Turning Point Brands Invests $8 Million in Lifestyle Cannabis Brand Old Pal Through Convertible Note
July 22 2021 - 7:30AM
Business Wire
Turning Point Brands, Inc. (“TPB” or the “Company”) (NYSE: TPB),
a manufacturer, marketer and distributor of branded consumer
products, including alternative smoking accessories and consumables
with active ingredients, announced today that the Company has
completed a $8 million strategic investment in Old Pal Holding
Company LLC (“Old Pal”), one of the most recognizable and
top-selling brands in the cannabis lifestyle space. TPB invested in
the form of a convertible note which includes additional follow-on
investment rights.
Old Pal is a leading brand in the cannabis space that operates a
non-plant touching licensing model. The company sells its products
and lifestyle goods to devoted fans across the U.S. with its
nimble, multi-state approach. Founded by Rusty Wilenkin and Jason
Osni in 2018, the California-based company is dedicated to building
one of the most recognizable cannabis lifestyle brands through its
commitment to affordable and approachable products.
TPB’s investment will enable Old Pal to expand product offerings
in existing states, which include California, Nevada, Michigan,
Oklahoma, Ohio, Washington and Massachusetts, and will help create
the infrastructure necessary to support continued territory and
product expansion. As a result of Old Pal’s strong brand
recognition and extensive network of licensed cultivation and
production relationships, the company has the ability to scale its
geographic footprint while continuing to offer consistent and
readily available products.
“Turning Point has a proven track record of developing and
growing brands and is capitalizing on this experience to identify
highly recognizable, leading cannabis brands poised to experience
significant growth,” said Larry Wexler, CEO, Turning Point Brands.
“Given Old Pal’s favorable market position, the awareness of its
products outside its current geographies and its unique licensing
model, we are confident the brand is well-positioned to further
penetrate the market and capitalize on the growth potential of the
cannabis industry.”
“Old Pal’s mission is to spread the shareable cannabis lifestyle
to customers across the U.S. through accessible and high-quality
products,” added Charlie Cangialosi, COO, Old Pal. “Turning Point
Brands’ experience with iconic brands, like Zig-Zag, and success in
adjacent and complementary industries will allow us to bring the
Old Pal experience to a wider range of markets and consumers."
About Turning Point Brands
Turning Point Brands (NYSE: TPB) is a manufacturer, marketer and
distributor of branded consumer products, including alternative
smoking accessories and consumables with active ingredients,
through its iconic core brands Zig-Zag® and Stoker’s® and its
emerging brands within the NewGen segment. TPB’s products are
available in more than 210,000 retail outlets in North America, in
addition to sites such as www.zigzag.com, www.nu-x.com and
www.solacevapor.com. For the latest news and information about TPB
and its brands, please visit www.turningpointbrands.com.
About Old Pal
Old Pal is a leading multistate cannabis lifestyle company
focused on providing value to consumers with quality products and
trusted consistency. Through Old Pal’s strategic relationships
within the industry, the brand has secured high quality, dependable
production and distribution. With the incorporation of
culture-focused design and marketing, Old Pal has defined a
much-needed new space within the industry; a space curating an
accessible lifestyle beyond stoner culture. Visit www.oldpal.com and www.oldpalprovisions.com to learn
more.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the federal securities laws. Forward-looking
statements may generally be identified by the use of words such as
"anticipate," "believe," "expect," "intend," "plan" and "will" or,
in each case, their negative, or other variations or comparable
terminology. These forward-looking statements include all matters
that are not historical facts. By their nature, forward-looking
statements involve risks and uncertainties because they relate to
events and depend on circumstances that may or may not occur in the
future. As a result, these statements are not guarantees of future
performance and actual events may differ materially from those
expressed in or suggested by the forward-looking statements. Any
forward-looking statement made by TPB in this press release, its
reports filed with the Securities and Exchange Commission (the
“SEC”) and other public statements made from time-to-time speak
only as of the date made. New risks and uncertainties come up from
time to time, and it is impossible for TPB to predict or identify
all such events or how they may affect it. TPB has no obligation,
and does not intend, to update any forward-looking statements after
the date hereof, except as required by federal securities laws.
Factors that could cause these differences include, but are not
limited to those included it the company’s Annual reports on Form
10-K, Quarterly Reports on Form 10-Q and other reports filed by the
Company with the SEC. These statements constitute the Company’s
cautionary statements under the Private Securities Litigation
Reform Act of 1995.
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version on businesswire.com: https://www.businesswire.com/news/home/20210722005100/en/
Media Contacts Turning Point Brands, Inc.: Caitlin
Kasunich / Raquel Cona KCSA Strategic Communications 212.896.1241 /
212.896.1204 ckasunich@kcsa.com / rcona@kcsa.com
Old Pal: For media inquiries and general information,
please contact: dustin@oldpal.com
Investor Contacts
Turning Point Brands, Inc.: Louie Reformina, Senior Vice
President, CFO Turning Point Brands, Inc. 502.774.9238
ir@tpbi.com
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