International Cannabis Company Kaya Holdings, Inc.
Advances
Plans
to
Place
State-of-the-Art
Cannabis
Cultivation Facility
on 50 Acres of Prime Agricultural Land
in Israel
FORT LAUDERDALE, FL -- January 9, 2020 -- InvestorsHub NewsWire
-- Kaya
Holdings, Inc.
(OTCQB:KAYS),
through
its majority owned subsidiary, Kaya Brands International, Inc.
("KBI") today
reported progress on its plans
to develop
a
state-of-the-art cannabis
cultivation facility in
Israel,
which
is recognized
globally as
leader in
cannabis research and cultivation technology.
Kaya
Farms™
Israel
plans
to cultivate
cannabis
for
export to
the
European
and
Asian
markets, in
compliance with applicable laws.
Since
mid-2019 KAYS'
management
has
been developing
the project and negotiating
with the
Management Committee of a Moshav (collective farm) located 25
minutes northeast of Tel Aviv to
lease the
land.
After
conferring with
Zysman,
Aharoni,
Gayer, KAYS' attorneys
in
Israel, our
Management
is
confident that we
will be able to reach a definitive agreement to lease the
land and the
appropriate licenses secured from the
government.
A
formal Memorandum
of Understanding (MOU)
with the
Moshav setting
forth the basic terms for the project, including a
25
year land lease
and governing provisions for the venture,
is being
delivered for review
to
the
Moshav
Management
Committee
and its counsel. The
project envisions
a series
of light deprivation greenhouses with an annual cultivation
capacity
of not less than 375,000 pounds of premium medical grade
cannabis.
"We
spent the last six
years
gaining incomparable cannabis experience through our
legal
cannabis cultivation, retailing and
branding activities in Oregon – perhaps the most complex and
challenging legal cannabis arena in the U.S. Our
strategic decision to leverage our
experience internationally has so far
led us to undertake
efforts to franchise
our retail brand,
Kaya
Shack™, in
Canada,
as well as our MOU
to develop
a branch of Kaya Farms™ in Greece,"
commented
Craig Frank, KAYS' CEO. "The
progress
we are
pleased to report towards
the
establishment of Kaya
Farms™ Israel
evidences
yet
one more
piece of the Company's 2020 growth and value creation
plan."
"It
was an Israeli scientist,
Rafael Mechoulam,
who first
isolated the psychoactive chemical in cannabis back at the Weizmann
Institute in 1964,"
added W. David
Jones, KAYS Senior Advisor for Business Development, Licensing and
Financial Operations. "It is
no exaggeration that Israel is known as the "Silicon
Valley of Medical
Cannabis",
and the Company is currently evaluating working
with Israeli technology and design companies, as well as some local
small farms, to
gain additional
traction
in the
Israeli cannabis community to serve
as a springboard to the European
and Asian markets as they develop."
KAYS is
represented by the Tel Aviv based law firm, Zysman,
Aharoni,
Gayer for its
Israel focused cannabis activities. www.zag-sw.com
Note: To be advised of all upcoming News Releases and shareholder
emails please go to www.kayaholdings.com
and add your email to our notification list.
About Kaya Holdings, Inc.
(www.kayaholdings.com)
Kaya Holdings, Inc. ("KAYS")
is a touch-the-plant vertically integrated legal cannabis company
operating a number of majority owned subsidiaries that retail,
cultivate, produce and distribute premium medical and recreational
cannabis products, including flower, concentrates, oils and
extracts, cannabis-infused foods and beverages, topicals and
cannaceuticals.
KAYS is a fully reporting, US-based publicly traded company, listed
for trading on the OTCQB Tier of the over-the counter market under
the symbol
OTCQB:KAYS.
KAYS
Cannabis operations are conducted under three main majority-owned
subsidiaries as further detailed below:
Marijuana
Holdings Americas, Inc. owns the Kaya Shack™ brand of licensed
medical and recreational marijuana stores (www.kayashack.com)
and the Kaya Farms™ brand of cannabis production and processing
operations that operate in the United States.
