Coffee Holding Co., Inc. to Launch CBD-Infused Coffee and Functional Beverages
October 16 2020 - 9:00AM
Coffee Holding Co., Inc. (Nasdaq: JVA) (the “Company” or “Coffee
Holding”), a leading integrated wholesale coffee roaster and dealer
in the United States, today announced that the Company has entered
into binding agreements (the “Agreement”) to become a 49% owner in
The Jordre Well, LLC (“The Jordre Well”), a cannabidiol (“CBD”)
beverage company led by founders of Cannuka, a mainstream and
highly recognized CBD skin care brand, available in approximately
2,500 retail locations.
Under the terms of the Agreement, The Jordre
Well will assist the Company in the development and
commercialization of CBD-infused line extensions for the existing
coffee brands within the Coffee Holding portfolio as well as launch
new brands that are intended to serve consumer demand for
non-coffee CBD-infused beverages and products. To expedite time to
market, The Jordre Well intends to leverage the Company’s scalable
network of manufacturing and distribution centers throughout the
country, among other immediate benefits and synergies.
“Following the 2018 Farm Bill which legalized
hemp, on January 29, 2019, the Company announced that it was
beginning to explore the potential for CBD coffee in the near
future,” commented Andrew Gordon, Chief Executive Officer of Coffee
Holding. “After numerous discussions and much consideration, the
Company is happy to have finally found the right commercialization
and brand development partner to bring CBD infused line extensions
and beverage brands to fruition.”
The Company’s flagship dark roast latin espresso
brand, Café Caribe, as well as its gourmet coffee brand, Harmony
Bay, will be the first two Coffee Holding Co., Inc. brands to offer
CBD-infused line extensions, which will be made available to
consumers as soon as possible online in single-serve cups and more.
Further, as the Company expects the regulatory landscape for CBD to
evolve, the Company intends to expand its CBD infused coffee
offerings, and other CBD-related products, through the multiple
selling channels currently available to Coffee Holding and The
Jordre Well.
According to a Cowen industry report, the U.S.
CBD market could represent a $16 billion market opportunity by
2025, with the CBD beverage market comprising $2.4 billion.
Furthermore, data released by the National Coffee Association
suggests that coffee consumption has reached new highs, and remains
America’s favorite drink.
“As Coffee Holding approaches its 50th
anniversary, we believe we are in a strong position to bring
nationwide leadership to the highly fragmented CBD-infused beverage
market, and intend to launch high quality and consistent
CBD-infused products for consumers,” added Mr. Gordon.
About Coffee Holding Co., Inc.
Founded in 1971, Coffee Holding Co., Inc.
(NASDAQ: JVA) is a leading integrated wholesale coffee roaster and
dealer in the United States and one of the few coffee companies
that offers a broad array of coffee products across the entire
spectrum of consumer tastes, preferences and price points. Coffee
Holding has been a family-operated business for three generations
and has remained profitable through varying cycles in the coffee
industry and the economy. The Company’s private label and branded
coffee products are sold throughout the United States, Canada and
abroad to supermarkets, wholesalers, and individually owned and
multi-unit retail customers.
About The Jordre Well, LLC
Based in Columbus, Ohio, The Jordre Well is a
functional brand incubator focused on the creation of innovative,
sustainably-sourced, CBD-infused beverages for health and wellness
conscious consumers. The Jordre Well’s soon-to-be-released brands
include its namesake seltzer brand, The Jordre Well, its curated
coffee collection, Stephen James, and more. To learn more, visit
https://thejordrewell.com/.
Forward looking statements
Any statements that are not historical facts
contained in this release are “forward-looking statements” within
the meaning of the Private Securities Litigation Reform Act of
1995, including the Company’s outlook on the launch of CBD-infused
coffee and functional beverages . Forward-looking statements
include statements with respect to our beliefs, plans, objectives,
goals, expectations, anticipations, assumptions, estimates,
intentions, and future performance, and involve known and unknown
risks, uncertainties and other factors, which may be beyond our
control, and which may cause our actual results, performance or
achievements to be materially different from future results,
performance or achievements expressed or implied by such
forward-looking statements. All statements other than statements of
historical fact are statements that could be forward-looking
statements. We have based these forward-looking statements upon
information available to management as of the date of this release
and management’s expectations and projections about certain future
events. It is possible that the assumptions made by management for
purposes of such statements may not materialize. Such statements
may involve risks and uncertainties, including but not limited to
those relating to product demand, pricing, market acceptance,
hedging activities, the effect of economic conditions, the effect
of the COVID-19 pandemic, intellectual property rights, the outcome
of competitive products, risks in product development, the results
of financing efforts, the ability to complete transactions and
other factors discussed from time to time in the Company’s
Securities and Exchange Commission filings. The Company undertakes
no obligation to update or revise any forward-looking statement for
events or circumstances after the date on which such statement is
made.
Company ContactCoffee Holding
Co., Inc.Andrew GordonPresident & CEO718-832-0800
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