Halo Labs Announces Significant Growth in California
/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
All figures in USD unless stated otherwise
TORONTO, Jan. 20, 2021 /CNW/ - Halo Labs Inc. ("Halo" or the "Company") (NEO: HALO) (OTCQX: AGEEF) (Germany: A9KN) is pleased to provide an update on its California operations.
The California cannabis market remains the largest in the United States. According to BDS Analytics ("BDSA"), spending for legal cannabis use reached $3.2B in the state between January and November 2020 and is projected to exceed $4B by 2022.1 Amidst the expansion of legal sales in California, Halo has seen a significant increase in product sales to dispensaries with a wider array of offerings including flower, infused pre-rolls, concentrates, distillate cartridges and edibles.
Dispensary sales
Halo's top-selling brand in dispensary sales is Hush, which includes vape cartridges, concentrates, edibles and infused pre-rolls. According to BDSA, in the vape category alone, the Hush brand generated $2.14M in California retail sales in 2020 when compared to $100,531 in 2019—an overall 2,035 percent sales increase year over year. In November 2020 alone, BDSA reported that retail sales of Hush vape cartridges reached $419,308. BDSA reports year over year between January-November 2019 and January-November 2020, Hush brand vapes are now ranked in the top 10 fastest growing brands in California2. The Company's third party distributor reports reflect Hush products can be found in over 110 dispensaries across the state of California.
FlowerShop* G-Eazy
In 2020, the Company formed a partnership with FlowerShop*, a conceptual wellness brand, alongside partner and key member, G-Eazy—an American rapper and producer from Oakland, CA. The Company anticipates FlowerShop*s innovative products and marketing approach combined with Halo's cannabis industry expertise will allow the two companies to build a global brand , offering a full proprietary line of cannabis products including flower strains, novel concentrates, natural edibles and more, with a focus on high quality raw ingredients. Launching in March, Halo and FlowerShop* will bring their products to the California market under the design philosophy of Sensory~Care -- a Mood and Effect based approach to cannabis and wellness. In addition to owning 25% of FlowerShop*, Halo also has exclusive distribution rights on FlowerShop* brand concentrates in California, Oregon, and Nevada.
In the coming months, Halo and FlowerShop* expect to launch three new products in California: Budvase, a line of 1/8 premium, AAA flower expected to launch Feb. 14, 2021; Bouquet Pack, a line of premium pre-roll packs created with glass tips for the optimal experience, and rolled with indoor flower which is expected to launch on March 1, 2021; and, its JUICEDROPS, real fruit drops handcrafted with fresh ingredients, botanicals and adaptogens to achieve premium taste and function, infused with THC, CBD, CBN, and CBG expected to launchon March 15, 2021.
Bar X
Halo and its partner, Green Matter Holding ("GMH"), have continued to develop the 1,600 acre property in Lake County known as Bar X Ranch ("Bar X"). In Q3 2020, Halo and GMH entered into a 50-50 joint venture, Lake County Natural Health ("LCNH"), and purchased Bar X with the intention to develop the property into the largest outdoor cannabis grow in Northern California and Southern Oregon. Kiran Sidhu, Chief Executive Officer of Halo, shared that county licenses for the planned growing operation are already in process. On a parallel path, LCNH has started to apply for state licensure. Since purchasing the land last year, LCNH has improved the site including the establishment of its well. This well produces nearly 1,200 gallons of water per minute which is expected to provide enough water for the entire planned cannabis grow.
Co-Founder of GMH and Halo's joint venture partner, Jedidiah Morris shared his excitement for the project stating, "We anticipate Bar X to be a huge success. I, myself, have moved to the ranch to oversee the project to ensure everything goes off without a hitch as the plans come to fruition."
About Halo Labs
Halo Labs 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 partnernship 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, South 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.
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 include, but are not limited to, statements regarding the Company's prospects in California, the licensing, manufacturing, and distribution of FlowerShop* branded products, the prospects and operations of Bophelo, the development of the cannabis market in Europe, Halo's planned expansion into the Canadian retail market and Oregon psilocybin market, the expected size and capabilities of the final facility planned at Ukiah Ventures and the size of Halo's planned cultivation facility in Northern California.
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: delays in obtaining required approvals from regulators, changes in general economic, business and political conditions, including changes in the financial markets; 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.
______________________________________ |
1. BDSA Data & North Bay Business Journal |
2. Statistics included in this press release are defined in the the BDSA data – the leading provider of market research solutions for the global cannabinoid industry from forecasts to trends |
SOURCE Halo Labs Inc.
Halo Labs, Investor Relations, [email protected]
Share this article