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MIAMI, Aug. 06, 2019 (GLOBE NEWSWIRE) -- Bhang Inc. (“Bhang” or the “Company”) (CSE: BHNG), a global cannabis house of brands with an extensive, award-winning portfolio of products, announced today that it has signed an agreement to import and distribute Bhang’s full suite of hemp-derived cannabidiol (CBD) products in key markets across Europe, with distribution into Spain, France, Italy, Belgium, Luxembourg and the U.K.
The 3-year agreement was struck with Barcelona-based CHK Solutions, a leading distributor of premier hemp and CBD products who will distribute Bhang CBD products into Spain, France, Italy, Belgium and Luxembourg. Bhang is also supplying its award-winning CBD products to Winchester MD, a UK-based online provider of CBD products. The value of the agreement will depend upon the distributor orders received. There are currently more than 15 million users of cannabis-derived products in these six European nations, according to a 2019 European Cannabis research report from Prohibition Partners Intelligence and by 2028, these countries will account for more than US$67 billion in cannabis and hemp-derived product sales.
“The Bhang brand continues to draw attention from cannabis markets around the world. As the European Union opens its doors to cannabis and hemp-derived CBD products and demand for award-winning cannabis products increases, there is a significant opportunity for Bhang to further establish its presence in the global cannabis landscape,” said Scott Van Rixel, Bhang Chairman & CEO. “We spent nine years building Bhang as a market leading brand in the U.S. and with this strategic distribution and supply agreement in place, we intend to serve these high-growth markets and position Bhang as a leading CBD player throughout Europe.”
As Bhang continues to evolve from an established, trusted, regional cannabis brand to a global player in burgeoning cannabis markets around the world, the company is leveraging its first-mover status in Europe, which is lacking any dominant brands, and has the infrastructure in place to quickly scale across countries.
“The demand for Bhang products outside of the United States has been surging for years. We receive numerous inquiries each week from potential distribution partners but our team has been very selective and strategic around who we let represent us in different markets around the globe,” added Van Rixel.
According to a European CBD and Cannabis Market 2019 Report by the Brightfield Group, a market intelligence firm for the cannabis industry, it is estimated that the current US$318 million European CBD market will boom over 400% to exceed US$1.6 Billion over the next four years.
“Our strategy in Europe is to work with only the highest quality, hemp-derived cannabidiol (CBD) products,” said Reza Mohd Ali, Business Development Manager at CHK Solutions, “Bhang is widely known in Europe as a top cannabis house of brands. The demand for Bhang products has been growing for years and finally legislation is catching up with that demand.”
While lagging behind North America in cannabis legislation, the European Union has recently made strides in broadening access to medical cannabis for its citizens. And considering the continent’s large population, high GDP and easily accessible nationalized healthcare, the Company projects that Europe will be among the most important markets for producers of cannabis-based products.
In addition, Bhang is evaluating distribution opportunities in Asia where Prohibition Partners estimates the medicinal and recreational cannabis markets could be worth over $8.5 billion by 2024.
Bhang is committed to delivering exceptional sensory experiences to consumers at every point in their cannabis journey through its award-winning portfolio of brands. Bhang is a trusted global cannabis house of brands with an extensive portfolio of over 100 cannabis, hemp-derived CBD and terpene products, including chocolates, pre-rolls, vapes, gums, beverages, gummies and mouth sprays, among others. Since 2010, Bhang has mastered the art of harnessing mutually-beneficial partnerships to bring safe, consistent and delicious products to the world. Learn more at www.bhangnation.com.
FORWARD LOOKING STATEMENTS
This press release contains statements which constitute “forward‐looking information” within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of the Company with respect to future business activities. Forward‐ looking information is often identified by the words “may,” “would,” “could,” “should,” “will,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “expect” or similar expressions and include information regarding: (i) statements regarding the future direction of the Company (ii) the ability of the Company to successfully achieve its business and financial objectives, (iii) plans for expansion of the Company into new jurisdictions, and (iv) expectations for other economic, business, and/or competitive factors. Investors are cautioned that forward‐looking information is not based on historical facts but instead reflect the Company’s management’s expectations, estimates or projections concerning the business of the Company’s future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although the Company believes that the expectations reflected in such forward‐looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements. Among the key factors that could cause actual results to differ materially from those projected in the forward‐looking information are the following: changes in general economic, business and political conditions, including changes in the financial markets; and in particular in the ability of the Company to raise debt and equity capital in the amounts and at the costs that it expects; adverse changes in the public perception of cannabis; decreases in the prevailing prices for cannabis and hemp products in the markets that the Company operates in; adverse changes in applicable laws; or adverse changes in the application or enforcement of current laws; the cannabis market is highly regulated and those regulations and enforcement priorities of governmental authorities may change; compliance with extensive government regulation and related costs; and other risks described in the Company’s Listing Statement dated July 9, 2019 and filed on www.sedar.com. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward‐looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update this forward‐looking information except as otherwise required by applicable law.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the
United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless
registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Neither the CSE nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
Scott J. Van Rixel
Chairman & CEO