Infused single-ingredient pet treats to drive future growth
in global pet care industry
VANCOUVER, May 30, 2019 /CNW/ - Geyser Brands Inc.
(TSXV:GYSR) ("Geyser Brands" or the "Company") announces
that its acquisition target — Solace Management Group Inc.
("Solace") — has unveiled its latest brand, WildTails. Out
of the gate, WildTails has developed new product lines with three
available SKUs for both dogs and cats, complementing the robust
sales of Solace's Apawthecary Pets brand. The new line will be
available in 3 freeze-dried infused single ingredient servings of
white fish, beef and chicken. In anticipation of completing the
acquisition of Solace, Geyser Brands is negotiating several orders
and distribution contracts that are expected to be announced in Q3
2019, beginning with Asia.
A rise in the adoption of pets, a burgeoning global middle class
that is more concerned with health, wellness, and alternatives to
traditional pharmaceuticals than ever, and a growing demand for
premium care products are few factors expected to drive growth in
the pet care market, which was estimated by Grand View Research to
be USD 131.7 in 2016, with expected
CAGR of 4.9% from 2016 to 2025.
Freeze-dried products have several advantages that address this
growing market's needs. By being dried through intensely low
pressures, they are lighter and smaller, and deliver more protein
in a smaller package. This is an improvement over dehydration,
which uses a high heat environment that tends to degrade the
nutritional value of products. The freeze-drying process also
extends the shelf life of the product without needing chemical
additives, a major boon for pet owners concerned about allergens
and inflammatory ingredients.
Geyser Brands anticipates that, once the acquisition of Solace
is complete, WildTails' products will harness Geyser Brands'
proprietary NanoFusion to infuse hemp into the proteins. NanoFusion
is Geyser Brands' proprietary all-natural nano-technology that
emulsifies the hemp molecule, a lipid, so that it can co-mingle
with other non-fat liquids. NanoFusion, which took 2 years to
perfect, provides features unique to the existing market,
such as no discernible taste, increasing the bioavailability of the
hemp molecules, and extending the shelf-life and preservation of
the product.
It is expected that WildTails' products will be infused before
the freeze-drying process, with almost no change in dosing. This
process will be a significant improvement over competing products
which use the more common practice of coating the products with
oils after freeze-drying.
The use of NanoFusion with WildTails also fits into Geyser
Brands' business model, as the process can be applied to all forms
of hemp. In markets without a legal CBD environment, WildTails will
be produced with hemp seed oil. In markets with established
regulations and a clear compliance pathway, WildTails can deliver
the same products with CBD as a value-added ingredient.
Brad Kersch, President of Solace,
commented: "We look forward to leveraging the Geyser Brands
platform. Obviously, Geyser Brands' capacity in compliance is key
to working successfully in global markets, and Geyser Brands'
management understands and supports our goal to be the dominant
cannabis-related pet food brand in Canada and world-wide."
Andreas Thatcher, CEO of Geyser
Brands, commented "We are impressed with the way the Canadian
market has embraced the pet products produced by Solace, and we
expect WildTails to take that consumer satisfaction to new markets.
We are excited to anticipate the completion of our acquisition and
working with management to create a premium global brand."
As previously announced, the acquisition of Solace by Geyser
Brands is subject to the execution of a binding definitive
agreement, the completion of due diligence investigations and the
receipt of all necessary regulatory approvals, including approval
of the TSX Venture Exchange.
ABOUT GEYSER BRANDS
Geyser Brands Inc. builds health-based hemp CBD consumer
products in the Nutraceutical, Cosmetics, Food & Beverage and
Pet sectors world-wide. R&D investment in NanoFusion, a
proprietary all-natural nanotechnology, delivers topical, cream,
beverages and baked goods, oil, and tincture formulations with
superior bio-availability and water-solubility.
Geyser Brands owns a Health Canada approved Licensed Producer
("LP") in Port Coquitlam, B.C.
that holds a cultivation license and is anticipating its processing
and sales licenses. Geyser Brands leverages these assets to provide
the regulatory infrastructure for its global brands and
distribution strategy, acquiring hemp- and plant-based brands and
infusing them with new CBD product lines in jurisdictions where the
therapeutic ingredient is legal. Geyser Brands' proprietary
NanoFusion technology surrounds oils and solves for the
insolubility of CBD. Geyser Brands will utilize its licensed
facility in British Columbia for
the manufacturing and distribution of its hemp and CBD-based
products internationally. With its anticipated R&D license, it
will invest in product development and clinical trials to promote
the acceptance of products and brands in all markets.
For more information, visit Geyser Brands' website at
www.geyserbrands.com.
On Behalf of the Board of Directors
Andreas
Thatcher
Director and CEO
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SOURCE Geyser Brands Inc.