2020 Marks Year of Explosive Growth for Halo Collective in Oregon, $27M in Sales for Hush and Winberry Brands Alone
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All figures in USD and as per BDS Analytics, Inc. unless stated otherwise
TORONTO, Feb. 9, 2021 /CNW/ - Halo Collective ("Halo" or the "Company") (NEO: HALO) (OTCQX: HCANF) (Germany: A9KN) has achieved significant sales growth between 2019 and 2020 for Hush and Winberry branded products sold in Oregon's recreational and medicinal cannabis markets, as reported by BDS Analytics, Inc. ("BDSA").1
BDSA reported total retail cannabis sales in Oregon reached $1.1B for 2020 compared to the $804.8M recorded in 20192. While the Oregon market grew 38% from 2019 to 2020, Halo Collective outperformed the market average. The Company's Hush branded products ranked fourth among best-selling Oregon brands, reporting $21M in retail total dollars sold. This represents 228% year-over-year sales growth and more than twice the sales growth of any top 10 brand in the Oregon market between 2019 and 2020.
In the vape category, the largest concentrates segment, Hush became the number four top selling vape brand, demonstrating the highest growth among top 10 brands in the industry with $6M in total vape sales and 143% year-over-year growth. A recent addition to Halo Collective's portfolio, Winberry Farms' cartridges also demonstrated strong growth, becoming the number 9 top selling vape brand, reaching $5M in total sales. Winberry's Tropical Trainwreck cartridge was the number one best-selling vape cartridge in Oregon by dollars sold for the second year in a row. Combined 2020 cartridge sales of Hush and Winberry rank number 3 in the vape cartridge category statewide.
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Retail Oregon sales as estimated by BDSA for Hush & Winberry branded products alone, excluding private label, wholesale and other branded retail of third party distributed products or Halo owned brand. |
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https://mjbizdaily.com/oregon-marijuana-sales-reach-record-1-billion-plus-in-2020/ |
BDSA reported significant growth for Halo Collective brands in flower related categories such as pre-rolls, infused pre-rolls, and packaged flower. Hush's 2020 pre-roll sales grew a significant 6,066 percent when compared to 2019. Likewise Winberry Farms posted year-over-year gains in pre-rolls, up 4,794 percent from 2019. Winberry Farms ranked fifth in top selling infused pre-roll brands while Hush finished 2020 with the top selling infused pre-roll SKU both by volume and dollars in December 2020. Also, notable, Hush saw sizeable growth in total retail flower sales which reached $3.47M, marking 646 percent growth year over year from 2019. Hush boasted the 2020 top selling strain in Oregon- Purple Hindu Kush- measured both by dollars and volume.
Meanwhile the Company posted gains in other categories: concentrates and edibles. Hush's shatter led the dabble concentrates segment as the number 1 seller in both units and dollars posting 117 percent year over year sales growth. In the ingestibles category, Hush's sizzurp and gummies posted 328% and 194% year over year growth respectively. Hush edibles now rank #10 in total sales statewide and Sizzurp was the third best-selling tincture in the state.
Kiran Sidhu, Chief Executive Officer of Halo Collective stated, "With top selling product offerings in multiple categories in the Oregon market, our Hush and Winberry brands are strong competitors and best sellers in their respective market segments. The Oregon market grew significantly in 2020. Halo has outperformed the market average growth in every product category we offer. Our growth has been explosive, and we expect this trend to continue in 2021."
About Halo
Halo is a leading, vertically integrated cannabis company that cultivates, extracts, manufactures and distributes quality cannabis flower, oils and concentrates, and has sold approximately eight million grams of oils and concentrates since inception. Halo continues to evolve its business and scale efficiently, partnering with trustworthy leaders in the industry, who value the Company's operational expertise in bringing top-tier products to market. Current growth includes expansion in key U.S. markets, the United Kingdom, Africa, the Republic of Malta in partnership with MedCan Ltd., and planned expansion into the Canadian retail market.
Halo is led by a strong, diverse and innovative management team with deep industry knowledge and blue-chip experience. The company is currently operating in the U.S. in California, Oregon and Nevada. The Company sells cannabis products principally to dispensaries under its own brands Hush, Mojave, Exhale, and under partnership or license with OG DNA Genetics, Terphogz (doing business as Zkittlez™), Winberry Farms and FlowerShop.
