CANNABIS WHEATON ANNOUNCES EXCLUSIVE LICENSE FOR DIXIE BRANDS
VANCOUVER, British Columbia, May 14, 2018 (GLOBE NEWSWIRE) — Cannabis Wheaton Income Corp. (TSX-V:CBW) (“Cannabis Wheaton” or the “Company”) is pleased to announce that it has entered into a definitive licensing agreement (the “Agreement”) with Dixie Brands, Inc. ( “Dixie”) pursuant to which Cannabis Wheaton will have the exclusive license to Dixie’s intellectual property, product branding and formulation methodologies related to over 100 cannabinoid-infused products (the “Dixie IP”) in Canada and Mexico (the “Territory”).
Based in Denver, Colorado, Dixie specializes in developing intellectual property related to a variety of cannabinoid-infused products ranging from beverages to pet treat supplements. Since the founding of the brand in 2009 Dixie has emerged as a leader in the U.S. cannabis industry through its quality products and education and advocacy initiatives. The Dixie IP has been used by third-party licensees to produce some of the cannabis industry’s most innovative, safe, reliable and effective cannabis products, including premium cannabinoid-infused drinks, chocolate bars, mints, tinctures, balms and bath soaks.
Pursuant to the Agreement, Dixie granted the Company an exclusive licence to use the Dixie IP, including Dixie’s proprietary formulations and preparation methods as well as the associated trademarks, in the Territory for an initial term of 10 years (the “Term”). The Agreement provides Cannabis Wheaton with an option to renew the Term for up to two additional five-year periods. The Company plans to use its license for the Dixie IP to develop, manufacture, distribute and sell Dixie-branded products in Canada and Mexico, as and when those products are permitted to be sold pursuant to applicable laws.
Hugo Alves, President of Cannabis Wheaton stated, “I have personally known the Dixie team for many years and have the utmost confidence in their people and the high-quality products that they produce. Over the past five years I have watched Dixie amass an impressive intellectual property library and we believe that their proprietary formulations and products continue to separate them from their competitors. We are eager to learn from one of the best producers of cannabis-derived products in the world and this long-term partnership cements a long-standing relationship and evidences our commitment to ensuring product diversity within our platform and mitigating margin compression through the acquisition and development of value-add IP.”
Chuck Smith, CEO of Dixie, stated, “This is an exciting time for Dixie. For nearly a decade, our team has worked passionately to develop safe, consistent, and innovative products under a brand that consumers have come to know and trust. We have worked hard with our partners to build that brand responsibly in Colorado, California, Nevada and Maryland. Now, our partnership with Cannabis Wheaton will greatly broaden the reach of Dixie’s product portfolio as they begin distribution throughout Canada and Mexico. We look forward to continuing Dixie’s standard of excellence in our expansion efforts throughout North America.”
ON BEHALF OF THE BOARD
“Chuck Rifici” Chairman & CEO
About Cannabis Wheaton
Cannabis Wheaton is a collective of entrepreneurs with a passion for the cannabis industry past, present and future. Our mandate is to facilitate growth for our partners by providing them with financial support and sharing our collective industry experience. Our partners all have different visions, voices and brand values, and all share a common goal—to build a world-class industry based on ethics, diversity, quality and innovation.
About Dixie Brands, Inc.
Located in Denver, Colorado, Dixie Brands, Inc., (Dixie) through its affiliates across the country, has been formulating and producing award-winning THC and CBD-infused products since 2009. What began as a single flagship product, the Dixie Elixir (a THC-infused soda), has now expanded to over 30 different products across over 100 SKUs, representing the industry’s finest edibles, tinctures, topicals and connoisseur grade extractions. In addition, Dixie Brands has launched two new cannabinoid product lines: Aceso, is a suite of “hemp 2.0” products designed to provide general wellness and relief from minor aches and pains as well as mild-anxiety. Therabis is a pet supplement formulated by an experienced veterinarian and designed to provide pets, and their owners, with relief from itching and mild-anxiety as well as providing greater joint mobility. To find out more about Dixie’s innovative products, or about how Dixie is building the future of cannabis, please visit us at www.dixiebrands.com.
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