Kaya
Brands USA, Inc. owns a wide range of proprietary brands of
cannabis extracts, oils, pre-rolls, topicals, food and
beverages, cannaceuticals
and
related accessories.
Kaya
Brands International, Inc., was founded to serve as the vehicle for
the Company's non-U.S. operations including retail franchising in
Canada and cultivation activities in Greece and Israel.
Marijuana Holdings Americas, Inc.- U.S. Cannabis
Operations
Kaya Shack™ Retail Cannabis Stores
In 2014, KAYS became the first United States publicly traded
company to own and operate a Medical Marijuana Dispensary. KAYS
presently
operates
three Kaya Shack™ OLCC licensed marijuana retail stores to service
the legal medical and recreational marijuana market in
Oregon.
Kaya Farms™
Eugene, Oregon Indoor Grow, Processing &
Cannaceutical
Facility: KAYS
has developed its own proprietary Kaya Farms™ strains of cannabis,
which it grows and produces (together with edibles and other
cannabis derivatives) at its 12,000 square foot indoor grow and
cannabis manufacturing facility in Eugene, Oregon, capable of
producing approximately 1,500 pounds of premium cannabis annually,
with the capacity for expansion. The Company also plans to use the
space for production of oils, concentrates, extracts, edibles,
and cannaceuticals.
KAYS is currently conducting limited operations at the facility
pending approval transfer of the production and processing licenses
to KAYS by the Oregon Liquor Control Commission (the
"OLCC"),
the Oregon state regulating agency which regulates legal cannabis
production, processing and sale.
Lebanon, Oregon Farm & Greenhouse
Facility: KAYS
owns a 26-acre parcel in Lebanon, Linn County, Oregon which it
intends to construct a
85,000-square
foot Kaya Farms™ greenhouse cultivation and production facility. To
date KAYS has received Linn County Zoning approvals and upon
issuance of OLCC Licensing it will begin construction. The farm is
intended for immediate development and provides the Company with a
potential additional capacity of more than 100,000 pounds annually,
to be expanded once export from Oregon to other U.S. States and
foreign countries where cannabis use is legal is permitted. Kaya
Farms™ operates in accordance with a Grow Operations manual, as
well as manuals for compliance, employment matters and
safety.
Kaya Brands USA, Inc.- Brand and Product Development
The
Company maintains a genetics library of over 30 strains of cannabis
and owns a number of proprietary brands in traditional and
innovative cannabis categories including Kaya Buddies™ pre-rolls,
Really Happy Glass™ cannabis accessories, and Kaya Gear™, company
related and cannabis centric fashion. These brands are currently
available at Kaya Shack™ stores.
The
Company has made advances in the development of its
Kumba
Extracts™,
Syzygy Extracts™, Pakalolo Juice Company™ Soothe Topicals™, Tony
Giggles Pleasure Foods™ (frozen infused Italian entrees), Uptown
Shaman™ (cannaceuticals),
and Kaya Yums™
(chocolates, gummies, power bars) brands. Pending approval of our
production and processing license, KAYS intends to begin a
multi-state rollout planned in 2020 to the extent permitted by U.S.
legal infrastructure. These brands are intended for all Kaya Shack™
stores, both corporate owned and franchised.
Kaya Brands International, Inc.- Foreign Cannabis
Operations
After over
five years of conducting "touch the plant" U.S. cannabis operations
inside the strict regulatory confines of a public company, KAYS has
formed a subsidiary, Kaya Brands International, Inc.
("KBI")
to leverage its experience and expand into worldwide cannabis
markets. KBI's current operations and initiatives
include:
Canadian Franchising: KAYS
has targeted Canada for its first international sale and operation
of Kaya Shack™ cannabis store franchises. KAYS has entered into an
area representation agreement with The Franchise Academy (a leading
Canadian Franchise Development and Sales Group) to implement the
Kaya Shack™ Retail
Cannabis Store program in Canada (the only G7 country that has
legalized both medical and recreational cannabis production, sale
and use on a national level). The agreement targets 75-100 Kaya
Shack™ Cannabis Retail locations throughout Canada through a
multi-year structured rollout, subject to licensing and market
conditions.
