/NOT FOR DISTRIBUTION TO THE UNITED STATES OR FOR DISSEMINATION IN THE UNITED STATES/
TORONTO, Jan. 16, 2019 /CNW/ - Gefion Canada, Inc. ("Gefion"), a private company incorporated under the Canada Business Corporations Act (the "CBCA") and BeaconUnited, LLC ("Beacon"), a private limited liability corporation, with offices in New Jersey are pleased to announce today that they have entered into an agreement wherein Gefion will exclusively use the services of Beacon for access to over-the-counter retail distribution channels for the Gefion Hemp "Extracts Plus" products in all 50 States. The "Extracts Plus" line contains hemp extracts with naturally occurring cannabidiol ("CBD") with .3% or less THC which can be sold throughout the United States pursuant to the recently enacted 2018 Farm Act.
Hemp Extracts Plus Products
Gefion has created a line of "Extracts Plus" products that combine Gefion Technologies GT series delivery system with hemp oil and various herbal extracts to create a series of life-style products for the over-the-counter retail market. The product line includes:
- "BE ACTIVE" which contains White Willow, Comfrey Root Carbomer, Tumeric and Liquorice,
- "BE HEALTHY" which contains Ashwagandha, Astragalus, Eleuthero, Kava Kava and Reishi Extract,
- "BE INTIMATE" which contaoins Yohimbe, Ginkgo, Maca Root and Red Ginseng,
- "BE POSITIVE" which contains St. John's Leaf, Wintergreen, Scutellaria, Valerian and Eucalyptus,
- "BE SLEEPY" which contains Chamomile, Valerian, Rhodiola Hops, Blue Vervain and Wild Lettuce Extract.
Tony Scuderi, president of Beacon, stated, "We are excited about working with Gefion to establish its propietrary Gefion Technologies GT series delivery system as the skin applied product of choice for delivery of hemp CBD and herbal extracts."
James Mongiardo, President of Gefion stated, "The expertise and coverage of Beacon for national, super regional and local conventional grocery and drug retailers will assist in the introduction, rapid placement and shelf turns of our Hemp "Extracts Plus" line in multiple retail outlets which also includes nutritional chains. The 2018 Farm Act authorized the shipment and sale throughout the United States of any hemp extracts CBD product with .3% or less of THC."
BeaconUnited is a leading full-service sales and marketing agency for the consumer packaged goods ("CPG") industry. Beacon brings together leading sales and marketing organizations across the country, serving manufacturers of consumer goods and retailers across multiple channels. With the combined reach and resources of a national brokerage firm and the personal touch and market know-how of local and regional experts, Beacon is equipped to provide tailored, brand-building solutions for CPG companies across the U.S. With a focus on service and performance that exceeds clients' expectations, the connected national team of associates delivers solutions from strategy development to execution at the retailer shelf.
Beacon has offices located throughout the United States ensuring coverage of national, super-regional and local conventional grocery and drug retailers. Among companies covered are Kroger and its multiple divisions; Walmart; Sam's Club; Target; Costco; BJ's; Kmart; Alberton's and its multiple divisons; fred's Pharmacy and speciality markets with over 140 customers across 13 channels among others. Beacon also provides coverage to major drug wholesalers including AmerisourceBergen, Cardinal Health and McKesson for sales to the major pharmacy and super regional drug chains. In addition Beacon's expertise includes major internet outlets such as Amazon.
Gefion is a private Canadian corporation which has licensed transdermal delivery technology from BioPhysics Pharma, Inc. The license is an exclusive royalty free world-wide right to use any BioPhysics transdermal delivery technology for the development and sale of herbal extracts products which include cannabis and hemp based products. Gefion plans to use the Gefion Technologies GT series delivery technology which permits target levels of hemp extracts with naturally occurring CBD, herbal exracts and cannabis to be delivered through application on the skin to underlying tissue or the blood stream. The Gefion Technologies GT1, GT2, GT3 and GT4 delivery systems are covered by a pending patent.
Gefion Technologies GT series is a breakthrough skin applied delivery technology. The GT series quickly and efficiently moves the active drug including herbal extracts through all of the skin layers into the blood stream or deep local tissue depending upon how it is formulated. The stable complex emulsion can be in the form of a cream or gel (not a patch). Gefion believes the GT series is the most advanced, chemically active controlled dosing technology developed for the cannabinoid space. This technological capability allows for the creation of innovative products with built-in advantages compared to other drug delivery methods.
