Vancouver, British Columbia–(Newsfile Corp. – November 5, 2019) – The Yield Growth Corp. (CSE: BOSS) (OTCQB: BOSQF) (FSE: YG3) is pleased to announce that on November 4, 2019 it entered into a definitive agreement to license 126 formulas based on ancient Ayurvedic medicine to its wholly owned subsidiary Flourish Mushroom Labs for use in products infused with functional or magic mushrooms for a 50 year term.
The Yield Growth licensed formulas include skin care formulas such as face masks, body oils, creams, face oils, exfoliants, food and beverages formulas such as teas, ayurvedic herbal blend formulas, and other wellness formulas for the purpose of developing, manufacturing, marketing and selling products worldwide, excluding Canada. The formulas may be used in foods, beverages, personal care, skin care, cosmetic and other wellness products that are infused with functional mushrooms or psilocin or psilocybin (magic mushrooms) or any combination thereof.
In consideration for the non-exclusive 50 year license, Flourish Mushroom Labs has agreed to pay $3,000,000 to Yield Growth. The fee is payable as follows: $1,800,00 payable as 90 million common shares of Flourish Mushroom Labs to be issued to Yield Growth at a deemed value of $0.02 per share, which shall be subject to escrow provisions pursuant to NP 46-201. The remaining sum of $1,200,000 may be paid in cash over 24 months, but if Flourish Mushroom Labs is successful in listing its stock on a Canadian stock exchange under the symbol “MUSH”, which symbol has already been reserved, within 6 months, then $200,000 shall be deducted from the purchase price, and if a listing is achieved between 6 – 12 months, then $400,000 shall be deducted from the purchase price.
This acquisition by Flourish Mushroom Labs adds to its existing catalogue of mushroom based coffee, teas, elixirs, soups and other edibles. Flourish Mushroom Lab intends to begin commercialization of its extensive catalogue with mushroom-based soups and coffees.
“We are positioning Flourish Mushroom Labs to be a key player in the fast growing international functional mushroom market,” says Penny White, Yield Growth CEO. “Flourish Mushroom Labs also acquired the rights to infuse the products in its newly acquired formulas with psychedelic mushrooms where it’s legal to do so.”
The global functional food market is forecasted to reach USD $34.3 billion by 2024, growing at a CAGR of 8.04% during the forecast period (2019-2024), according to a report by Research and Markets.
An October 21, 2019, a press release by Fortune Business Insights entitled, “Why the Functional Mushrooms Market is set to explode,” predicts that the global functional mushrooms market will gain momentum from growing awareness of the health benefits of mushrooms. According to the report summary, functional mushrooms have several functional properties that can be utilized in the production of food products, medicines, and cosmetics. Being rich in antioxidants, they can offer skin-enhancing benefits, aid immune and digestive function, and can balance energy levels. The report anticipates growth in consumption of dietary supplements by consumers looking to remain healthy and disease free to propel the demand for functional mushrooms during the forecast years. The report also suggests rapid urbanization, changing lifestyles, and increasing per capita income will aid the growth of the global functional mushrooms market in upcoming years.
About The Yield Growth Corp.
The Yield Growth Corp. is building and operating hemp, cannabis and edible mushroom assets in what the Global Wellness Institute reports is a $4.2 trillion-dollar global wellness market. It owns the cannabis wellness brands Urban Juve, Wright & Well and Jack n Jane. The Yield Growth management team has deep experience with global brands including Johnson & Johnson, Procter & Gamble, M·A·C Cosmetics, Skechers, Best Buy and Aritzia. Its all natural hemp skincare brand, Urban Juve, has signed distribution agreements in Canada, Colombia, Brazil, Greece and Cypress and through its distributor network has access to over 8,000 retail locations. Urban Juve has been featured in UK Vogue, Vanity Fair UK and Elle Canada and has an alliance with leading online beauty community, ipsy. Yield Growth’s Wright & Well brands are launching a THC/CBD line of topical products in Oregon and a CBD from hemp topicals line in California this winter. Jack n Jane is launching cannabis products in Canada in 2020. Yield Growth is launching a line of edible mushroom wellness products in 2020.
Through its subsidiaries, Yield Growth has over 200 proprietary beauty, wellness, edibles and beverage formulas for commercialization. It had filed 12 patents to protect its extraction method and formulas. Yield Growth is in revenue through multiple streams including licensing, services and product sales.
Investor Relations Contacts:
Penny White, President & CEO
Kristina Pillon, Investor Relations
The Canadian Securities Exchange has not reviewed, approved or disapproved the content of this news release.
Cautionary Statement Regarding Forward-Looking Statements
This press release includes forward-looking information and statements (collectively, “forward looking statements”) under applicable Canadian securities legislation. Forward-looking statements are necessarily based upon a number of estimates, forecasts, beliefs and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such risks, uncertainties and factors include, but are not limited to: risks related to the development, testing, licensing, intellectual property protection, and sale of, and demand for, Urban Juve, Wright & Well, Flourish Mushroom Labs, Jack n Jane and UJ Beverages products, general business, economic, competitive, political and social uncertainties, delay or failure to receive board or regulatory approvals where applicable, and the state of the capital markets. Yield Growth cautions readers not to place undue reliance on forward-looking statements provided by Yield Growth, as such forward-looking statements are not a guarantee of future results or performance and actual results may differ materially. The forward-looking statements contained in this press release are made as of the date of this press release, and Yield Growth expressly disclaims any obligation to update or alter statements containing any forward-looking information, or the factors or assumptions underlying them, whether as a result of new information, future events or otherwise, except as required by law.