The
Franchise Academy (http://www.franchiseacademy.ca)
and its founder Shawn Saraga,
is a member and national sponsor of the Canadian Franchise
Association. With over 15 years of industry experience and having
successfully closed over 700 franchise agreements and leases across
Canada, the Franchise Academy has the knowledge,
expertise, network and dedication to assist select franchisors
enter the Canadian market.
Additionally,
KAYS has retained Toronto, Canada based law firm of
Garfinkle Biderman,
LLP to prepare the Franchise Disclosure Documents and related items
for the sale of Kaya Shack™ cannabis store franchises in Canada. We
expect the franchise sale and placement effort throughout Canada to
progress over the next 3-24 months. KAYS plans
to
ultimately expand its franchise operations to the U.S., as
regulations and laws permit.
Kaya
Kannabis- Kaya
Farms™ Greece
KAYS has
entered into a Memorandum of Understanding ("MOU")
setting forth an agreement in principle for KBI to acquire a 50%
ownership interest in Greekkannabis,
PC ("GKC").
GKC is a recently formed Athens, Greece based cannabis company
which has applied for and is awaiting issuance of a medical
cannabis cultivation, processing and export license from the Greek
government.
The MOU
sets forth an agreement in principle, pursuant to which in
consideration for KBI providing the necessary expertise related to
cannabis cultivation, processing, brand development and other
matters, KBI will have the right to acquire a 50% ownership
interest in GKC by reimbursing GKC for 50% of its license
application costs (with allowances for KBI's expenses as well).
Consummation of the transaction contemplated by the MOU is subject
to, among other customary conditions, satisfactory completion by
KBI of its due diligence review of GKC, the drafting, execution and
delivery of definitive transaction documentation and final license
approval and issuance by the Greek government.
GKC plans
to establish its cannabis cultivation and processing facility on
land already identified outside of Athens. Project management
envisages 3 stages of development, each comprised of 125,000 square
feet of light-deprivation greenhouse cultivation. Each phase is
expected to produce 93,600 pounds of premium medical cannabis, for
an anticipated total project capacity of not less than 280,0000
pounds annually for distribution throughout Europe and other select
markets.
KAYS and
KBI are represented in Greece by the Athens based law firm
of Dalakos
Fassolis
Theofanopoulos
(https://dftlaw.gr/).
The firm has developed a long-established and well-respected
commercial legal practice and has developed a wide international
network of correspondent relationships with overseas law offices
throughout the world.
Kaya Farms™ Israel
KAYS,
through KBI is
seeking to establish a state of-the-art cannabis cultivation
facility on approximately 50 acres
of prime
agricultural land northeast
of Tel
Aviv.
Important Disclosure: KAYS
is planning execution of its stated business objectives in
accordance with current understanding of state and local laws and
federal enforcement policies and priorities as it relates to
marijuana. Potential investors and shareholders are cautioned that
KAYS and MJAI will obtain advice of counsel prior to actualizing
any portion of their business plan (including but not limited to
license applications for the cultivation, distribution or sale of
marijuana products, engaging in said activities or acquiring
existing cannabis production/sales operations). Advice of counsel
with regard to specific activities of KAYS, federal, state or local
legal action or changes in federal government policy and/or state
and local laws may adversely affect business operations and
shareholder value.
Forward Looking Statements
This press
release includes statements that may constitute "forward-looking"
statements, usually containing the words "believe," "estimate,"
"project," "expect" or similar expressions. These statements are
made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements inherently involve risks and uncertainties that could
cause actual results to differ materially from the forward-looking
statements. Factors that would cause or contribute to such
differences include, but are not limited to, acceptance of the
Company's current and future products and services in the
marketplace, the ability of the Company to develop effective new
products and receive regulatory approvals of such products,
competitive factors, dependence upon third-party vendors, and other
risks detailed in the Company's periodic report filings with the
Securities and Exchange Commission. By making these forward-looking
statements, the Company undertakes no obligation to update these
statements for revisions or changes after the date of this
release.
For more
information contact Investor Relations: 561-210-7664