VANCOUVER, British Columbia, July 05, 2018 (GLOBE NEWSWIRE) —Naturally Splendid Enterprises Ltd. (“Naturally Splendid”, “NSE” or “the Company”) (FRANKFURT:50N) (TSX-V:NSP) (OTC:NSPDF) is pleased to announce that it has completed and submitted their Dealer License Application to Health Canada for processing. The Dealer License Application is a comprehensive document that includes critical areas such as; Facility Layout and Construction Details; Standard Operating Procedures; Quality Person in Charge Selection; Criminal Record Checks; Safety Protocols; and Security Plans.
As announced in a previous news release dated February 6, 2018, the Company engaged Cannabis Compliance Inc. to prepare the Dealer License Application in order for the Company to become a Licensed Dealer of cannabis extracts under the Canadian regulatory regime. Cannabis Compliance Inc. has a 100% success record in securing Dealer License’s for their clients.
Becoming a Licensed Dealer allows the Company to pursue a number of R&D activities related to cannabis, including but not limited to the extraction, formulation and distribution of cannabinoids such as CBD (cannabidiol) and/or THC (Tetrahydrocannabinol), amongst other activities. Regulatory compliant activities include:
3) Preparation of R&D Formulations for future manufacturing
4) Resale and distribution to other licensees
5) Importing and exporting for global sales
6) Laboratory testing
7) Contract NSE services for any of the above activities
The Company has secured an additional 4,000 square feet of manufacturing space adjacent to their existing processing facility, specifically for the extraction facility as outlined in the Dealer License Application. An extensive review of extraction technologies has been completed and construction of the facility has begun.
Cannabis Compliance representative and CFO Mr. Sid Hathiraman states, “From the R&D and manufacturing perspective, Licensed Dealers are permitted to prepare formulation from cannabis whether that be from hemp or marijuana. On the other hand, Licensed Producers (“LPs”), who are the growers of medical marijuana, are limited to formulations with only carrier oils. LPs cannot add additives, e.g. flavour, stabilizer or any other ingredient that would be required to manufacture or alter the cannabis product in the form of an edible, Natural Health Products (NHPs), nutraceutical or pharmaceutical products. This is the role of the Licensed Dealer, thus creating business opportunities not available to LPs”.
According to the Prime Minister’s office, new regulations regarding hemp and marijuana in Canada, will come into effect October 2018. The new Cannabis Regulations will include provisions for Licensed Dealers to transition into the new regulatory framework as Licensed Processors. Additionally, the revised hemp regulations will allow for the extraction of CBD from hemp. Currently CBD is only allowed to be extracted from marijuana which legally limits the uses of CBD currently.
In regards to CBD extraction from hemp, the Company announced in a news release dated June 28, 2018 that it has contracted with a long established organic hemp farmer, Fresh Air Farms, located in Saskatchewan, Canada, for 330 acres of organic agricultural land to provide organic hemp production for the 2018 and 2019 growing seasons. Naturally Splendid has the right to purchase up to 100% of the organic hemp production from the 330 acres. Although, the Company initially secured the acreage for organic hemp seed production, the Company has the option to convert some or all the acreage to CBD (cannabidiol) production.
Naturally Splendid intends to expand this model of identifying organic acreage for hemp seed and/or CBD cultivation to secure additional acreage in the future. Additionally, the Company anticipates designating a portion of organic cultivation for research and development of high yielding CBD (cannabidiol) hemp.
Naturally Splendid CEO Mr. Douglas Mason states, “Securing organic acreage, obtaining our Dealer’s License and the imminent positive changes to hemp and marijuana regulations in Canada as well as a more global acceptance of cannabis allows Naturally Splendid to continue to evolve our business, and to execute our strategic plan. This allows the Company to position itself as growing global trends towards CBD have become more acceptable. Naturally Splendid intends to be at the forefront of that opportunity utilizing our IP; formulating and processing expertise; and distribution through our existing and developing distribution channels globally in jurisdictions that allow for CBD and CBD fortified products.”
