Ionic Brands Corp. Signs Letter of Intent for the Purchase of Assets from The Extraction Lab (EXA)
TACOMA, WA / ACCESSWIRE / January 4, 2021 / IONIC BRANDS CORP. (CSE:IONC)(OTC PINK:IONKF)(FRA:1B3) ("IONIC BRANDS" or the "Company"), a regional manufacturer of innovative cannabis edibles and concentrate extract products, is pleased to announce that it has executed a Letter of Intent ("LOI") to acquire assets of Peace, Love and Elixirs, LLC. dba The Extraction Artists ("EXA"), which includes three key licenses - manufacturing, edible license designation and a hemp processing license. EXA crafts high quality concentrates and isolates using pharmaceutical grade best practices to provide the cleanest, purist experience for the consumer. EXA has spent most of its operational history in servicing the retail market directly by providing white labelling services to some of the biggest retail chains in the Oregon market.
The Company entered into an LOI to acquire EXA on December 18, 2020. Under the terms of the LOI, the companies will immediately move to a Definitive Agreement and have targeted a closing date of mid-February 2021.
Under the terms of the LOI, the Company will pay USD $600,000 to EXA at closing. Additional payment of cash and stock will be determined based on definitive documentation and payable at closing of the transaction.
Ionic Brands Chairman and CEO John P. Gorst commented, "The purchase of EXA is a pivotal and exciting step for Ionic Brands, as we will now be able to control our destiny in the still emerging market of Oregon. Additionally, owning multiple licenses and operating out of the EXA facility will allow Ionic Brands to add our popular and premium consumables brand ZOOTS to the existing portfolio of products currently offered in Oregon."
Frank Gill, CEO of EXA was quoted; "Ionic Brands has been a pleasure to work with. We built this business with blood, sweat and tears and look forward to working with them to close a mutually beneficial transaction that will allow Ionic Brands to continue and prosper in the Oregon Market. I will do everything I can do to make this transition smooth and successful." EXA is confident in Ionic Brands and believes they will continue where EXA leaves off.
About PLE, LLC (EXA)
EXA, a company that extracts and produces brand name distillate and isolate products including, Purple Punch, Oregon Lemon, Strawberry Cough, Senior Moment, Soccer Mom, Lady Illusive, as well as white label, and strain specific products. They have been operating in Oregon since 2018 and have built formidable relationships with reputable retailers and wholesalers across the state.
About IONIC BRANDS CORP.
The Company is dedicated to building a regionally based multi-state consumer-focused cannabis concentrate brand portfolio with strong roots in the premium and luxury segments of vape concentrates and edibles. The cornerstone Brand of the portfolio, IONIC, is the #3 vaporizer brand in Washington State and has aggressively expanded throughout the Pacific Northwest of the United States. The brand is currently operating in Washington and Oregon. IONIC BRANDS' strategy is to be the leader of the highest-value segments of the cannabis market.
On behalf of the Board if Directors
Chief Executive Officer & Chairman
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The CSE does not accept responsibility for the adequacy or accuracy of this release.
All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The risks are without limitations the price for cannabis and related products will remain consistent and the consumer demand remains strong; availability of financing to the Company to develop the retail locations; retention of key employees and management; changes in State and/or municipal regulations of retail operations and changes in government regulations generally. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time with the Canadian Securities Exchange, the British Columbia Securities Commission, the Ontario Securities Commission and the Alberta Securities Commission.
SOURCE: IONIC Brands Corp.
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Released January 4, 2021