The acquisition of IRIE, a formulator of CBD products, adds
another level of integration to our already vertically-integrated
business model
LAS VEGAS, NV -- April 17, 2018 -- InvestorsHub NewsWire --
Freedom Leaf Inc. (OTCQB: FRLF), a group of diversified,
international, vertically-integrated hemp business and cannabis
media companies, consummated its previously-announced acquisition
of the Irie CBD Product Line, including
virtually all: assets, trademarks, formulating equipment, formulas
and products.
Irie is a California-based
CBD, “Cannabidiol”, product
line that, and has been operating since 2015, it formulates,
manufactures and distributes CBD tinctures, CBD edibles, CBD
topicals and CBD concentrates to retail markets across the
country. Irie boasts a large inventory of
more than 25 different products and recorded
approximately $1.5 million of revenue in 2017and net
profits in excess of
$200,000. Irie also leases a
full manufacturing and processing facility in Oakland,
California.
In addition to the Irie CBD line and associated assets and
trademarks, the acquisition also includes: the product lines,
websites and other assets of: Earth Born, Inc., a California
corporation; Earth Born, Inc., a Delaware corporation; Irie Living,
a California nonprofit mutual benefit corporation, and Genesis
Media Works, LLC, a Utah limited liability company doing business
as “Terra’s Way,” “Irie Hemp Company,” and “Earth Born
Botanicals.”
Clifford Perry, CEO and Co-Founder of Freedom Leaf, commented:
“The acquisition of the Irie CBD product lines adds another level
of integration to our already vertically-integrated business model
– increasing our revenues and margins. Freedom Leaf already has
commenced providing Irie CBD with the raw material from
our Leafceuticals extractions. Going forward we
will produce our exclusive Hempology full spectrum hemp
CBD line utilizing Irie’s existing processing facilities.”
Perry explained further: “In addition to the revenue generation and
processing capabilities resulting from this acquisition, Freedom
Leaf hopes to be able to utilize the established name of Irie CBD
to market the Hempology CBD.”
Freedom Leaf paid $356,080 in cash and approximately 8,118,886
shares of the Company’s common stock (valued at $1.844
million). The transaction provided for possible purchase
price reductions based on the acquisition achieving targeted
post-closing monthly revenue targets.
Richard Groberg, Chief Financial Officer for Freedom Leaf, also
explained: “Completing the Irie CBD acquisition is directly in line
with Freedom Leaf’s goal of creating a more financially stable
corporation in the cannabis/hemp space. Freedom Leaf expects to see
a direct growth in sales for the target’s existing product lines as
well as providing various cost-saving and revenue-enhancing aspects
to Freedom Leaf’s existing businesses.” Groberg went on to say:
“While we plan to retain the targets key executives, at least
through a transition period, the application of the years of
experience of Freedom Leaf’s team to the Irie CBD team should be
invaluable in growing their revenues.”
The acquisition of Irie CBD adds to Freedom Leaf’s current
portfolio of cannabis/hemp media and processing companies,
including: their flagship publication Freedom Leaf
Magazine; one of the largest Spanish-speaking web
portal in the world LaMarihuana.com; the
exclusive high-quality Hempology CBD product line; its
extraction and distribution division Leafceuticals Inc, and
its European hemp cultivation and production company Green
Market Europe. The acquired assets include
the following web
sites: www.iriecbd.com, www.iriejournal.com,
www.iriemedicinals.com, www.irieliving.org, www.iriehemp.com,
www.earthbornbotanicals,com, www.terrasway.com, www.pranahemp.com and www.nirvanahemp.com.
About Freedom Leaf Inc.®
Freedom Leaf Inc., The Marijuana Legalization Company®, is a
group of diversified, international, vertically-integrated hemp
businesses and cannabis media companies. Freedom Leaf Inc. is a
fully-reporting and audited publicly-traded company under the
symbol (OTCQB: FRLF). Freedom Leaf Inc. has been working since 2014
to build a diverse portfolio of related cannabis and hemp
businesses through strategic mergers and acquisitions across the
industry.
FRLF’s large portfolio of acquisitions
includes: our recently acquired hemp CBD product line Irie
CBD; our wholly-owned hemp extraction
division Leafceuticals, Inc.; our exclusive health and
wellness CBD brand Hempology; our 60,000
acres of hemp greenhouse cultivation with the acquisition
of Green Market Europe; our hemp-based
rolling paper company Plants to
Paper; two of the largest Spanish-speaking
cannabis web portals in the
world LaMarihuana.com and Marihuana-Medicinal.com,
and, of course, our flagship publication, Freedom Leaf
Magazine.
Utilizing these mergers and acquisitions, Freedom Leaf Inc. is
continually building a solid foundation for our
vertically-integrated cannabis/hemp company to maximize both
revenue growth and shareholder value. Our cultivation and
extraction divisions allow FRLF to grow and source our own hemp
CBD, which allows dramatically lower production costs for our
wholly-owned CBD product lines, thereby generating more revenue for
each product sold. In addition, our extensive domestic and
international media companies ensure we can continuously direct
organic traffic to our many eCommerce sites and retail
locations.
- Freedom Leaf, Inc. does not handle, grow, sell, or
dispense marijuana or related products
All of our European activities are in full compliance with
relevant EU laws.
Investor relations information can be found on
the FreedomLeafInc.com company
website.
Safe Harbor Statement
This news release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, that are intended to be covered by the “safe harbor”
created by those sections. Forward-looking statements, which are
based on certain assumptions and describe our future plans,
strategies and expectations, can generally be identified by the use
of forward-looking terms such as “believe,” “expect,” “may,”
“will,” “should,” “could,” “seek,” “intend,” “plan,” “goal,”
“estimate,” “anticipate” or other comparable terms. All statements
other than statements of historical facts included in this news
release regarding our strategies, prospects, financial condition,
operations, costs, plans and objectives are forward-looking
statements. Forward-looking statements are neither historical facts
nor assurances of future performance. Instead, they are based only
on our current beliefs, expectations and assumptions regarding the
future of our business, future plans and strategies, projections,
anticipated events and trends, the economy and other future
conditions. Because forward-looking statements relate to the
future, they are subject to inherent uncertainties, risks and
changes in circumstances that are difficult to predict and many of
which are outside of our control. Our actual results and financial
condition may differ materially from those indicated in the
forward-looking statements. Therefore, you should not rely on any
of these forward-looking statements. Important factors that could
cause our actual results and financial condition to differ
materially from those indicated in the forward-looking statements
include, among others, the following: our ability to successfully
market our products and services; the acceptance of our products
and services by customers; our continued ability to pay operating
costs and ability to meet demand for our products and services; the
amount and nature of competition from other media and
cannabis/hemp-related products and services; the effects of changes
in laws governing the cannabis and hemp industries; our ability to
successfully develop and sell new products and services; our
success establishing and maintaining industry relationships,
licensing and supplier arrangements; our ability to comply with
applicable regulations; and the other risks and uncertainties
described in our prior filings with the Securities and Exchange
Commission. We undertake no obligation to publicly update any
forward-looking statement, whether written or oral, that may be
made from time to time, whether as a result of new information,
future developments or otherwise.
Contact:
Raymond Medeiros
PR and Business Development Director
Phone:
415-601-1974
ray@freedomleaf.com
Freedom Leaf, Inc.