As part of continued expansion and vertical integration in the U.S., Halo boasts several grow operations throughout Oregon and California. In Oregon, the Company has a combined seven acres of outdoor cultivation, including East Evans Creek, a six-acre grow site in Jackson County, and Winberry Farms, a one-acre grow site in Lane County. In California, the Company is building out Ukiah Ventures, a planned 30,000-square-foot indoor grow, processing and manufacturing facility, including up to an additional five acres of industrial land to expand. Halo has also partnered with GMH to purchase Bar X Ranch in Lake County, California, with plans to develop up to 80 acres of cultivation, which would comprise the largest grow in Northern California.
Recently, the Company has entered into a non-binding letter of intent with Red Light Holland Corp. for the purpose of creating a joint venture to become a licensed psilocybin manufacturer to supply psilocybin products to licensed service centers in the State of Oregon.
Internationally, the Company is currently cultivating cannabis at Bophelo Bioscience & Wellness (Pty) Ltd ("Bophelo") in Lesotho, Africa, which holds one of the largest marijuana cultivation licenses in Africa with a future capacity of up to 495 acres. To further Halo's global presence, the Company recently acquired cannabis-based product for medicinal use ("CBPM") importation and distribution licensing in the United Kingdom via cannabis suppliers Canmart Ltd. Halo expects the cultivation and manufacturing operations of Bophelo, combined with the importation and distribution capabilities of Canmart, to drive growth of a well-positioned business to serve the U.K. market.
For further information regarding Halo, see Halo's disclosure documents on SEDAR at www.sedar.com.
Cautionary Note Regarding Forward-Looking Information and Statements
This press release contains certain "forward-looking information" within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only Halo's beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Halo's control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved". The forward-looking information and forward-looking statements contained herein may include, but are not limited to, statements about the sale of Halo's products and prospects in Oregon and the Company's proposed acquisition of the assets of Winberry Farms. Completion of the acquisition by the Company of the assets of Winberry Farms is subject to satisfaction or waiver of closing conditions, including receipt of regulatory approval from the Oregon Liquor Control Commission, and such acquisition is expected to close within three to six months.
By identifying such information and statements in this manner, Halo is alerting the reader that such information and statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such information and statements. In addition, in connection with the forward-looking information and forward-looking statements contained in this press release, Halo has made certain assumptions. Although Halo believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. Among others, the key factors that could cause actual results to differ materially from those projected in the forward-looking information and statements are the following: unexpected costs or delays in the completion of the Company's proposed dispensaries and other operation; negative results experienced by the Company as a result of general economic conditions or the ongoing COVID-19 pandemic; delays in the ability of the Company to obtain certain regulatory approvals; unforeseen delays or costs in the completion of the Company's construction projects; adverse changes to demand for cannabis products; ongoing projects by competitors that may impact the relative size of the Company's growing operation; adverse changes in applicable laws; adverse changes in the application or enforcement of current laws, including those related to taxation; increasing costs of compliance with extensive government regulation; changes in general economic, business and political conditions, including changes in the financial markets; risks related to licensing, including the ability to obtain the requisite licenses or renew existing licenses for the Company's proposed operations; dependence upon third party service providers, skilled labor and other key inputs; and the other risks disclosed in the Company's annual information form dated April 16, 2020 and available on the Company's profile at www.sedar.com. Should one or more of these risks, uncertainties or other factors materialize, or should assumptions underlying the forward-looking information or statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected.
The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and Halo does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to Halo or persons acting on its behalf is expressly qualified in its entirety by this notice.
Third Party Information
This press release includes market and industry data that has been obtained from third party sources, including industry publications. The Company believes that the industry data is accurate and that its estimates and assumptions are reasonable, but there is no assurance as to the accuracy or completeness of this data. Third party sources generally state that the information contained therein has been obtained from sources believed to be reliable, but there is no assurance as to the accuracy or completeness of included information. Although the data is believed to be reliable, the Company has not independently verified any of the data from third party sources referred to in this press release or ascertained the underlying economic assumptions relied upon by such sources.
SOURCE Halo Collective Inc.
Halo Collective, Investor Relations, [email protected], www.haloco.com/investors
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