Acquisition adds near-term revenue and creates notable benefits through synergies within High Hampton's growing portfolio of subsidiaries
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES ./
TORONTO , Nov. 12, 2018 /CNW/ - High Hampton Holdings Corp. (HC.CN) (0HCN.F) ("High Hampton " or the "Company") is pleased to report that it has successfully closed the previously announced transaction to acquire 100% of all of the issued and outstanding member interests in Mojave Jane, LLC ("Mojave Jane") (the "Acquisition"). The Acquisition adds a fifth 100%-owned subsidiary to High Hampton's growing portfolio of California -based cannabis manufacturers and distributors, and, in addition to profits already generating from its other brands, is also expected to add near-term revenue to the Company's bottom line.
Mojave Jane, LLC is a California licensed manufacturer of premium cannabis extracts and concentrates for the California markets. Based in Coachella, CA , and licensed for both volatile and non-volatile manufacturing, Mojave Jane currently utilizes state of the art CO2 extraction technologies and proven distillation techniques to create products for both recreational and medical cannabis users. Mojave Jane's management team includes an accomplished group of business executives with experience in starting, growing, and selling companies, combined with hands-on commercial cannabis experience. Mojave Jane is a key part of the Coachella Valley's growing cannabis economy and supports distribution throughout California .
Under the terms of the Acquisition, all of Mojave Jane's issued and outstanding member interests were exchanged for 8,974,352 common shares of High Hampton (the "Share Exchange") with the shares being subject to escrow until certain milestone conditions are met, triggering a staggered share release. High Hampton will also commit up to US$1,100,000 to Mojave Jane for expansion of its manufacturing capacity, marketing, sales and working capital.
Christian Scovenna, Interim CEO & Director of High Hampton, commented:
"As the High Hampton family of subsidiaries grows, we are continuously strengthening our position as a strong player in the burgeoning California cannabis market. Adding Mojave Jane to our portfolio means bringing on more market expertise, cannabis products and revenue and will help us grow our share in the adult use market. We will continue to act as a key consolidator in this space adding shareholder value through both internal and external growth."
Gary Latham , a founding partner of Mojave Jane, added:
"The Partners at Mojave Jane have worked together to build a world-class manufacturing facility in Coachella to produce the kind of high quality distillate the market demands. We have succeeded at making that happen, and at navigating the complex California regulatory environment to become a viable part of California's growing cannabis economy.
Now we are ready to scale and produce quality products that meet the needs of medical and adult use markets as they take root in the legal cannabis ecosystem. High Hampton provides us with the means to scale and to more fully integrate our production capacity with High Hampton's other subsidiaries in California . In turn, Mojave Jane will deliver value to High Hampton's shareholders through near term revenue and an increased branding footprint. It's a great time to be a part of this growth with High Hampton and throughout California ."
About High Hampton Holdings Corp.
High Hampton Holdings Corp. is a cannabis sector investment company focused on opportunities in California striving to become the largest consolidator in the medicinal cannabis sector. The Company has assembled a stellar team with cannabis, capital markets, compliance, political, licensing and brands & products supply chain experience and aggressively develops its wholly owned subsidiaries toward sustainable growth and active operations:
CoachellaGro Corp., a California corporation focused on the development of a 254,000 sq ft. greenhouse facility situated in the cannabis industrial park located in Coachella, California with a valid conditional use permit (CUP) for the development of a full-service production facility in order to serve third party state licensed medicinal marijuana operators.
420 Realty, LLC has applied for multiple permits to vertically integrate in the City of Cudahy, CA ( Greater Los Angeles Area ), for a development agreement (DA) including cannabis cultivation, nursery, manufacturing, delivery, and distribution licenses on a single parcel location. 8 Points Management, LLC serves the cannabis industry with sales, marketing, transportation, and supply chain management services through its subsidiary Bravo Distro LLC. Bravo's customers include California storefront dispensaries, delivery services, and chain stores, as well as non-retail accounts of cannabis such as manufacturers, cultivators, and the emerging CBD medical market of clinics, universities, research, veterinary, and other sciences with an expanding customer base.
CALIGOLD is serving the edibles market by crafting America's finest quality "medicinal-grade" cannabis edible products combining art and science to deliver innovative creations and adhere to important industry standards in consistency, dosing accuracy, and compound formulation.
Mojave Jane, LLC is a California licensed manufacturer of premium cannabis extracts and concentrates for the California markets. Based in Coachella, CA , and licensed for both volatile and non-volatile manufacturing, Mojave Jane currently utilizes state of the art CO2 extraction technologies and proven distillation techniques to create products for both recreational and medical cannabis users.
High Hampton trades in Canada , ticker symbol HC on the CSE, and in Europe , ticker symbol 0HCN on the FSE. Neither the CSE, nor the FSE has approved nor disapproved the contents of this press release. Neither the CSE, nor the FSE accepts responsibility for the adequacy or accuracy of this release.
Marijuana Industry Involvement
Canadian listings (CSE) will remain in good standing as long as they provide the disclosure that is rightly required by regulators and complying with applicable licensing requirements and the regulatory framework enacted by the applicable state in which they operate. Marijuana is legal in certain states however marijuana remains illegal under US federal law and the approach to enforcement of US federal law against marijuana is subject to change. Shareholders and investors need to be aware that adverse enforcement actions could affect their investments and that High Hampton's ability to access private and public capital could be affected and or could not be available to support continuing operations.
On behalf of the Board of Directors
High Hampton Holdings Corp.
Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words "could", "intend", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this release contains forward-looking information relating to the intention of the parties to complete the Acquisition and certain ancillary transactions contemplated thereby. These transactions are subject to a number of material risks, and there is no assurance that they will be completed on the terms or within the timeframes currently contemplated, or at all. The forward-looking information contained in this press release is made as of the date hereof and the Company is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.
All monetary references herein refer to Canadian dollars unless otherwise specified.
None of the securities issued pursuant to the Acquisition have been or will be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and any securities issued pursuant to the Acquisition were issued in reliance upon available exemptions from such registration requirements pursuant to Rule 506(b) of Regulation D and/or Section 4(a)(2) of the U.S. Securities Act and applicable exemptions under state securities laws. In addition, the securities issued under an exemption from the registration requirements of the U.S. Securities Act are "restricted securities" as defined under Rule 144(a)(3) of the U.S. Securities Act and contain the appropriate restrictive legend as required under the U.S. Securities Act.
SOURCE High Hampton Holdings Corp.
View original content: http://www.newswire.ca/en/releases/archive/November2018/12/c7837.html