest's product development and sales strategy in the USA will be similar to what it used to grow retail shelf space in Canada. Now that there is FDA approval for hemp-based foods, the Company's interesting and innovative hemp-based products with unique formulations and ingredients, become attractive to distributors. As Eastwest's hemp products become established in retail stores and distribution networks, it lowers the barrier of entry for the Company's CBD infused products.
The Company's two initial Hemp based pet treat products Calm'Cat and Slim'Dog continue to sell strongly in Canada and will be immediately available to the US market. With the addition of four additional pet treat products, Happy'Cat, Play'n'Dog, Quick'Cat and Chill'Dog, the Company anticipates the US market for its nationally available Hemp based treats to quickly overtake Canadian demand.
"Hemp based products are still relatively new to US markets and distributors are always looking for innovative lines to sell. Our Hemp and Cricket pet treats on shelves in the US, even without CBD, represents an opportunity to increase revenues beyond what the Canadian market is capable of," states Rodney Gelineau, CEO of EastWest Bioscience Inc.
Looking ahead, the Company's current pet food formulator is working closely with a newly retained CBD specialist formulator in the US to integrate CBD into the existing line of pet products, under the brand of Natural Pet Science PLUS. The Company is finalizing the six formulations for its CBD pet treats, which are destined for identified store locations in favourable jurisdictions within the USA.
The Company's "CBD Ready" formulation strategy will result in 12 niche ingredient pet treat products available to the US market, six with CBD and six without. By leveraging all aspects of the new Hemp market in the US, the Company's potential to scale up quickly increases.
"We are well underway with our US market penetration plans, and by offering our formulations both with Hemp only and CBD we become much more attractive to mass merchant and regional distributors," says Gelineau. "Our product lines are designed to scale and we intend to exploit these opportunities to their full extent.''
About EastWest Bioscience Group
EastWest Bioscience is a vertically integrated wellness company with the infrastructure to become a global giant in the Hemp & CBD consumer health market. Since it was founded in 2016, EastWest continues to grow as a high-quality producer, manufacturer and distributor of multiple lines of premium hemp products. EastWest is strategically positioned in mainstream consumer markets with wholistic natural products and has developed distribution channels into mainstream stores and markets in Canada. The Company has a Health Canada licensed, GMP (Good Manufacturing Practices) certified manufacturing facility and produces premium brands offering natural products for a preventive care lifestyle. EastWest consumer product lines are divided into four distinct brands: 1) Natural Advancement - natural biopharmaceutical health supplements; 2) Earth's Menu - all-natural hemp superfoods; 3) Natural Pet Science - pet food and pet supplements; and 4) Chanvre Hemp - all-natural health and beauty products. The organization will continue to focus on ongoing development of innovative, hemp-based consumer products through advanced science with clean, natural ingredients to complement its current product offerings.
ON BEHALF OF THE BOARD OF DIRECTORS
EASTWEST BIOSCIENCE GROUP
Co-Founder, Chief Executive Officer and Director
TSXV - Symbol: EAST
Company Website: www.eastwestbioscience.com
Contact: Nicholas Vincent - Investor Relations on 1-800-409-1930 or [email protected].
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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain "forward-looking statements" under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to the terms and conditions of the Acquisition. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; and delay or failure to receive board, shareholder or regulatory approvals. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Corporation 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.
SOURCE: EastWest Bioscience Group