New Subsidiary Facilitates Cross-channel Opportunity to Distribute
its Products in all 50 States through Sales of Hemp-based CBD
CHICAGO--(BUSINESS WIRE)--
Cresco
Labs (CSE:CL) (OTC:CRLBF) (“Cresco” or “the Company”), one of the
largest vertically integrated multistate cannabis operators in the
nation, today announced the formation of a new wellness subsidiary, Well
Beings, that will provide the Company the ability to expand its house of
branded products to all 50 states to potentially reach a new customer
base outside of the licensed dispensary channel. Well Beings, led by
Cresco’s Chief Experience Officer, MINIMAL principal, and former Nike
Global Creative Director Scott Wilson, will offer a full line of
high-quality hemp-based CBD wellness products eligible for national
distribution. The subsidiary will have its own unique product line and
produce CBD versions of Cresco Labs’ house of branded products including
Cresco, Remedi and Mindy’s Edibles.
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Cresco Labs new subsidiary Well Beings will have its own unique product line and produce CBD versions of Cresco Labs’ house of branded products including Cresco, Remedi and Mindy’s Edibles. (Photo: Business Wire)
“Entering the CBD industry is an obvious next step for Cresco Labs so it
can continue to build consumer trust in the quality and consistency of
our portfolio of brands across all fifty states and to reach new
customers both through and outside of the licensed dispensary channel,”
said Cresco’s CEO and co-founder Charlie Bachtell. “As the US cannabis
market is projected to expand from $10 billion to $75 billion by 2030,
hemp-derived products, including CBD, offer all consumers an opportunity
to access the natural therapeutic benefits of cannabinoid-based
products. Our wellness-focused offerings, which will include Well
Beings, Cresco, Remedi and Mindy’s, can be distributed nationwide for
retailers, grocers, nutrition stores, and online marketplaces, further
raising the awareness of cannabinoid-based products and their beneficial
properties.”
“We believe that the role of national brands is to help consumers and
patients make choices that are right for them. Cresco’s mission is to
normalize and professionalize the cannabis industry. By building brands
that help de-stigmatize, educate and build trust, we can help new and
existing consumers explore the many benefits of cannabis and
cannabinoid-based products.”
Following the recent passing of the 2018 Farm Bill legalizing CBD, the
hemp CBD market is estimated to reach $3 billion by 2020, according to
Brightfield Group, and may possibly eclipse the cannabis market over
time. Well Beings builds on Cresco’s strong history of product quality
and consistency to offer consumers trustworthy, high quality CBD-based
wellness products that will be available in ingestibles, topicals and
patches, balms, lotions and tinctures.
Combining the cannabinoid products expertise of Cresco Labs with the
design and consumer expertise from Wilson’s MINIMAL, a globally
recognized design firm, this new subsidiary will create a launching pad
for new brands and support expansion of Cresco’s leading cannabis brands
into the CBD space. Well Beings will serve an important new customer
category that can experience hemp-based products in a normalized and
de-stigmatized manner. Cresco Labs will be making a non-material
investment in this new subsidiary.
“The purpose of this new business line is to demystify and build trust
in CBD products, guiding consumers to understand the benefits of hemp
and how to incorporate CBD-based wellness products into their daily
lives,” said Wilson, who is spearheading the endeavor. “The
cross-channel, consumer-centric opportunity for Cresco to build brand
equity is transformative in the cannabis industry.”
About Cresco Labs:
Cresco Labs, based in Chicago, is a leading U.S. cannabis company with
experienced management, access to capital and a demonstrated growth
strategy. As a differentiated grower, processor and retailer of premium
cannabis operating in seven states, the company focuses on entering
highly regulated markets with outsized demand potential and high
barriers to entry. Its impressive speed-to-market gives Cresco a
distinct competitive advantage as it replicates its model to expand its
national footprint. Cresco’s proven ability to execute is complemented
by a cutting-edge brand strategy spearheaded by several of the brightest
minds in consumer marketing in the nation. Cresco’s products are
tailored to all major consumer segments: everyday cannabis, medicinally
focused, connoisseur grade, and chef inspired edibles by James Beard
Award-winning pastry chef Mindy Segal. Learn more about Cresco Labs at crescolabs.com.
Forward Looking Statements
This press release contains “forward-looking information” within the
meaning of applicable Canadian securities legislation and may also
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historical facts or information or current condition, but instead
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factors is not exhaustive. Because of these uncertainties, you should
not place undue reliance on the Company’s forward-looking statements. No
assurances are given as to the future trading price or trading volumes
of Cresco’s shares, nor as to the Company’s financial performance in
future financial periods. The Company does not intend to update any of
these factors or to publicly announce the result of any revisions to any
of the Company’s forward-looking statements contained herein, whether as
a result of new information, any future event or otherwise. Except as
otherwise indicated, this press release speaks as of the date hereof.
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View source version on businesswire.com:
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Media:
Jason Erkes, Cresco Labs
Chief Communications
Officer
press@crescolabs.com
Investors:
Aaron Miles, Cresco Labs
Vice President,
Investor Relations
investors@crescolabs.com
For general Cresco Labs inquiries:
312-929-0993
info@crescolabs.com
Source: Cresco Labs