Crown Marketing Taps 100 Million Dollar Fund for Medical Marijuana
CHAPEL HILL, NC--(Marketwired - May 9, 2013) - Crown Marketing Inc. (OTCQB: CWNM) is pleased to announce that Crown has signed an agreement with a 100 million dollar fund to provide medical marijuana producers with financing for their commercial real estate needs. Crown will conduct these operations through a wholly owned subsidiary, Joint Venture Solutions Inc. ("Company").
Company management sees tremendous growth potential in financial services which cater to medical marijuana operations, for two independent reasons.
Firstly, 18 states and the District of Columbia have recently ended the prohibition of medical marijuana. As a result of this policy reversal, the Company expects a forthcoming explosion in the consumption of medical marijuana in those States. Current inefficiencies in this previously untapped market are likely to yield enormous profit margins for the relatively small number of producers who are active in the industry.
Secondly, although several States have lifted the ban on marijuana, the federal prohibition remains in place. This fissure between state and federal regulation has created a complex conflict of law issue that most mainstream banks and other lenders wish to avoid, for fear that they may face civil or criminal penalties for conspiring to break federal law.
The Company has entered into a memorandum of understanding (MOU) with one lender who controls 100 million dollars. The MOU represents a shared willingness, by and between the Company and the lender, to provide these nascent corporations with much needed loans to finance their real estate needs.
Medical Marijuana related finance operations will likely be particularly profitable for Joint Venture Solutions because Medical Marijuana industry borrowers are unable to access the traditional avenues of purchase order, mortgage based, or other financing. Due to the constraints on the number of servicers willing to support these industry professionals, the principals operating medical marijuana growth houses and dispensaries are willing to pay markedly above the market rate for basic financial services.
Joint Venture Solutions Inc. and the handful of other lenders willing to service this burgeoning industry stand to make outsized profit margins as a result.
About the Subsidiary:
Joint Venture Solutions, Inc. ("JVS" or "Company") will focus on the emerging medical marijuana industry. Over the short term, the Company will deal exclusively in financing operations relating to commercial real estate in the medical marijuana industry. Once the Company has established a secure, low-maintenance cash flow through its financing operations, it will reinvest these monies into research and development pertaining to Crown's drug delivery technology and potential uses in the medical marijuana industry. Cannabinoids and cannabidiol, or CBD's function similarly to THC, but without a psychotropic effect.
The Company intends to research the effect of Crown's patented drug delivery technology on time released diffusion of CBD's on patients with a wide array of maladies.
About The Company:
The parent of the new subsidiary, Crown Marketing's Controlled Drug Delivery Technology (CDDT) holds patents for a novel controlled-release technology, harnessing the principles of chaos theory, precise mathematical formulas and the potentials of chemical diffusion characteristics.
The spectrum and reliability of pharmacokinetic profiles achievable with this technology is superior to currently marketed formulations. Its simple design allows for a high level of flexibility in matching chrono-therapeutic requirements. Cost-efficiencies in the commercial manufacturing process, when compared to other drug delivery technologies, may constitute its most important competitive advantage.
The objective of intelligent drug delivery design amounts to maximizing the percent of the time drug plasma levels are within the therapeutic range and avoiding patient exposure to potentially toxic (High) or sub-therapeutic (Low) levels.
Crown's cost-effective application of controlled delivery technologies may play a major role in the expansion of the pharmaceutical, OTC and nutraceuticals industry through our ability to improve on the performance of immediate release products in a manner tangible to manufacturers and consumers.
More information can be found at: www.crowncddt.com
This release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approvals for anticipated actions.
