First Hemp CBD brand to enter Latin American market under Dixie Brands joint venture
Builds on proven Aceso brand acceptance across US consumer market
Product line includes indication-specific (heat and cool), hemp-derived CBD balms
Approval secured from INVIMA for commercialization in Colombia of initial Aceso products, Alfa Balm (heat) and Sigma Balm (cool)
Introduction to Colombian market in Q4 2019 with expansion to Chile and Uruguay in 2020
Latin America herbal/traditional topical analgesic and topical analgesics/Anaesthetic market estimated at US$380 million (Source: Euromonitor 2018)
Strong corporate balance sheet positions Company to take full advantage of LatAm market demand for CBD consumer products
TORONTO, Nov. 11, 2019 /CNW/ - Khiron Life Sciences Corp. ("Khiron" or the "Company") (TSXV: KHRN), (OTCQB: KHRNF), (Frankfurt: A2JMZC), a vertically integrated cannabis leader with core operations in Latin America, announced today that the Company will introduce the Aceso™ Hemp brand to the Latin America market, with initial sales beginning in Q4 2019 in Colombia. Aceso Hemp, which is part of the Dixie Brands family of products, produces a line of innovative balms for the growing hemp-based consumer wellness market, and is widely established in the US market. Aceso represents the first brand to enter the Latin America market under the Company's joint venture with Dixie Brands Inc. (CSE: Dixi.U).
Aceso Hemp is the next generation in hemp, pairing plant science with food science. Offering a growing line of indication-specific, hemp-derived supplements for promoting optimal health, Aceso Hemp was one of the first entrants in the category and brings a deep understanding of the industry's complex regulatory structure and expertise in the production of safe, effective and compliant products that can be sold across the United States. Aceso Hemp's scientists have studied, tested and perfected phyto-nutrient ratios that unlock the powers of hemp, resulting in sophisticated formulas that are easy for the body to absorb and activate.
With its market-leading knowledge of the Latin American market Khiron will initially prioritize two Aceso products for commercialization in the Colombian market. Aceso Alfa Balm and Aceso Sigma Balm blend essential oils and ingredients to soothe aching muscles and revitalize skin, and enhance their impact with broad-based hemp. Each product contains 56 mg of naturally occurring cannabinoids.
Alvaro Torres, Khiron CEO and Director, commented, "Khiron is one of very few cannabis companies with the cash reserves to continue to aggressively expand its business operations. Our strong balance sheet and proven operational team positions us to further take advantage of the tremendous market demand that we see for CBD consumer products in the LatAm region. The introduction of the Aceso brand, the first from our joint venture with Dixie Brands, positions us to build on the brands already wide adoption in the US and translate that through our establish retail network to consumers in Latin America."
The launch of Aceso into Colombia continues the Company's strategy to bring innovative CBD-based cosmeceutical and wellness products to the Latin American market. In 2018 the Company launched Kuida, a comprehensive line of skincare products which are now sold across Colombia, are set to launch in the US and have received approval for commercialization in the UK.
Michael McMahon, Dixie's General Manager of Latin America, added, "We are excited to see our joint venture with Khiron starting to yield the opportunities to introduce our products into the market. This is the tip of the iceberg, and as we continue to refine our products to meet the regulatory requirements in each country, we will be expanding into more countries and delving deeper into our product portfolio."
About Dixie Brands, Inc.
Dixie Brands Inc., through its licensed partners, has been formulating award-winning THC and CBD-infused products since 2009. Currently operating in five U.S. states, the Company is expecting to double its manufacturing and distribution capabilities in 2019 in the U.S. as well as expand internationally, including Canada and Latin America. Dixie leads the global industry in the development, packaging design, product innovation and quality control for the commercial production of cannabis infused products. While the Company started with a single flagship product, the Dixie Elixir (a THC-infused soda), it is now one of the industry's most recognized consumer brands, expanding to over 100 products across more than 15 different product categories representing the industry's finest edibles, tinctures, topicals and connoisseur grade extractions, as well as world-class CBD-infused wellness products and pet dietary supplements. Dixie's executive team has been instrumental in the formation of the marijuana industry for recreational and medicinal use, serving as founding members on several national regulatory and business-oriented industry organizations.
About Khiron Life Sciences Corp. Khiron Life Sciences Corp. is positioned to be the dominant integrated cannabis company in Latin America. Khiron has core operations in Latin America and is fully licensed in Colombia for the cultivation, production, domestic distribution, and international export of both tetrahydrocannabinol (THC) and cannabidiol (CBD) medical cannabis. The company delivers best in class regulatory compliance, has the first approved set of CBD cosmetic products on shelf in Colombia, and is currently facilitating testing to meet and surpass all license requirements for commercial cannabis derived products.
With a focused regional strategy and patient oriented approach, the Company combines global scientific expertise, agricultural advantages, branded product market entrance experience and education to drive prescription and brand loyalty to address priority medical conditions such as chronic pain, epilepsy, depression and anxiety in the Latin American market of over 620 million people. The Company is led by Co-founder and Chief Executive Officer, Alvaro Torres, together with an experienced executive team, and a knowledgeable Board of Directors that includes former President of Mexico, Vicente Fox.
This press release may contain certain "forward-looking information" and "forward-looking statements" within the meaning of applicable securities legislation. All information contained herein that is not historical in nature may constitute forward-looking information. Khiron undertakes no obligation to comment analyses, expectations or statements made by third-parties in respect of Khiron, its securities, or financial or operating results (as applicable). Although Khiron believes that the expectations reflected in forward-looking statements in this press release are reasonable, such forward-looking statement has been based on expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject to numerous risks and uncertainties, certain of which are beyond Khiron's control, including the risk factors discussed in Khiron's Annual Information Form which is available on Khiron's SEDAR profile at www.sedar.com. The forward-looking information contained in this press release is expressly qualified by this cautionary statement and are made as of the date hereof. Khiron disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
United States Disclaimer
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as such term is defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this press release.
Further information in respect of the Company can be found at www.khiron.ca.
SOURCE Khiron Life Sciences Corp.
For further information: Investor Contacts: Chris Naprawa, President, T: +1 (416) 705-1144, E: [email protected]; Media Contact: Jon Packer, Vice President, Communications, T: +1 (416) 543-9179, E: [email protected]