Halo Labs Announces Proposed Partnership with FlowerShop and G-Eazy
TORONTO -- Halo Labs Inc. (“Halo” or the “Company”) (NEO: HALO, OTCQX: AGEEF, Germany: A9KN) and FlowerShop* are excited to announce a new partnership that will bring much-needed employment opportunities to communities during the uncertain times of the COVID-19 global crisis. Halo intends to acquire a membership interest in FlowerShop*, in which G-Eazy is a partner and key member of the company.
Halo has entered into a letter of intent (“LOI”) to acquire a 25% membership interest in Feel Better, LLC, dba FlowerShop* (“FlowerShop*”) for $1.5 million, payable primarily in Halo common shares (the “Acquisition”). Halo and FlowerShop* will also execute a licensing, manufacturing, and distribution agreement for FlowerShop* branded products.
“In the face of COVID-19, the timing to bring FlowerShop* and its mission to the market has never been more vital. Their focus on mental and physical wellness, combined with innovative direct to consumer solutions positively impact people's needs,” commented Kiran Sidhu, CEO and Co-Founder of Halo.
G-Eazy is an American rapper and producer from Oakland, CA. In addition to the success he has seen in the music industry, with multi-platinum selling hit songs, billions of song streams, and sold-out world tours -- he is very active with his investments and philanthropy work in his home state of California and beyond. He comments, "I have seen first hand the power of the plant – witnessing cannabis change my mother’s life in a very positive way. I was instantly drawn to FlowerShop* and its mission to help people feel better – and knew I wanted to take on an active role as a partner. My hope is in the midst of this pandemic – FlowerShop* will be an essential business which stimulates the economy and provides comfort and joy to people through the products we create."
- Halo will acquire 25% membership interests of FlowerShop* for total consideration of $1.5 million payable in Halo common shares, provided that up to $400,000 of the consideration may be payable in cash in four monthly installments following the closing to help support the working capital requirements of FlowerShop*
- Halo and the owners of FlowerShop* will enter into an LLC operating agreement providing Halo with approval rights over certain key decisions, as well as other customary minority investor protections
- The Halo common shares will be subject to resale restrictions under applicable securities laws, as well as volume trading restrictions for one year following the closing date. During this time FlowerShop* may only sell a number of Halo common shares equivalent to the greater of (a) 10% of the prior trading day’s total volume, or (b) 100,000.
- Halo will license, manufacture, and distribute FlowerShop* branded marijuana items, including concentrates and extracts, in California, Oregon, and Nevada, in exchange for a royalty on total gross revenue; FlowerShop* will be responsible for providing all marketing materials, design services, and product packaging
- Halo will agree to repurchase Halo common shares from FlowerShop* following the five-month anniversary of the closing date under certain circumstances to help support FlowerShop*’s working capital requirements
The proposed partnership will lead to the following estimated employment opportunities:
- 5 executive level jobs & 25 production jobs pertaining to distribution & transportation. Open positions include:
- Sales Director
- Sales Representatives
- Brand Ambassadors
- Financial Analyst
- Delivery Drivers (once Halo opens retail and in-home deliveries available)
- Retail Director
- Facility Managers
- Drivers (Transportation between facilities)
- Biomass Sourcing Lead
- Oven Techs
- VTA Techs
- Floor Lead
At this time, we encourage prospective applicants to apply for employment opportunities online at https://halocanna.com/careers/
FlowerShop* is a sensory-care company innovating in the wellness, cannabis, and lifestyle categories. Co-founders Isaac Muwaswes and Gabriel Garcia explain sensory-care as a progressive take on wellness -- creating products, experiences, content, and more -- all designed to enhance your senses. In addition to being part of G-Eazy’s creative team, they bring a wealth of knowledge and experience from a diverse set of industries including tech and marketing, where Isaac led brand development at Twitter; to fashion and retail, where Gabriel created the international cult favourite Brooklyn Circus label in addition to working with Puma and Adidas.
Together, Isaac and Gabriel saw a void in the wellness, cannabis, and lifestyle industries. They embarked on a mission to develop “A Feel Better Company” – a joyful brand experience at every level, from purchase to consumption, that exceeds the expectations of design-driven consumers who curate every aspect of their lives. By creating the first digitally native, direct to consumer platform in a space, they will disrupt the game with original content, products, and experiences focused on sustainability and multi-purpose use – ultimately encouraging acts of giving, spontaneity, and love – and helping the world to FEEL BETTER.
About Halo Labs
Halo is a leading cannabis cultivation, manufacturing, and distribution company that grows, extracts, and processes quality cannabis flower, oils, and concentrates. Halo sold over 5 million grams of oils and concentrates since inception and has continued to evolve its business through delivering value with its products. Via verticalization, Halo has expanded in key markets in the United States and Africa with planned expansion into European and Canadian markets. With a consumer-centric focus, Halo markets innovative, branded, and private label products across multiple product categories.
Recently, Halo entered into binding agreements to acquire one dispensary in Los Angeles, three KushBar branded dispensaries, five development permits in Alberta Canada, and Canmart Limited which holds wholesale distribution and special licenses allowing the import and distribution of cannabis-based products for medicinal use (CBPM’s) in the United Kingdom. Halo is led by a strong, diverse management team with deep industry knowledge and blue-chip experience. The Company is currently operating in the United States in California, Oregon, and Nevada while having an international presence in Lesotho within a planned 200+ hectare cultivation zone via Bophelo as well as planned importation and distribution in the United Kingdom via Canmart.
For further information regarding Halo, see Halo’s disclosure documents on SEDAR at www.sedar.com.
Cautionary Note Regarding Forward-Looking Information and Statements
This press release contains certain "forward-looking information" within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only Halo’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Halo’s control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved". The forward-looking information and forward-looking statements contained herein include, but are not limited to, statements regarding the acquisition of an equity interest in FlowerShop*, as well as collaboration with G-Eazy.
By identifying such information and statements in this manner, Halo is alerting the reader that such information and statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such information and statements. In addition, in connection with the forward-looking information and forward-looking statements contained in this press release, Halo has made certain assumptions. Although Halo believes that the assumptions and factors used in the preparation of, and the expectations contained in, the forward-looking information and statements are reasonable, do not place undue reliance on such information and statements. No assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and Halo does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to Halo or persons acting on its behalf is expressly qualified in its entirety by this notice.