Sipp
Industries Primed to
Capitalize on Federal Hemp Legislation
Company Announces
Corporate Update and Market Expansion
Costa
Mesa, CA -- April
18, 2018
-- InvestorsHub NewsWire -- Sipp
Industries, Inc.
(OTC:
SIPC), a multifaceted corporation specializing in technology,
manufacturing, and distribution of commercial and consumer
products, is pleased to announce that its wholly-owned subsidiary,
Major Hemp, has continued
its expansion of Major
Hemp Brown Ale (MHBA) throughout the Colorado market.
Major
Hemp Brown Ale was formulated
through a
collaboration effort with Sleeping Giant Brewing Company, a
major contract
brewery in
Colorado. The recipe for MHBA
uses a proprietary water-soluble hemp powder, containing Omega-3
and Omega-6 fatty acids, which imparts a walnut flavor
and earthy
characteristics to the American Brown
Ale.
Though
the cultivation of the hemp plant has been federally
illegal since 1937, MHBA is legal in all 50 states because it is
produced using hemp seeds, which are exempt from being scheduled
because they do not contain any detectable measure of cannabinoids
such as tetrahydrocannabinol
(THC).
Since
MHBA's launch in Q1 of
2017, its
sales
have taken place in over 50 establishments
in the
Denver area,
with eleven new locations added in the last few
weeks.
Feedback
concerning the
beer's
flavor,
aroma and appearance had been
solicited
from both establishments and
customers in order to
meticulously optimize the formulation before embarking on broader
distribution.
With
the concept proven, the Company has been embarking
on a path
to produce in greater quantity and package MHBA in cans for
nationwide distribution. Despite its intention, Sipp
has
encountered a few regulatory issues when trying
to expand
its market outside of Colorado which is causing some delay.
Management has been
actively working
through the issues
and
expects to have them
resolved
soon.
A
significant event in both the cannabis and beer
industry occurred in late
October 2017 when Constellation Brands, maker of Corona Beer,
invested $200M in Canadian
publicly
traded Canopy
Growth, the largest cannabis
company in the world. The ripple effect in
America during the first few months of 2018 has generated an
increased interest from both craft beer makers and
consumers
of cannabis.
On
April 13, Senate Majority Leader Mitch McConnell
introduced
into the
chamber a strongly backed bipartisan bill, The Hemp Farming Act
of
2018. This marked
the first
time a bill legalizing hemp hits the floor of the Senate since it
was made illegal in 1937, representing a truly historic moment in
the history of hemp in America. The bill would legalize hemp as an
agricultural commodity in all 50 states, while removing it
completely from the Schedule of Controlled Substances. Authority
governing its use would be transferred from the Drug Enforcement
Agency to the United States Department of Agriculture.
The bill
is now being fast track through
the Senate.
As
a major development for
the craft beer industry, New Belgium
had
recently introduced a beer called The
Hemperor.
After a period of over three years in development, this hemp-seed
IPA finally
received
Alcohol and Tobacco Tax and Trade Bureau (TTB)
approval to be sold nationwide. As the fourth largest craft
brewery
in the United States and the first brewery
to release a truly national hemp beer, New Belgium and its
historic Hemp IPA launch
has generated widespread
media attention.
As an
effect from these major
developments, Sipp
has
been seeing
a
strong
increase
in demand for its
MHBA as
well as a number of inquiries for partnership
for hemp
beer production and
distribution. The Company is
exploring a few collaboration efforts and will update all
shareholders in the near
future.
"The
game has changed pretty suddenly. We have been receiving numerous
inquiries from a variety of breweries located in different parts of
the country and are presently evaluating a series of offers. Our
goal has always been to build a national brand
so it
is
important that we form
partnerships with breweries and distributors that can get Major
Hemp Brown Ale to
consumers
throughout the
US. We are
in late
discussion phases with partners in three states that will help
expand our market significantly," commented Ted Jorgensen,
President of wholly owned
subsidiary
Major Hemp.
Sipp
Industries Chief
Executive
Officer, Syman
Vong,
concluded, "We are elated by the very fortuitous sequence of events
in hemp legislation that have transpired over the past few weeks.
The market is now wide open and we are ready take the company to
the next level. We are extremely
excited with the recent industry development and the current
initiatives we have in the pipeline. We
expect 2018 to be a banner year for Sipp
Industries which will
set the stage for our long term growth."
About
Sipp
Industries,
Inc.
Sipp
Industries is a multifaceted corporation that specializes in
technology, manufacturing and distribution of commercial and
consumer products. Through its wholly owned subsidiary, Major
Hemp, the Company provides
high quality and competitively priced hemp based products, bulk
hemp, CBD supply, co-packing and private labeling
services.
Website: http://www.sippindustries.com
Facebook: https://www.facebook.com/SippIndustries
Twitter:
@SippIndustries
Forward Looking
Statements:
This
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 and Exchange Act of 1934, as amended. Those
statements include the intent, belief or current expectations of
the company and its management team.
Forward-looking
statements are projections of events, revenues, income, future
economics, research, development, reformulation, product
performance or management's plans and objectives for future
operations. Some or all of the events or results anticipated by
these forward-looking statements may not occur. Prospective
investors are cautioned that any such forward-looking statements
are not guarantees of future performance and involve risks and
uncertainties, and that actual results may differ materially from
those projected in the forward-looking statements as a result of
various factors. Accomplishing the strategy described herein is
significantly dependent upon numerous factors, many that are not in
management's control.
Contact:
Ted
Jorgensen
Major
Hemp President
Sipp
Industries, Inc.
Investor
Relations
ir@sippindustries.com
949.220.0435