Sweet Earth Holdings Announces Exclusive Letter of Intent for the Sale of CBD Canine Products with Mota Ventures
Vancouver, British Columbia--(Newsfile Corp. - June 22, 2020) - Sweet Earth Holdings Corp. (CSE: SE) (FSE: 1KZ1) ("Sweet Earth") and Mota Ventures Corp. (CSE: MOTA) (FSE: 1WZ1) (OTC Pink: PEMTF) ("Mota") are pleased to announce that they have entered into a letter of intent (the "LOI") under which Sweet Earth will become the exclusive dog treat provider to Mota's eCommerce direct consumer brand, Nature's Exclusive.
Sweet Earth is a complete vertically integrated "farm to shelf" company that is a member of the US Hemp Association and is Leaping Bunny Certified, while Mota is a direct to consumer provider of a wide range of CBD products in the United States and Europe. The two companies (the "Partners") expect to sell Sweet Earth's award-winning products, beginning with CBD dog treats and paw and nose balm, through Mota's consumer brand, Nature's Exclusive, which is sold in the United States. Mota has initially selected Sweet Earth's popular Beef and Cheddar Potato CDB Dog Treats to be sold under the Nature's Exclusive brand.
Figure 1: Sweet Earth's Beef & Cheddar Potato CDB Dog Treats
To view an enhanced version of Figure 1, please visit:
Sweet Earth's Dog Treats are Certified Organic and Leaping Bunny Certified1.
Each organic treat is fortified with Vitamin E as a natural preservative.
Packaging will be customized to the specifications of the Nature's Exclusive brand.
According to Dogs Naturally2, research shows that CDB dog treats are effective dog supplements for:
- Arthritis and joint pain
- Digestive issues
- Neurological disorders (such as seizures and epilepsy)
- Blood disorders
According to Today's Veterinary Business, the U.S. pet treat market reached US$6.7 billion in 2019, with CBD, the largest growth component3 within the pet treat sector. The journal's research also provides insight into key trends in a sector that has continued to grow at an average 3% CAGR.
- Online sales of pet snacks have rapidly grown from 0% to 13%. A catalyst of eCommerce's rapid market expansion is attributed to the platform's ability to educate consumers on products prior to purchase.
- Dog owners are increasingly focused on quality snacks that are produced locally, as highlighted by the decrease in sales of import treats. Made in the USA4 has become a key factor in consumer purchasing.
- 11% of dog owners have purchased dog supplements or treats containing CBD or hemp; however, as highlighted in Figure 2, the segment is far outpacing the overall growth of the pet snack and supplement sector.
To view an enhanced version of Figure 2, please visit:
Brightfield Group5 estimates the US CDB pet market will increase from less than US$100 million in 2018 to approximately US$1.8 billion in 2023.
The 104% CAGR highlights a product with rapid expansion and penetration into the growing pet snack sector.
Global Market Insight predicts that the Dog Food and Snacks market will surpass US$75.0 billion by 2025 and increase to a CAGR of 4%
Hall of Fame Quarterback and Brand Ambassador to Sweet Earth, Warren Moon, commented, "I think the Partners will make a great team. Both come to the table with value-added capabilities and similar visions of providing high-quality products to discerning consumers." Sweet Earth President, Amrik Virk commented, "this is a great opportunity for Sweet Earth to team with Mota, which has grown 110% YOY, and recently announced sales of C$5.1 million for the month of May."
Readers are cautioned that the LOI does not set out the final terms for the collaboration between the Partners. The establishment of the sales partnership remains subject to the negotiation of definitive documentation between the Partners.
About Sweet Earth
Sweet Earth is a vertically integrated "farm to shelf" hemp grower with a farm in Applegate, Oregon, that maintains a full line of hemp and CBD products for the US and global market. Its products combine CBD with herbal and organic ingredients, all of which are selected for their beneficial properties to soothe, rejuvenate, and reduce inflammation. In addition to high-end finished products, Sweet Earth prides itself on sustainability by minimizing the use of plastics in both production and packaging.
Sweet Earth's in-house genetics team has been working on its own proprietary hemp strain. This strain has been grown in its indoor greenhouse resulting in high yielding CBD rich flower. Sweet Earth looks forward to planting this new strain outdoors for the 2020 season. Sweet Earth products are sold on its website: www.sweetearthcbd.com.
About Mota Ventures Corp.
Mota Ventures is an established e-Commerce, direct to consumer provider of a wide range of natural health products including CBD and psychedelic medicine products in the United States and Europe. In the United States, the company sells a CBD hemp-oil formulation derived from hemp grown and formulated in the US through its Nature's Exclusive brand. Within Europe, its Sativida brand of award winning 100% organic CBD oils and cosmetics are sold throughout Spain, Portugal, Austria, Germany, France, and the United Kingdom. In Germany, Verrian currently produces natural psilocybin extract capsules under the PSI GEN and PSI GEN+ brand. Mota Ventures is also seeking to acquire additional revenue producing CBD brands and operations in both Europe and North America, with the goal of establishing an international distribution network for CBD products. Low cost production, coupled with international, direct to customer sales channels will provide the foundation for the success of Mota Ventures.
On behalf of Mota Ventures Corp.
Chief Executive Officer
For more information visit:
www.motaventuresco.com or contact:
On behalf of Sweet Earth Holdings Corp.
For more information visit:
www.sweetearthcbd.com or contact:
Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Mota, and Sweet Earth, within the meaning of applicable securities laws, including with respect to completion of the proposed collaboration, and the planned business activities of each of Mota, and Sweet Earth. Each of Mota, and Sweet Earth, provide forward-looking statements for the purpose of conveying information about current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. These risks and uncertainties include but are not limited those identified and reported in the public filings of each of Mota, and Sweet Earth, located under their respective profiles on SEDAR at www.sedar.com. Although Mota, and Sweet Earth, have attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Each of Mota, and Sweet Earth disclaim any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.
1 Sweet Earth News Release June 3, 2020
2 Author Carol Dougal April 9, 2020: https://www.dogsnaturallymagazine.com/cbd-dog-treats-are-they-worth-the-money
3 Source: Author Jordan Tyler, Adobe Stock Oct. 11, 2019
4 Source: Author David Sprinkle, Food Industry November 18, 2019
5 Brightfield Group is a Data Research and Custom Solutions firm focused on the CDB and cannabis sector
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/58280