The GT series can be applied through a single dose system to precisely control dosage. Further, it is an active delivery system designed to quickly penetrate into the skin unlike passive topicals that remain for an extended period on the surface of the skin as messy odorous creams or oils that allow for cross contamination of clothes or other individuals. The GT series provide the safety of transdermal (no gastro-intestinal impact or first pass liver effect) with the convenience of a pill.
Gefion plans to participate in four different industry categories. The first is prescription drug products. Initially Gefion has five possible products to begin clinical testing. Among these pre-clinical products are possible treatments for epilepsy, decubitus ulcers (bed sores/diabetic foot ulcers), fibromyalgia, peripheral muscular/skeletal pain (osteoarthritis) and back pain.
Gefion has developed products for entry into the cannabinoid over-the-counter ("OTC") market in Canada. These products can enter the Canadian market following Health Canada review and approval of the Gefion Technologies GT series to be sold to licensed producers/extractors/or distributors and the Hemp "Extracts Plus" line. In addition, with the recent legalization of cannabis recreationally in Canada, the GT series provide a better user experience without the problems of smoking and edibles. Gefion's management believes that the Hemp "Extracts Plus" line could become the definitive product line and brand in the OTC medical and recreational markets in Canada.
Due to the regulatory situation in the United States, Gefion has developed a unique strategy intended to address these markets. In the United States, cannabinoids are not legal. However, many states have approved the sale of cannabinoids at the state level, derived from state licensed growers and extractors, and sold through state licensed dispensaries.
In the United States, Gefion's business model provides for the sale of the formula bases (without cannabinoids but containing the GT series technology) in bulk to extractors who then blend their extracted cannabinoids into Gefion's formula base and create their own "white labeled" product line which is anticipated to provide higher margins than bulk extractions.
Since Gefion does not "touch the flower", the bases can be shipped throughout the United States and fully comply with both federal and state regulation. Gefion has already successfully test marketed this concept.
In anticipation of passage of the 2018 Farm Act which clarified that it is legal to ship products containing hemp extrats with naturally occurring CBD with .3% THC or less throughout the United States, Gefion created a line of "Extracts Plus" products that combine the GT series technology with hemp and various herbal extracts to create a series of life-style products for the consumer market. Gefion has engaged Beacon to assist in the launch these "Extracts Plus" hemp products into the United States over-the-counter retail markets.
Prior News Release and Reverse Takeover Transaction
By news release dated November 19, 2018 Gefion announced that it had entered into a definitve business combination agreement with Maclos Capital Inc. ("Maclos") (OTC: LMSMF) which, subject to certain conditions and applicable Canadian Securities Exchange ("CSE") approval, will result in the reverse takeover of Maclos by Gefion (the "RTO"). The parties continue to work towards closing of the RTO estimated to be late February 2019.
Forward-Looking Information Statement
This news release contains "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. All statements, other than statements of historical fact, included herein are forward looking information. Specifically, all statements with regard to any anticipated or implied financial results of the effect of the agreement with Beacon on Gefion's business are forward-looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "proposed", "is expected", "budgets", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. There can be no assurance that such forward-looking information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such forward-looking information. This forward-looking information reflects the current beliefs of Gefion and is based on information currently available to Gefion and on assumptions that Gefion believes are reasonable. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Gefion to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: general business, economic, competitive, political and social uncertainties; general capital market conditions; delay or failure to receive board or regulatory approvals; the actual results of future operations; competition; changes in legislation affecting Gefion; the timing and availability of external financing on acceptable terms; and lack of qualified, skilled labor or loss of key individuals, the failure of parties to agreements with Gefion to meet their obligations or projections and the other factors. Although Gefion has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Readers are cautioned that the foregoing list of factors is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking information as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Forward-looking information contained in this news release is expressly qualified by this cautionary statement. The forward-looking information contained in this news release represents the expectations of Gefion as of the date of this news release and, accordingly, is subject to change after such date. However, Gefion expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities law. Neither the Canadian Securities Exchange (the "CSE") nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Gefion Canada, Inc.
For further information: Gefion Media Contact: Gefion Canada, Inc., Attention: Laura Stephens, Phone: +1-978-473-7007; Beacon Media Contact: BeaconUnited, LLC, Attention: Tony Scudieri, Phone: +1-201-949-2249.