Marijuana Retailer and Producer Kaya Holdings, Inc.
(OTCQB:KAYS)
Files First Quarter 201910-Q
Report;
Provides Updates on
Kaya Farms™
Cannabis Crop Results,
Advances in
Brand and Product Development
and Progress in Kaya Shack™
Retail
Cannabis Store
Franchise
Development
in Canada
FORT
LAUDERDALE, FL -- May
22, 2019 -- InvestorsHub NewsWire -- Kaya
Holdings, Inc. (OTCQB:
KAYS), an
integrated retailer and producer of legal medical and recreational
cannabis, today announced
that it had filed its
Quarterly Report
on Form
10-Q for the quarter ended March31, 2019 with the Securities and
Exchange Commission
after
the
close of
market yesterday afternoon. The
Form 10-Q, which contains financial results for the three months
ended March 31, 2019, may be viewed at www.sec.gov
KAYS also
announced a number of business developments, including
significant
independent
laboratory
testing
results
for cannabis
strains
under development at Kaya
Farms™,
brand and
product development for a number of Kaya owned cannabis
brands which KAYS
plans to bring to market
during 2019-2020 and progress
in
the
development of Kaya
Shack™ retail
Cannabis
Store Franchise sales
in
Canada.
Kaya Farms™
Cannabis
Test
Results. The
Spring Kaya
Farms™
crop
at Kaya
Farms yielded seven (7) strains
posting
test results of total
cannabinoid content in excess of twenty
(20) percent. Top
performers (ranked by
total cannabinoid content) include
Stone
Mountain Tangerine at 25.91%, Golden Ticket at 27.74%,
Train
Wreck Bull Flower at 27.97%, and
Strawberry Banana at 33.5% (pictures
and test results available online in KAYS 10-Q at
www.sec.gov).
Additionally,
Kaya Farms has™
begun
designing its 26-
acre
Lebanon,
Oregon farm, with the
capacity to provide production
of up
to approximately
100,000 pounds of legal
cannabis annually,
should recent efforts by Oregon state officials to enable export,
or federal decriminalization permit Oregon cannabis farms to
maximize capacity.
Kaya™
Brand & Product Development. Pending
approval of our production and processing license, the Company
has made
advances in the development
of its Kumba
Extracts,
Syzygy Extracts, Pakalolo Juice Company and Kaya
Yums brands of
extracts, oils, vape cartridges, beverages and a variety of
edibles,
respectively. The
brands join the Company's Kaya Buddies™
pre-rolls,
Kaya Gear t-shirts, and Really Happy Glass accessories
already available at Kaya Shack™
stores.
Upon
successful completion of financing and licensing, KAYS
intends
to begin
bringing the new products to market in 2019, with a multi-state
rollout planned
in
2020 to the
extent permitted by U.S. legal
infrastructure.
Franchising. KAYS
has
retained the Toronto, Canada based law firm of Garfinkle
Biderman
to prepare
the Franchise Disclosure Documents ("FDD")
and related items for the
sale of Kaya Shack™
Cannabis
Store franchises in Canada, which is
the only G7 country that has
legalized both medical and recreational cannabis production, sale
and use on a national level.
KAYS is
near completion
of
negotiations
with a leading franchise and real estate brokerage firm
to lead
the initial effort,
which will most
likely
begin in
the Province of British Columbia, and advance to other Provinces as
license allocations are developed by the
Canadian authorities.
We expect the franchise
sale and placement effort throughout Canada to
progress over the next 3-18 months. KAYS
plans
to
ultimately expand its franchise operations to the U.S.,
as
regulations and laws permit.
Kaya Holdings Conference Call Update. The Kaya
Holdings Annual Shareholder Call, originally
slated for late December
2018/
early
January
2019 was
postponed due to
pending developments with our International
division and opportunities in Canada. We
apologize for the delay and anticipate
announcing
a firm
date within the next 3 weeks. Interested parties are advised to go
to
www.kayashack.com and
register for KAYS
updates; a
confirmation email and
participation code will be
sent out to all shareholders and interested parties
as soon as
the date is set.
