Decibel Announces International Expansion of Qwest Brand
CALGARY, AB, Oct. 4, 2022 /CNW/ - Decibel Cannabis Company Inc. (the "Company" or "Decibel") (TSX-V: DB) (OTCQB: DBCCF), a premium cannabis producer, is pleased to announce it has secured an on-going supply agreement with Breath of Life International Ltd. ("Breath of Life" or "BOL") to launch Decibel's Qwest brand and cannabis products in Israel. The supply agreement is for $4.8 million of premium cannabis product, with the first shipment expected in the fourth quarter.
"We are excited to partner with Breath of Life, a leading licensed producer with extensive distribution presence, in the Israel market, that echoes Decibel's commitment to quality. Not only will this unlock a strong partnership and a new market for Decibel's craft cannabis products, it also sets the stage for the Qwest brand to develop international recognition and additional consumer exposure," said Adam Coates, Chief Revenue Officer. "As international cannabis markets expand, we've seen a clear demand for premium and consistent quality. To be recognized by international cannabis companies and consumers is exceptionally gratifying for Decibel. This is the first step into international markets, with more to come."
"The Decibel team and Qwest brand have a reputation for the highest quality cannabis products, premium positioning as well as, favoured status with Canadian cannabis connoisseurs. With a growing demand in the international market for higher quality, Canadian made cannabis, Qwest was the natural choice and we are excited to partner with Decibel" said Breath of Life CEO, Kfir Avraham.
Key Highlights
- On-going arrangement for the expansion of the Qwest brand to first international market
- Initial $4.8 million supply agreement with first shipment expected to be delivered in Q4 2022
- Partnership with the premier cannabis company in Israel with significant entrenched distribution channels
"The Qwest brand enjoys popularity in the Canadian premium market, and also global awareness as legalized cannabis markets develop." Said Paul Wilson, CEO of Decibel. "As Decibel continues to experience record performance in Revenue, EBITDA, gross margin and market share, the combination of a stable growing Canadian LP with a dominant premium brand attracted international business attention and opportunity. We are thrilled to partner with BOL and look forward to a long relationship."
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three operating production houses along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, that are sold in six provinces across Canada. Thunderchild Cultivation, is a licensed and operating 80,000 square foot indoor cultivation facility in Battleford, SK. The Plant, Decibel's extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
Breath of Life has been pioneering the creation of the medical cannabis industry in Israel since 2007 in innovation, development and product quality. BOL is a leader in the fields of growing, marketing, and distributing medical cannabis in Israel. The company's sales strategy relies on deep understanding of the Israeli consumer taste and exclusive marketing rights of top global cannabis brands. BOL is committed to serving patients with quality products that will further improve their quality of life. In parallel, BOL is pursuing its development programs for cannabis-based wellness products.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.
In this news release, forward-looking statements relate to, among other things, the financial impact of the BOL supply agreement; expectations with respect to the impact the BOL supply agreement will have on the Company's business; expectations regarding international markets and the Company's position therein; the Company's expectations with respect to the future growth of key financial measures; the Company's ability to grow its brands into new and innovative product formats, variations and other business plans and expectations.
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: satisfaction of all international regulatory requirements, including applicable product testing; risks relating to delays; other regulatory changes and impacts; capital requirements; construction impacts; displacement requirements; unforeseen requirements resulting from the COVID-19 pandemic and other global macro-economic events, conditions and factors; the ability to obtain and maintain licenses to retail cannabis products; review of the Company's production facilities by Health Canada and maintenance of licenses (including any amendments thereto) from Health Canada in respect thereof; future legislative and regulatory developments involving cannabis, international export rules and regulations; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; general business, economic, competitive, political and social uncertainties; the satisfaction of conditions precedent under the Company's credit facilities; timing and completion of construction and expansion of the Company's production facilities and retail locations; and the delay or failure to receive board, regulatory or other approvals, including any approvals of the TSX Venture Exchange, as applicable.
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 the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
These forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Decibel Cannabis Company Inc.
For More Decibel Information: Contact: Stuart Boucher, [email protected], 780-619-0310, www.decibelcc.com; For More Breath of Life Information: Contact: Ruth Gross, [email protected], +972 528298192, https://www.bolpharma.co.il/
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