COLUMBUS, OH, Nov. 13, 2018 /CNW/ - Xanthic Biopharma Inc. d.b.a. Green Growth Brands (CSE: GGB) ("GGB" or "the company") will make its trading debut on the Canadian Securities Exchange (CSE) at today's market open under the ticker symbol "GGB". The highly-anticipated listing on the CSE represents the completion of the reverse takeover (RTO) announced by the Company in July 2018.
"Our listing on the Canadian Securities Exchange represents a significant milestone in the journey of building Green Growth Brands," said Peter Horvath, CEO of GGB's operating entity. "The transition to a publicly-traded company will benefit our current investors, give new investors a chance to join us and provide the Company with the currency to facilitate our aggressive growth plan."
"Our team has run multi-billion dollar businesses, operating as number ones in their respective categories, competing for customers in saturated mature markets. We're eager to do it again in the burgeoning North American cannabis industry," continued Horvath.
GGB's operations are led by renowned retailer Peter Horvath, former executive at a number of national brands, including Victoria's Secret, American Eagle Outfitters, DSW and Limited Brands.
Mr. Horvath has put together a team of retail experts with significant expertise in building successful international brands.
The company is targeting rapid expansion throughout North America and is actively pursuing opportunities in a number of states and provinces.
GGB has developed a line of innovative, CBD-based health and beauty products, leveraging the GGB management team's significant experience in the health and beauty products industry.
On July 27, 2018, Green Growth Brands Ltd. announced a business combination with Xanthic Biopharma Inc., developer of a proprietary process to make THC and CBD, the two key active ingredients in cannabis, water soluble.
On September 4, 2018, GGB completed the acquisition of Nevada Organic Remedies, a medical and retail marijuana company based in Las Vegas. GGB is in the process of seeking approval for as many as eight additional locations in Nevada with the intent of having the largest footprint in the state.
On September 25, 2018, GGB announced a convertible debenture financing of over C$86 million. Significant investor demand led this offering to be oversubscribed on its initial target of C$55 million. The convertible debt was converted into GGB equity upon completion of its previously announced business combination.
On November 5, 2018, GGB announced a subsequent equity raise of C$55 million, to bring total funds raised to over C$140 million. The transaction raised approximately C$30.5 million, and the subscriber has exercised an additional C$24.5 million of common share purchase warrants (payable within 30 days). In both rounds the Company was able to attract top tier strategic investors.
"We are focused on North American expansion and in preparation we visited 100 of the best cannabis stores in the market," noted Mr. Horvath. "What we found was that every single store was underperforming against its potential. The assortments are confusing, the price points are confusing and the rules of engagement are confusing. We will put the consumer at the centre of our model. Brands have to be mirrors, reflecting customers and individuality."
"While many in our industry talk about national brands, our research has found that only a small percentage of consumers actually trust those brands," continued Horvath. "What they do want is localization and authenticity, and that is what we'll deliver, as we build our stores and complete deals with large retail partners."
The Canadian Securities Exchange provides companies, including early-stage growth companies and those competing in the cannabis industry, a modern and efficient alternative way of accessing the Canadian capital markets.
About Green Growth Brands
Green Growth Brands expects to dominate the cannabis and CBD market with a portfolio of emotion-driven brands that people love. Led by renowned retailer Peter Horvath, the GGB team is full of retail renegades with decades of experience building successful brands. Join the movement at GreenGrowthBrands.com.
Certain information in this news release constitutes forward-looking statements under applicable securities law. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "intend" and similar expressions. Forward-looking statements in this news release include, but are not limited to, statements with respect to the Company's intended focus after listing of its shares on the CSE. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments involving medical and recreational marijuana; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the marijuana industry in the United States, income tax and regulatory matters; the ability of the Company to implement its business strategies; competition; currency and interest rate fluctuations and other risks.
Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. The forward-looking statements contained in this release is made as of the date hereof and the Company is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.
This announcement does not constitute an offer, invitation or recommendation to subscribe for or purchase any securities and neither this announcement nor anything contained in it shall form the basis of any contract or commitment. In particular, this announcement does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States, or in any other jurisdiction in which such an offer would be illegal.
The securities referred to herein have not been and will not be registered under the Securities Act of 1933, as amended (the "Securities Act"), or under the securities laws of any state or other jurisdiction of the United States and may not be offered or sold, directly or indirectly, within the United States, unless the securities have been registered under the Securities Act or an exemption from the registration requirements of the Securities Act is available.
SOURCE Green Growth Brands
For further information: For investor relations inquiries, please contact: Julia Fulton, Investor & Public Relations, 440-668-1348, [email protected] or Eric Wright, 416-640-2963, [email protected]; For media enquiries or interviews, please contact: Wynn Theriault, Thirty Dash Communications, 416-710-3370, [email protected]