DALLAS, May 14, 2019 (GLOBE NEWSWIRE) -- via OTC PR WIRE -- North American Cannabis Holdings, Inc. (USOTC:USJM) (“USMJ”) today released an update featuring the company’s Ecommerce sales growth and the pending dividend of Priority Aviation (name change pending) (PJET) (“PJET”) stock to USMJ shareholders. Both the Ecommerce growth and pending dividend are parts of USMJ’s overall transition into a cannabis logistics company. Since entering the cannabis sector in 2013 as a cannabis enterprise incubation company, USMJ has engaged in and developed a number of cannabis business operations. A leading cannabis business under USMJ’s umbrella has been its cannabis themed restaurant operations. The cannabis themed restaurant operations have resulted in the development of logistics skills. In the fourth quarter of last year, USMJ initiated a business transition to focus ongoing business development on becoming a leading cannabis sector logistics provider. This transition has been highlighted by the spinoff of the company’s AmeriCanna Cafe concept restaurant to PJET in a deal that includes an intended dividend distribution of PJET stock to USMJ shareholders. The transition has also been highlighted by the introduction of a cannabis sector Ecommerce site that features USMJ’s logistics capacity through the fulfillment of cannabis sector product sales. The update today provides the latest news and next steps on the USMJ Ecommerce business and the pending dividend of PJET stock to USMJ shareholders.
Dividend of PJET Stock To USMJ Shareholders
In the fourth quarter of last year, USMJ sold its AmeriCanna Cafe concept restaurant to PJET in a transaction that included USMJ receiving PJET stock intended for distribution to USMJ shareholders through the issuance of a dividend. PJET has exited its previous business operations. The previous PJET business operations had languished and PJET had become delinquent in its public disclosures published through OTC Markets. The initial planned step toward the dividend distribution of PJET stock to USMJ shareholders was for PJET to come current with its required OTC Markets disclosures. Coming current with OTC Markets disclosure requirements has proven to be a more time-consuming task than originally anticipated. While management continues in its effort to come current with OTC Markets disclosure requirements, management has implemented a supplemental initiative to accelerate the planned dividend distribution of PJET stock to USMJ shareholders.
USMJ and PJET management both believe the OTC Markets required disclosures provide shareholders with important information that supports investment decisions. The required disclosures are important to supporting the planned PJET dividend to USMJ shareholders. Since the process of providing the disclosure information through OTC Markets is taking longer than anticipated, and because it is difficult to control the timeframe in which the disclosures through OTC Markets will be up-to-date, PJET now plans to launch a supplemental website that will include the same information required by OTC Markets. The new PJET website is anticipated to be live by the end of next week. Following the launch of the new website, USMJ and PJET plan to immediately initiate the dividend distribution process.
The current primary initiative at PJET is to launch the AmeriCanna Cafe in Colorado in a partnership with West Coast Venture Group (“WCVC”) the owner and operator of the $3 million Colorado based Illegal Burger chain. WCVC and USMJ were featured recently by Born2Invest, a digital news organization dedicated to writing about and publishing the business and financial affairs of the world. The article, Cannabis companies set to rule the edibles market in 2019, highlights WCVC's plans with USMJ to launch a cannabis themed restaurant.
USMJ Ecommerce Sales Growth
After years of cannabis sector business incubation, USMJ transitioned late last year into focusing on cannabis sector logistics services. To demonstrate the caliber of their logistics capabilities, the company launched its www.USMJ.com Ecommerce site. Sales have been steadily growing since the launch and the product line available at www.USMJ.com continues to also grow. USMJ Ecommerce products today include Hemp4mula CBD Gum from Kali-Extracts and EVERx CBD Sports Water from Puration.
The USMJ Ecommerce site went live in the first calendar quarter of 2019. The success of www.USMJ.com sales overwhelmed PURA’s EVERx production capacity and EVERx deliveries fell behind. PURA has worked closely with USMJ’s logistics expertise to expand PURA’s production capacity. PURA has recently come current with its orders and is now prepared to stay current with demand and expand sales.
USMJ is adding new products from multiple manufactures and has already initiated development of a version 2.0 of www.USMJ.com anticipated to go live this summer. USMJ revenue over the next few quarters will reflect Ecommerce sales and legacy restaurant operation sales. Over the next few quarters, management anticipates Ecommerce revenue to represent an increasing percentage of revenue and legacy restaurant operations to represent a decreasing percentage of revenue.
To learn more visit www.USMJ.com and www.GrowUSMJ.com.
This news release contains forward-looking statements within the meaning of the Securities Litigation Reform Act. The statements reflect the Company's current views with respect to future events that involve risks and uncertainties. Among others, these risks include the expectation that any of the companies mentioned herein will achieve significant sales, the failure to meet schedule or performance requirements of the companies' contracts, the companies' liquidity position, the companies' ability to obtain new contracts, the emergence of competitors with greater financial resources and the impact of competitive pricing. In the light of these uncertainties, the forward-looking events referred to in this release might not occur. These statements have not been evaluated by the Food and Drug Administration. These products are not intended to diagnose, treat, cure, or prevent any disease.
CEO North American Cannabis Holdings, Inc.