| Through this partnership, Gage will be the exclusive producer, processor and retailer of KK branded products in Michigan. Gage and KK will work to develop and commercialize a product lineup that includes flower, pre-rolls, extracts, and concentrates that will be sold at Gage provisioning centers.
“We are excited to partner with Gage for our first expansion into the Midwest, and to finally release KK to my fans in Michigan,” said Wiz Khalifa. “From day one of Khalifa Kush, we have only partnered with people we align with, who focus on customer and quality over everything, and Gage is one of the best.”
“Wiz is a globally-recognized cannabis connoisseur. KK has had incredible success in other U.S. cannabis markets, establishing a brand that is synonymous with ultra-premium quality,” said Fabian Monaco, CEO of Gage. “We are confident that this partnership will allow Michigan to become a unique cannabis destination in the near future.”
The arrangement includes a grant of license to certain intellectual property to produce and sell KK branded products in Michigan, and is subject to Michigan regulatory approval. KK will consult on cultivation, distribution, branding, consumer engagement and other operating responsibilities. The initial term of the license agreement is five years on an exclusive basis.
Caution Regarding Cannabis Operations in the United States
Investors should note that there are significant legal restrictions and regulations that govern the cannabis industry in the United States. While legal in certain states, cannabis remains a Schedule I drug under the U.S. Controlled Substances Act, making it illegal under federal law in the United States to, among other things, cultivate, distribute or possess cannabis. Financial transactions involving proceeds generated by, or intended to promote, cannabis-related business activities in the United States may form the basis for prosecution under applicable U.S. federal money laundering legislation. Investors should carefully read the risk factors and disclosures contained in the offering circular prepared in connection with the Offering before making any decision to invest in the Company.
Explanatory Note Regarding the Company’s Operations
References in this news release to the Company and its operations and portfolio are inclusive of the operations and assets of certain licensed cannabis operators that operate under the Gage brand pursuant to contractual arrangements with the Company. For additional information, please refer to the Company’s long form prospectus dated March 26, 2021 and other disclosure documents available on the Company’s profile at www.sedar.com.
Forward Looking Information
This news release contains “forward-looking information” within the meaning of applicable securities laws. Forward-looking information contained in this press release may be identified by the use of words such as, “may”, “would”, “could”, “will”, “likely”, “expect”, “anticipate”, “believe, “intend”, “plan”, “forecast”, “project”, “estimate”, “outlook” and other similar expressions, and include statements with respect to future growth of the Michigan market and future product offerings of Gage. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management in light of management’s experience and perception of trends, current conditions and expected developments, as well as other factors relevant in the circumstances, including assumptions in respect of current and future market conditions, the current and future regulatory environment; and the availability of licenses, approvals and permits.
Although the Company believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because the Company can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements. Forward-looking information is subject to a variety of risks and uncertainties that could cause actual events or results to differ materially from those projected in the forward-looking information including, but not limited to, those risks disclosed in the Company’s long form prospectus dated March 26, 2021 and other disclosure documents available on the Company’s profile at www.sedar.com. The statements in this press release are made as of the date of this release. The Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
SOURCE Gage Cannabis Co.
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