Naturally Splendid Executive Vice President of Sales Mr. Alan Maddox states, “Production of our own cannabinoids such as CBD and THC is a strategic component to our vertically integrated business plan. Our recent acquisition of hemp processor ACI Foods, strengthens our efficiencies in product supply of organic hemp seed, hemp hearts, hemp oil and hemp protein into existing Company retail brands NATERA® and Chii™ while increasing our margins considerably. This acquisition allows us to go from farm to plate, a marketing and sales dream for food products. As importantly, the ability to introduce new CBD fortified products currently under development by our experienced team of formulators into multiple product categories provides competitive advantages for our retail lines. In addition, CBD fortified products under development include food and supplements, beverages, skincare & cosmetics and pet care and pet nutrition, which we plan to market through established distribution channels.”
About Cannabis Compliance Inc.
For over a decade, Cannabis Compliance Inc. (“CCI”) has offered risk mitigation, due diligence and regulatory compliance for commercial cannabis producers and resellers around the world. Their focus is in the Global market, and they provide their clients with trusted and comprehensive solutions. CCI has extensive expertise in regulatory compliance, cultivation/horticulture, security designs/tender, facility designs/build-outs, quality assurance programs, Import & Export, staff recruitment and financial planning. They have provided services to several Licensed Producers as well as ‘industry companies’, resulting in the successful granting of licenses.
About Naturally Splendid Enterprises Ltd.
Naturally Splendid is a biotechnology and consumer products company that is developing, and we are producing, commercializing, and licensing an entirely new generation of plant-derived, bioactive ingredients, nutrient dense foods, and related products. Naturally Splendid is building an expanding portfolio of patents (issued and pending) and proprietary intellectual property focused on the commercial uses of industrial hemp and non-psychoactive cannabinoid compounds in a broad spectrum of applications.
Naturally Splendid currently has four innovative divisions:
(1) BIOTECHNOLOGY – Focused on three major platforms:
- Proprietary HempOmega™ encapsulation
- Extraction and formulation with Cannabidiol (CBD)
- Hemp and plant-based proteins.
(2) CONSUMER PRODUCTS –
- NATERA® – brand of retail hemp and superfood products distributed throughout North America, Asia and Europe.
- Prosnack Natural Foods Inc. (Elevate Me™) – lifestyle brand of healthy meal replacement products distributed throughout North America.
- Chi Hemp Industries Incorporated (CHII) – e-commerce platform for natural and organic hemp products.
- PawsitiveFX® – topical pet care products.
- NATERA®CBD – retail hemp-based cannabinoid nutraceutical and cosmeceutical products distributed in Asia.
- NATERA®Skincare – brand of retail hemp based cosmeceutical products.
(3) NATERA® Ingredients – bulk ingredients including HempOmega™.
- ACI Foods is a science-based, industrial hemp seed processing business located in Abbotsford, BC. Listed as the only strictly organic hemp seed processor in North America
- Co-Packaging/Toll-Processing and Manufacturing – packaging for house-brands (NATERA®, CHII™ and Elevate Me™) and third-party partners.
For more information e-mail [email protected] or call Investor Relations at 604-673-9573
On Behalf of the Board of Directors
Mr. Douglas Mason
Naturally Splendid Enterprises Ltd.
(NSP – TSX Venture; NSPDF – OTCQB; 50N Frankfurt)
#108-19100 Airport Way
Pitt Meadows, BC, V3Y 0E2
Office: (604) 465-0548
Fax: (604) 465-1128
E-mail: [email protected]
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management’s current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. Naturally Splendid cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond Naturally Splendid’s control including, Naturally Splendid’s ability to compete with large food and beverage companies; sales of any potential products developed will be profitable; sales of shelled hemp seed will continue at existing rates or increase; customers will complete on sales contracts; and the risk that any of the potential applications may not receive all required regulatory or legal approval. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, Naturally Splendid undertakes no obligation to publicly update or revise forward-looking information.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.