YIELD GROWTH subsidiary Yield Botanicals signs LOI to acquire Canniva Capital and enter European CBD Market
Vancouver, British Columbia--(Newsfile Corp. - December 3, 2019) - The Yield Growth Corp. (CSE: BOSS) (OTCQB: BOSQF) (FSE: YG3) is pleased to announce that on December 2, 2019 its subsidiary Yield Botanicals Inc. entered into a non binding LOI to acquire Canniva Capital Inc., which is developing CBD assets in Europe.
Yield Botanicals Inc. enters into a non-binding LOI to acquire Canniva Capital Inc.
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Yield Growth's wholly owned subsidiary Yield Botanicals has a planned business to create a hemp extraction facility in Oregon to produce CBD from organically grown hemp. The proposed terms of the acquisition are that Yield Botanicals will acquire all the outstanding and issued shares of Canniva by issuing one share and one warrant in Yield Botanicals to acquire each share of Canniva. The proposed acquisition is subject to Canniva raising $1,000,000 at $0.10 per share. Once the acquisition is complete, Yield Botanicals has an obligation to go public and obtain a stock exchange listing either by Initial Public Offering or by reverse merger with a listed company within 6 months. Upon listing Yield Growth is expected to own 50,000,000 shares and 70% of the listed entity.
"This plan to acquire Canniva Capital and take the resulting issuer Canniva Botanicals public as a partially owned subsidiary is part of Yield Growth's intention to build long term value for our shareholders by building our subsidiaries, financing them and taking them public with independent management teams," says Yield Growth CEO Penny White. "Canniva Botanicals will provide a reliable source of high quality organically sourced CBD for our CBD products."
The acquisition of Canniva Botanicals secures for Yield Growth a source of CBD which it will infuse in its Ayurvedic inspired wellness products. Yield Growth recently signed an agreement for distribution of its line of Wright & Well CBD therapeutic products in Greece and Cyprus and plans to continue to grow its distribution network throughout Europe, which the company sees as an important emerging CBD market.
According to a recent report by Brightfield Group, Europe's CBD Market, is expected to grow 400% over 4 years and be worth an estimated $1.7 billion by 2023. The report suggests that, thus far, the European Union has experienced less explosive cannabis market growth than the US due to the complex and widely varying cannabis regulations in each individual country. That is subject to change, however, due in part to recommendations from the World Health Organization to reschedule cannabis, and a vote in 2019 by European Parliament to increase EU nations' access to medical marijuana and conduct more research on its public health effects.
About The Yield Growth Corp.
The Yield Growth Corp. is developing and selling hemp, marijuana and edible mushroom products in what the Global Wellness Institute reports is a $4.2 trillion-dollar global wellness market. It owns the cannabis wellness brands Urban Juve, Wright & Well and Jack n Jane. The Yield Growth management team has deep experience with global brands including Johnson & Johnson, Procter & Gamble, M·A·C Cosmetics, Skechers and Aritzia. Its all natural hemp skincare brand, Urban Juve, has signed distribution agreements in Canada, Colombia, Brazil, Costa Rica, Panama, Argentina, El Salvador, Ecuador, Peru, Greece, Cyprus, Bulgaria, Romania and Serbia. Yield Growth's Wright & Well brands are launching a THC/CBD line of topical and edible products in Oregon this month and a CBD from hemp topicals line in California in 2020. Through its subsidiaries, Yield Growth has over 200 proprietary beauty, wellness, edibles and beverage formulas for commercialization. It has filed 12 patents to protect its extraction method and formulas. Yield Growth is in revenue through multiple streams including licensing, services and product sales.
Investor Relations Contacts:
Penny White, President & CEO
Kristina Pillon, Investor Relations
The Canadian Securities Exchange has not reviewed, approved or disapproved the contents of this news release.
Cautionary Statement Regarding Forward-Looking Statements
This press release includes forward-looking information and statements (collectively, "forward looking statements") under applicable Canadian securities legislation. Forward-looking statements are necessarily based upon a number of estimates, forecasts, beliefs and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such risks, uncertainties and factors include, but are not limited to: risks related to the development, testing, licensing, intellectual property protection, and sale of, and demand for, Urban Juve, Wright & Well, Flourish Mushroom Labs, Jack n Jane and UJ Beverages products, general business, economic, competitive, political and social uncertainties, delay or failure to receive board or regulatory approvals where applicable, and the state of the capital markets. Yield Growth cautions readers not to place undue reliance on forward-looking statements provided by Yield Growth, as such forward-looking statements are not a guarantee of future results or performance and actual results may differ materially. The forward-looking statements contained in this press release are made as of the date of this press release, and Yield Growth expressly disclaims any obligation to update or alter statements containing any forward-looking information, or the factors or assumptions underlying them, whether as a result of new information, future events or otherwise, except as required by law.
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