VANCOUVER, Nov. 6, 2019 /CNW/ - CannaOne Technologies Inc. (CSE: CNNA) (OTC: CNONF) (FSE: 3CT) ("CannaOne" or the "Company"), a leading cannabis e-commerce technology company, is pleased to announce its corporate highlights and achievements for its recently completed fiscal year, and to further communicate the company's strategic plans and business directives for the year ahead.
"CannaOne has been amongst the first companies to recognize the need for online e-commerce solutions developed exclusively for the rapidly expanding cannabis industry," commented CEO, Mr. Riby-Williams. "Although there is a persistent frenzy of vendors and companies rushing in to represent vast product offerings, there remains a tremendous void as it relates to a distinct lack of quality support available for consumers regarding education and information. We invest in servicing the demands this global market seeks - We build community - We relay information back to respond to those inquiries and pair our replies with the product solutions that we offer. People are looking for a "go-to" and we feel we are well positioned to be that relevant and trust information source the market seeks, while simultaneously being provided the ability to harvest the data that comes with it. It's truly a win-win scenario and we're able to engage with a community with a veracious appetite for knowledge on cannabis products as we continue to pursue the active global footprint and expansion of our unique online marketplaces.
Important Highlights from the past fiscal year:
Memorandum of Understanding LevelOut UK
On September 24, 2019 – CannaOne Technologies Inc. announced that it entered into a Memorandum of Understanding ("MOU") with LevelOut UK (LO) on September 16, 2019. LevelOut UK Ltd., will act as the majority equity partner in a joint venture corporation (JV), being established between LO and CannaOne to service the UK market. CannaOne will contribute to the JV exclusivity to their proprietary software for the UK market, while further providing its industry knowledge, digital marketing expertise and access to its existing American CBD brand supply chain for sale on LO. LevelOut UK Ltd. will provide between £150,000.00 to £200,000.00 in initial start-up capital to the JV.
We enter the next fiscal year well on the way to finalizing, facilitating and launching the UK JV prior to the end of Q1, 2020.
Mexico CBD Marketplace
We will be launching a online CBD marketplace for Mexico in partnership with Manna Health Services SA de CV ("Manna"). CannaOne is currently negotiating final terms of the formal service agreement with Manna intended to be a revenue sharing arrangement subject to terms and conditions expected to be fully defined in the near-term. It is predicted that this online Mexican marketplace will begin operations sometime in Early 2020 with such actual launch date dependent on when, and if, the Mexican authorities ultimately permit the import and sale of CBD products within Mexico. Mexican lawmakers will soon vote on a cannabis legalization bill.
BWell CBD Online Marketplace Acquisition
We announced on September 4th, 2019, that we entered into a Letter of Intent ("LOI") to acquire 100% interest in Real Life Sciences Inc. ("Real Life Sciences").
We had previously reported that on April 23rd, 2019, CannaOne first announced a formal partnership with Real Life Sciences to launch and operate the "BWell" CBD online marketplace in the US. Under the terms of this agreement Real Life Sciences acted as local managing partners for the BWell online marketplace providing strategic management, financial and business development expertise. As the managing partner of the BWell Marketplace, Real Life Sciences maintained a 75.1% ownership interest. Real Life Sciences' possessed expertise, a vast network and strong relationships within the US and brought substantial value to the BWell marketplace. During the initial months of launch of the marketplace BWell (www.thebwellmarket.com), firmly established itself becoming capable of immediate sale and delivery of 140 high quality CBD products at extremely competitive prices to thousands of potential households in US. Witnessing the opportunity this infrastructure and knowledge contributed by Real Life Sciences to BWell represented then provided substantial baseline support towards our Company proposing to acquire sole ownership of Real Life Sciences, and the BWell marketplace. As at the date of this corporate update, we continue with our due diligence assessment and contract negotiations. The original expected closing date for this acquisition has now been extended to December 31, 2019. it remains our goal to consummate this acquisition as soon as practicable within this revised timeframe subject to a positive outcome for our financial, corporate and legal assessment of Real Life.
