VANCOUVER, May 10, 2018 /CNW/ - Phivida Holdings Inc. ("Phivida" or "The Company") (CSE: VIDA; OTCMKTS: PHVAF") is pleased to provide a corporate update for the second quarter of fiscal 2018. Updates include; new product inventory, brand stewardship, executive appointments, the Canbev project and successful financings.
- Production Run Complete: 15,000 units of Vida+ tinctures, 3,000 Units of Vida+ capsules
- CBD Beverages: CBD-Iced Teas and CBD-Infused Water formulas for mainstream distribution
- Award Winning Design Agency: Sid Lee and Brian Schmitt now engaged for brand development
- CanBev Project: WeedMD site assessment, management meetings, operations and strategic planning
- C-Suite (CEO, CMO and CCO): dedicated to long term value, scalable growth and global expansion
Phivida has completed a manufacturing run of 15,000 units of Vida+ CBD tinctures and 3,000 units of Vida+ CBD capsules (formulated for muscle, bone and joints). This run replenished inventory in preparation of a rollout of the Phivida Enhanced clinical education marketing program in the third quarter of fiscal 2018. Events will host health care practitioners and patients for workshops, and town halls, across the pacific USA. Phivida CBD infused beverages are now undergoing consumer focus groups for full commercialization. The initial focus will be on CBD-Hemp Oil infused Enhanced Waters and Ice Teas - robust growth categories in the US beverage market.
Sid Lee and Brian Schmitt
Phivida has formally retained award-winning global creative agency; Sid Lee, to oversee the evolution of the Phivida brand platform (https://sidlee.com/en/about). Phivida has also engaged the services of Brian Schmitt who will act as a creative director. Mr. Schmitt's portfolio includes iconic brands like Nike and Apple. The evolution of the Phivida brand and product packaging will begin with in-depth consumer insight research (segmentation, sentiment polls and focus groups) for overarching brand marketing strategy, consistent with Fortune 500 calibre packaged goods companies. With a world-class design agency and creative director in place, Phivida anticipates a best-in-class platform to position the brand as a global leader in the CBD beverage category.
Cannabis Beverages Inc.
On March 8, 2018, the Company and WeedMD Inc. (TSXV: WMD) annouced plans to enter into a joint venture focused on cannabis-infused beverages, called Cannabis Beverages Inc. ("CanBev"). CanBev has plans to develop a production facility at WeedMD's state-of-the-art greenhouse in Strathroy, Ontario, and will operate one of the first cannabis-infused beverage production facilities in Canada.
On April 26th, Phivida management completed a site assessment of the proposed site for the CanBev Inc. project at the WeedMD facilities in Strathroy, Ontario. Post the tour, WeedMD and Phivida management teams conducted two days of CanBev strategy meetings as well as a formal presentation at the Canaccord corporate head offices in Toronto. Meetings reinforced the collaborative vision for the project, including; organizational, operational, product innovation and distribution strategies for the advancement of the CanBev project, aimed at bringing cannabinoid-infused beverages for the medical and future adult-use cannabis markets.
As a collaborative project, within a house of brands model, the CanBev team will continue to optimize strategies on operations and the distribution of high quality lifestyle-based products for both medicinal and recreational consumer segments. As a CBD-centric brand, Phivida will continue to focus on THC-free medicinal products in Canada while supporting; product innovation, marketing and distribution of all products made at CanBev Inc.
Mr. James Bailey was appointed as Chief Executive Officer on March 19th and now oversees all operational departments. Direct reports include Chief Marketing Officer; Mr. Michael Cornwell, and Chief Commercial Officer; Mr. Douglas Campbell. This C-Suite represents the former senior executive of Red Bull Canada and depth of experience, distribution networks, as well as a proven track record of commercializing innovative functional food and beverage categories. The Company now seeks a; Director of E-Commerce, Marketing Communications Manager, Sales & Marketing Coordinator and Field/Inside Sales Managers in key markets across the pacific USA.
Phivida Chief Financial Officer; Mr. Carmelo Marrelli, and President and Chairman; Mr. John Belfontaine are focused on public company operations and administration. The board and advisory maintain corporate governance. Key advisors Hillcrest Merchant Partners and Liberty North Capital steward Phivida within the global capital markets. Phivida recently completed a six-week international roadshow, in ten cities, and three countries, including; institutional accounts in; Montreal, Toronto and Vancouver, accredited investors in the Palm Desert, and hedge fund portfolio managers in the financial districts of New York and London, UK.
Phivida is now fully capitalized to execute its strategic business plan, led by an experienced senior leadership team with proven success in navigating rapid expansion within innovative CBD infused functional food and natural health categories. Management is focused on long term shareholder value through scalable growth.
Phivida closed a bought-deal short form prospectus financing on April 19th, 2018 with the total issuance of 6,960,000 units at a price of $1.15 per Unit for aggregate gross proceeds of approximately $8.0 million. Each unit consists of one common share and one-half of one common share purchase warrant. Management deemed this equity financing prudent due to volatility in major equity markets during the second quarter of fiscal 2018.
Each whole warrant entitles the holder thereof to purchase one common share for $1.60 for 24 months from the date of issuance. Warrants issued under the financing do not have an acceleration clause and were listed for trading under the symbol VIDA.WT. The capital structure post-closing is now 60,390,889 common shares issued and outstanding with approximately $16.3 million in cash, with no loans, liens, or encumbrances.
Phivida Holdings Inc.
Phivida (pronounced "fi-VEE-da") is a premier brand of Cannabidiol ("CBD") infused functional foods, beverages and clinical products poised for global distribution. Using encapsulation technology, Phivida converts phytocannabinoids into water soluble delivery format, enhancing bioavailability, and timed released within the body. Phivida infuses CBD into functional beverages, foods and supplements with a proprietary blend of phytonutraceuticals studied to target a range of conditions, from chronic pain to terminal diseases. The World Anti-Doping Association's recent decision to lift its ban of CBD from hemp oil and the World Health Organization's recent report supports the potential benefits of CBD worldwide. Celebrating; Health and Wellness, In Harmony™, Phivida's mission is to lead the alternative health care sector as the benchmark quality standard in premium CBD infused foods, beverages and clinical products.
This corporate update contains forward-looking information based on current expectations. These statements should not be read as guarantees of future performance or results. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management's reasonable assumptions, the Company assumes no responsibility to update or revise forward-looking information to reflect new events or circumstances unless required by law. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this corporate update. Actual results could differ materially from those currently anticipated due to a number of factors and risks including various risk factors discussed in the Company's disclosure documents, which can be found under the Company's profile on www.sedar.com. This corporate update contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbour provisions of the Private Securities Litigation Reform Act of 1995. When used in this corporate update, words such as "will, could, plan, estimate, expect, intend, may, potential, believe, should," and similar expressions, are forward- looking statements. There can be no assurance that such information will prove to be accurate or that management's expectations or estimates of future developments, circumstances or results will materialize. As a result of these risks and uncertainties, the results or events predicted in these forward-looking statements may differ materially from actual results or events. Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this corporate update are made as of the date hereof. Phivida disclaims any intention or obligation to update or revise such information, except as required by applicable law, and Phivida does not assume any liability for disclosure relating to any other company mentioned herein. We seek safe harbour.
SOURCE Phivida Holdings Inc.
For further information: Investor Relations: Website, www.phivida.com, Toll free, +1 (844) 744-6646 (ext. #2), Email, [email protected]