Vancouver, British Columbia–(Newsfile Corp. – April 28, 2023) – GLOBAL HEMP GROUP INC. (CSE: GHG) (OTC Pink: GBHPF) (FSE: GHG) (“GHG” or the “Company”) is pleased to announce that the Company has executed the first North American sublicense for sales and revenue generation in the United States, relating to the recently acquired exclusive license to Apollon Formularies plc’s (“Apollon”) patents and IP.
Global Hemp Group, Inc. issued a Non-Exclusive Sublicense to Medicinal One, LLC, a Florida corporation, specifically for online eCommerce sales of the Apollon Branded products including both functional mushroom and hemp-based products. This will include Apollon’s unique patent protected mushroom/hemp-based combination product line.
Under the terms of the agreement, Medicinal One will pay an in-kind up-front payment that will cover the costs of creating and hosting the eCommerce website, manufacturing the products, promoting the products through various targeted social media ad campaigns, product order fulfilment and direct shipping. In exchange for this non-exclusive sublicense, Medicinal One will pay GHG a 20% gross revenue royalty on all sales monthly. This represents a significant opportunity for GHG to generate revenue in the online eCommerce market throughout the United States where functional mushroom and hemp-based products are legal.
According to Zion Market Research, the global functional mushroom market size was evaluated at $15.3 Billion in 2022 and is slated to hit $23.3 Billion by the end of 2030 with a CAGR of nearly 10.1% between 2023 and 2030…. North America is anticipated to lead the global functional mushroom market growth over the projected timeline due to a surge in the intake of mushrooms as superfoods¹.
The manufacturer that the Company is working with to supply these products has a long history in developing and supplying hemp-based products to the market and has recently expanded into functional mushroom formulations, making them the ideal manufacturer for this project. In addition, the Company has been in discussions with this manufacturer to partner with the Company to manufacture and distribute additional Apollon products not currently covered under this non-exclusive sublicensing agreement.
“We are excited about the opportunity to work with Medicinal One, and we believe that this partnership will be beneficial for both companies,” said Stephen Barnhill, Jr, President and CEO of Global Hemp Group, Inc. “This agreement provides GHG with a platform to reach a much wider audience and generate revenue through the online sales of our Apollon branded products. We look forward to working with Medicinal One to maximize the potential of this partnership.”
Scott Markowitz, CEO of Medicinal One stated, “We are thrilled to introduce and sell the Apollon functional mushroom and hemp-based products, as well as the functional mushroom/hemp-based combination product line through our online eCommerce platform for sales and shipping throughout the United States where these products are legally allowed. The eCommerce sector has observed a significant rise in popularity as the number of people using mobile phones has increased globally in the last few years simplifying the process of online sales.”
The company also wishes to address numerous shareholders inquiries regarding the consolidation of the common shares of the Company and the expiration of the warrants trading on the CSE under the symbol GHG.WT. With respect to share consolidation, GHG has no immediate plans for a share consolidation for the foreseeable future. With respect to the expiry date of the warrants, per the CSE Policy 6.7(3)(a), terms of listed warrants cannot be amended, therefore the expiry date for this group of warrants will remain September 8, 2023.
About Global Hemp Group Inc.
Global Hemp Group Inc. (CSE: GHG) (OTC Pink: GBHPF) (FSE: GHG) is focused on developing and promoting hemp-based products that are sustainable, environmentally friendly, and have a positive impact on society. To further support and innovate, GHG has established a R&D Division to actively pursue the development of Intellectual Property that can be patented for implementation at its projects and beyond. The Division is led by Prof. Víctor M. Castaño, Ph.D. whose career has focused in the areas of applied science and technology. The R&D team is initially focused on development of Environmentally Friendly Construction Materials, Nanofertilizers and Enhanced Cannabinoid Extraction from Hemp.
For Further Information Contact Global Hemp Group
Cautionary Note Regarding Forward-Looking Statements
Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Global Hemp Group Inc., including, but not limited to, the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, dependence upon regulatory approvals, the availability of future financing and exploration risk, and the legality of cannabis and hemp. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of Page 2 of 2 preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Except as required by law, Global Hemp Group Inc. disclaims any intention and assumes no obligation to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.
The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/164058