Investor Relations Engagement
On October 29, 2019 -- CannaOne Technologies announced that it engaged Thesis Capital Inc. ("Thesis"), and Hybrid Financial Ltd. ("Hybrid") to provide investor relations, financial and shareholder communications services to the Company and to assist the company in seeking to facilitate its overall financing targets and requirements. Services to be provided by Thesis includes initiation and on-going maintenance of a detailed strategy comprising investor relations, corporate communications, strategic business development counsel and retail and institutional investor outreach. We are confident that the representation of our Company by each of these parties will assist our Company to effectively and efficiently operate and maintain oversight of necessary and appropriate corporate communication and shareholder management efforts for the Company
Third Party Analyst - Initiating Report
On October 21st, 2019, independent analyst, Fundamental Research Corporation initiated coverage on the Company and issued an Initial Coverage research report dated October 21, 2019 entitled: " Looking to Establish an International Online Marketplace for CBD Products – Initiating Coverage". The Company retained the independent research analyst firm to undertake the completion of the report for a flat fee of $35,000 plus GST. The research report can be obtained by contacting Fundamental Research Corporation:
Suite 308 – 1155 West Pender Street Vancouver, BC V6E 2P4 Canada Phone: 604-682-7050 Fax: 604-682-7001 Email: [email protected]
Through all major institutional investor portals: Thomson, Reuters, Bloomberg, FactSet, and Capital IQ
Through various third-party brokers
Various retail investor-oriented websites
Fundamental seeks to look for companies that are trading below their fair value estimate and/or have very positive growth prospects. Their research may be commissioned by a wide range of entities including investors, issuers, and institutions. Their independence is maintained by:
Having no banking or brokerage business with companies under coverage; a focus is strictly on research;
Setting and collecting research fees in advance;
Adopting the CFA Institute's Standards of Professional Conduct and Code of Ethics;
Prohibiting analysts from trading in any security under coverage;
Protecting editorial control over research, timing of release, and release of liability for negative reports by contract.
Global Growth Strategy
With the BWell Online Marketplace now operating in the United States, CannaOne Technologies is now focused on executing their global growth strategy of introducing similar marketplaces in emerging regulated markets for THC, CBD, medical and recreational cannabis e-commerce sales.
CannaOne's CEO, Mr. Riby-Williams stated, "during the past year, the management has been researching and developing relationships in Mexico, the United Kingdom and various other European countries. The UK and certain European marketplaces currently already allow the sales of CBD and CBD based products and the Mexican market is working towards the overriding development of its upcoming regulatory approval scheme. As a last point relating to our core business objectives, we remain ever vigilant in our assessment of the global cannabis market, and we continue to seek out potential acquisition targets that could offer synergies to our business to expedite and exponentially increase our future growth potential."
CannaOne Technologies is a software development and technology company that has developed its own proprietary online E-Commerce Marketplace solution linking the rapidly expanding CBD industry to consumers. The company's first consumer product, BloomKit, is a software suite that delivers a complete online toolkit for a variety of applications for companies in the sector.
In June 2019 CannaOne helped launch BWell (thebewellmarket.com), in the United States, facilitating the sale of a large selection of premium CBD products from numerous suppliers to consumers. CannaOne has also secured contracts with underlying expectations to launch additional marketplaces in Mexico and the UK marketplace during the first half of Calendar 2020. The company's overall vision is to provide comprehensive online solutions for the industry globally and is now well-positioned to offer industry suppliers with a premium, turnkey technology platform for their CBD products that not only sells and markets products, but also educates and engages their community from the ground up.
CannaOne has uniquely positioned itself to its potential partners or clients, as not only a developer and operator of an innovative marketplaces and turnkey software platforms, but also as a consolidator, manager and overseer of extremely informative and valuable cannabis related analytics and consumer data.
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATIONS SERVICES PROVIDERS HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
The securities referred to herein will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
FORWARD-LOOKING STATEMENTS: Certain information contained herein may constitute "forward-looking information" under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as, "will be", or variations of such words and phrases or statements that certain actions, events or results "will" occur. Forward-looking statements are based on the Company's estimates and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of CannaOne to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including capital expenditures, other costs or implied future forecasts. The Company further again cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among other things: risks and uncertainties relating to the Company's limited operating history and the need to comply with environmental and governmental regulations. In addition, marijuana remains a Schedule I drug under the United States Controlled Substances Act of 1970. Although Congress has prohibited the US Justice Department from spending federal funds to interfere with the implementation of state medical marijuana laws, this prohibition must be renewed each year to remain in effect. 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 forward-looking statements and forward-looking information. CannaOne will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.
SOURCE CannaOne Technologies Inc.
For further information: Investor Relations Contacts: Thesis Capital Inc., 36 King Street East, Suite 400, Toronto, ON, M5C1E5, T:905-510-7636, E:[email protected], www.thesiscapital.ca | https://twitter.com/ThesisInfo