About Kaya Holdings, Inc. (www.kayaholdings.com)
and the Kaya
Shack™ brand (www.kayashack.com)
of licensed medical and recreational marijuana
stores:
KAYS
(OTCQB:
KAYS), through subsidiaries, produces, distributes or sells
legal premium medical and recreational cannabis products, including
flower, concentrates and oils, and cannabis-infused foods. In 2014,
KAYS, became the first publicly traded company to own and operate a
Medical Marijuana Dispensary. KAYS has expanded and presently
operates four Kaya Shack™ OLCC licensed marijuana retail stores to
service the legal medical and recreational marijuana market in
Oregon (www.kayashack.com),
has
developed its own proprietary
Kaya Farms™ strains of cannabis, which it grows and produces
(together with edibles and other cannabis derivatives) at its
Eugene, Oregon Sunstone Farms legal recreational
and medical marijuana production and processing manufacturing
facility, which it acquired in October 2018 and is
operating pursuant to a management agreement
pending OLCC approval to reissue the license to MJAI Oregon 1, LLC
(KAYS' main Oregon Operating Subsidiary).
The
Company also owns a 26-acre parcel in Lebanon,
Linn County,
Oregon, which it purchased in August 2017 on which it intends to
construct a cultivation and production facility. We filed for
zoning and land use approval in early 2018, and after
numerous regulatory challenges and delays, we finally received
zoning and land use approval in January,2019 to build an
85,000-square foot Kaya Farms™ greenhouse grow and
production facility. Kaya Farms
has begun designing the facility for maximum production of
approximately 100,000 pounds annually, should recent efforts by
Oregon state officials to enable export, or Federal
decriminalization permit Oregon cannabis farms to maximize
capacity.
The
Company maintains a genetics library of over 30 strains of cannabis
it has developed and has also formulated various edibles, cannabis
derivatives and
marijuana cigarettes under the "Kaya" brand name.
Oregon has
"paused" the acceptance of new license applications, but the law
allows the existing licenses to be sold and/or moved from one
physical location to another. KAYS is presently
evaluating how best to utilize these assets to form a network that
will not only maximize our penetration of the Oregon Cannabis
market but serve as the backbone to grow our U.S.
Operations across state lines through the rollout of proprietary
brands. KAYS has
initiated paperwork with the OLCC to temporarily close one of the
three outlets in Salem (store #3 in North
Salem) and hopes to move that license to its Eugene, Oregon
Sunstone Farms legal recreational and medical marijuana production
and processing facility where it would be operated
as a Kaya Farms Store™ which would allow it to also serve as a
delivery hub to service the City of Eugene.
Additionally,
the Company is exploring opportunities to expand its operations
beyond Oregon by replicating its Kaya Shack™ brand retail outlets
through franchising in other states where
recreational cannabis use is legal or expected to become legal in
the near term, as well as in Canada, where it is legal
nationwide.
IMPORTANT
DISCLOSURE: KAYS is planning execution of its stated business
objectives in accordance with current understanding of State and
Local Laws and Federal Enforcement
Policies and Priorities as it relates to Marijuana (as outlined in
the Justice Department's U.S. Attorney General Jeff Sessions Memo
dated January 4, 2018, and subsequent commentary from the U.S.
Attorney for the District of Oregon Billy Williams), and plans to
proceed cautiously with respect to legal and compliance issues.
Potential investors and shareholders are cautioned that KAYS and
MJAI will obtain advice of counsel prior to actualizing any portion
of their business plan (including but not limited to license
applications for the cultivation, distribution or sale of marijuana
products, engaging in said activities or acquiring existing
Cannabis production/sales operations). Advice of counsel with
regard to specific activities of KAYS, Federal, State or Local
legal action or changes in Federal Government Policy and/or State
and Local Laws may adversely affect business operations and
shareholder value.
Forward Looking Statements
This press release includes statements that may constitute
"forward-looking" statements, usually containing the words
"believe," "estimate," "project," "expect" or similar expressions.
These statements are made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995.
Forward-looking statements inherently involve risks and
uncertainties that could cause actual results to differ materially
from the forward-looking statements. Factors that would cause or
contribute to such differences include, but are not limited to,
acceptance of the Company's current and future products and
services in the marketplace, the ability of the Company to develop
effective new products and receive regulatory approvals of such
products, competitive factors, dependence upon third-party vendors,
and other risks detailed in the Company's periodic report filings
with the Securities and Exchange Commission. By making these
forward-looking statements, the Company undertakes no obligation to
update these statements for revisions or changes after the date of
this release.
For more
information contact Investor Relations: 561-210-7664