TORONTO, ONTARIO – TheNewswire - January 6, 2022 – MPX International Corporation MPXI; MPXI; MPXOF ("MPX International", "MPXI" or the "Corporation"), a multinational diversified cannabis company, is pleased to announce that it has acquired all of the intellectual property of 11157337 Canada Corp and H12 Brands Inc. ("H12"), including several well-established brands and distribution channels pursuant to an asset purchase agreement dated November 30, 2021. The H12 business will be integrated with MPXI's wholly-owned subsidiary, Canveda Inc. ("Canveda), a license holder under the Cannabis Act (Canada)..
The acquisition of H12's intellectual property provides Canveda with several new highly recognized cannabis brands and products which are listed with the provincial boards of British Colombia, Alberta, Ontario and independent licensed distributors in Saskatchewan. The most recognizable brands are Kingsway pre-rolls which are marketed in two versions, namely "Day Shift" (Sativa) and "Night Shift" (Indica) as well as the successful Daize brand of full spectrum vapes.
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The previous business model for High 12 Brand's required a partnership with a group of licensed producers which manufactured the products under license from H12 and sold them directly to the provincial cannabis boards. High 12 was not itself a licensed cannabis producer. The acquisition by MPXI will allow its wholly owned subsidiary, Canveda Inc, a fully Health Canada License Holder to produce, market and promote the High 12 Brands directly to the boards generating much higher margins than were available to H12.
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Several new products/concepts have been developed and presented to the provincial boards including additional full spectrum vapes currently in vogue in the vape market. BC and Ontario have already accepted to list these new products. The Kingsway product line has been expanded with a new "Split Shift" concept of a multi-pack 14- unit pre-roll pack with 7 sativa and 7 indica pre-rolls. As well, the "Pennies" brand, a low-cost package of 5 soft gels has recently been introduced into BC and Alberta with a great response.
Additionally, the acquisition brought new sales and marketing talent to Canveda. Joining Canveda as Vice President of Business Development is Jaime Cahill. Jaime has spent the last two years working in the cannabis industry launching products under H12's brand portfolio in Canada and learning about the European medical cannabis market. She was previously an investment banker at National Bank after earning her MBA in Finance from Dalhousie University and a BSc in Chemistry at St. Francis Xavier University. Jaime is thrilled to be joining a passionate team at Canveda and looks forward to bringing new and innovative products to the market as the cannabis industry continues to grow.
Tanner Baines has accepted the position as Canveda's National Sales Director. Tanner has spent the past year working with retail networks to successfully launch H12 branded products across Canada. Prior to joining the cannabis industry, he managed teams and operations in the craft beer industry. With a strong background in sales, Tanner is very excited to be joining the talented team at Canveda and looks forward to expanding brand recognition and sales of Canveda's brands across the country.
"The acquisition of the High 12 Brands is a pivotal step for our Canadian recreational business. The diversity of the product selection, as well as the high-level brand recognition by consumers will allow us greater market penetration in the crowded Canadian recreational cannabis space," said Michael Arnkvarn, Chief Operating Officer, Canada of MPXI. "Additional products and brands are in development and will be announced in due course allowing Canveda to augment revenues and earnings and to stay relevant with our customers."
About MPX International Corporation
MPX International Corporation is a multinational diversified cannabis company focused on developing and operating assets across the international cannabis industry with an emphasis on cultivating, manufacturing and marketing products which include cannabinoids as their primary active ingredient. With current operations spanning five continents in Canada, Switzerland, South Africa, Malta, Australia and Thailand as well as evolving partnership and distribution opportunities in other jurisdictions, MPXI continues to position itself as an emergent global participant in the cannabis industry.
Cautionary Statement Regarding Forward-Looking Information
This news release includes certain "forward-looking statements" under applicable Canadian securities legislation that are not historical facts. Forward-looking statements involve risks, uncertainties, and other factors that could cause actual results, performance, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements in this news release include, but are not limited to, MPX International's objectives and intentions. Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties and other factors which may cause actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic and social uncertainties; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; delay or failure to receive board, shareholder or regulatory approvals; the Corporation's ability to effectively deal with the restrictions, limitations and health issues presented by the COVID-19 pandemic; future cannabis pricing; cannabis cultivation yields; costs of inputs; its ability to market products successfully to its anticipated clients; reliance on key personnel and contracted relationships with third parties; the regulatory environment in Australia, Canada, Malta, South Africa, Switzerland and other international jurisdictions; the ability to complete any future potential transactions and the terms and conditions thereof; the application of federal, state, provincial, county and municipal laws; and the impact of increasing competition; those additional risks set out in MPX International's public documents filed on SEDAR at www.sedar.com, including its audited annual consolidated financial statements for the financial years ended September 30, 2020 and 2019, and the corresponding management's discussion and analysis; and other matters discussed in this news release. Although MPX International believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except where required by law, MPX International disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
For further information about MPXI, please contact:
MPX International Corporation
W. Scott Boyes, Chairman, President and CEO
T: +1-416-840-4703
info@mpxinternationalcorp.com
or visit one our websites:
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