Halo Collective Announces Initial Results From Red Light Oregon Market Research in Oregon Which Show High Interest in Psilocybin Services
Not for Distribution to U.S. Newswire Services or For Dissemination in the United States
All figures in USD, unless stated otherwise
Toronto, September 29, 2021 –Red Light Oregon, Inc. (“Red Light Oregon”), a 50/50 joint venture of Halo Collective Inc. (“Halo”) (NEO: HALO) (OTC: HCANF) (FSE: A9KN) and Red Light Holland Corp. (“Red Light Holland”) (CSE: TRIP) (FSE: 4YX) (OTC: TRUFF) (“Red Light Holland”), todayannounced preliminary findings from a statistically significant and representative market study of Oregon adults. The market research study (the “Market Research Study”) aimed to gather insights on the likely beneficiaries of Measure 109 and the legalization of Psilocybin Services by the Oregon Health Authority for adults in Oregon and help support the Oregon Psilocybin Advisory Board (OPAB) and health officials in making data-informed regulations.
The market research utilized an online survey with 13 questions answered by 473 Oregonians. Data Insights Platform powered the survey to ensure accurate quota sampling. Data scientist Alicia Chen analyzed the data.
Some initial data from the Market Research Study has uncovered:
- 86% of adults interested in Psilocybin Services are interested in microdosing.
- 49% of those interested in Psilocybin Services are interested in outcomes such as increasing creativity (35%), exploring their mind (29%), and exploring spirituality (29%).
- Oregonians who are not interested in Psilocybin Services because they don’t want to pay for them list their largest concern is supporting Big Pharma.
- 84% of those interested in Psilocybin Services are interested in outcomes to help with their mental health.
- While nearly half of all adults (49%) are interested in paying for Psilocybin Services, 37% of adults do not know what psilocybin is. In addition, women, people who have not completed a college degree, and Asian minorities are less likely to understand what psilocybin is.
- On average, people would like to pay around $100 for a psilocybin therapy session and approximately $50 for a microdosing session. However, there is a significant difference between those in lower-income brackets and higher-income brackets ($93 vs. $223, respectively).
- A trend shows that younger adults are more interested in microdosing than Boomers (94% Gen Z, 74% Boomers), although it did not reach statistical significance in the sample size.
Based on this data, Red Light Oregon has:
- Launched a community outreach program to educate the public and health care providers about the latest scientific research around psilocybin and the opportunities of Measure 109. Red Light Oregon will be focusing on reaching out to underserved populations, as seen in the data, which have not had the privilege to be exposed to the potential benefits of psilocybin. The program will utilize Wisdom, a VR app that explains the effects of psilocybin on the brain. You can register to receive more information on: https://redlightoregon.com/.
- Launched an advocacy program to educate the Oregon Psilocybin Advisory Board and Oregon health officials around the potential benefits of microdosing and the ability to increase the equity of Measure 109 with regulation specifically addressing microdosing, which is a lower-priced service. Red Light Oregon aims to work with Oregon authorities utilizing Red Light Oregon’s legal advisor to bridge the gap between regulations and what the people in Oregon want.
“The data Red Light Oregon has received, so far, from Oregon is showing the immediate need people have for psychedelic services to help with mental health. The data also shows many of them are interested in microdosing,” said Todd Shapiro, CEO and Director of Red Light Holland. “Measure 109 is focused on equity, and equity starts with education, which is why we have launched our community outreach program. Oregonians have also shown us their genuine concern around supporting Big Pharma and Red Light Oregon is committed to being the people’s company starting by listening to what the people want while advocating for legal access through education, information, and responsible use.”
“With 51% of adults interested in Psilocybin Services and 88% of those respondents being interested in microdosing, we believe there is a huge opportunity for a company with our shared expertise to provide the people of Oregon with the best services,” added Katie Field, Co-President of Red Light Oregon and President and Executive Director at Halo Collective.
“Psilocybin has meaningful potential to help people grow and heal, and it’s everyone’s responsibility to make sure the benefits from this natural substance are available to everyone even if they don’t make six figures. We are impressed with the OPAB’s emphasis on equity and hope this data will help them come up with recommendations that will ensure this goal. For Measure 109 to be equitable, it should also take into account the wants of the younger generation and make sure that group sessions and microdosing are clearly defined in the regulation to increase accessibility to lower-priced Psilocybin Services,” said Sarah Hashkes, Co-president of Red Light Oregon and Chief Technology and Innovation Officer of Red Light Holland.
Further data from the survey continues to be analyzed. An official report is estimated to be released to the public, the OPAB and health officials in mid-October.
Measure 109 will make Psilocybin Services available to 21 years and older in Oregon who think they can benefit from them without a need for medical diagnosis. The service must include a required prep-session, psilocybin session in a licensed facility supervised by a licensed facilitator and a possibility of an integration session. On December 31, 2022, the Oregon Health Authority will prescribe forms and regulations necessary for the exact implementation.
About Red Light Oregon
The Oregon-based company is a 50/50 joint venture of Halo Collective Inc. and Red Light Holland Corp. Red Light Oregon is developing a commercialization strategy for Psilocybin Services in Oregon utilizing a holistic approach based on the latest neuroscience research and in accordance with measure 109, which is legalizing Psilocybin Services. In addition, Red Light Oregon focuses on increasing accessibility and equity to Psilocybin Services in Oregon by promoting education, research, and accessible pricing.
About Halo Collective Inc.
Halo is a leading, vertically integrated cannabis company that cultivates, extracts, manufactures, and distributes quality cannabis flower, oils, and concentrates and has sold approximately eleven million grams of oils and concentrates since inception. The Company continues to expand its business and scale efficiently, partnering with trustworthy leaders in the industry who value Halo’s operational expertise in bringing top-tier products to market.
Halo currently operates in the United States in Oregon and California, Canada, Southern Africa in the Kingdom of Lesotho, and the United Kingdom. The Company sells cannabis products principally to dispensaries in the U.S. under its brands Hush, Mojave, and Exhale, and under license agreements with Papa’s Herb®, DNA Genetics, Terphogz, and FlowerShop*, a cannabis lifestyle and conceptual wellness brand that includes G-Eazy as a partner and key member.
As part of continued expansion and vertical integration in the U.S., Halo boasts several grow operations throughout Oregon and two planned in California. In Oregon, the Company has a combined 11 acres of owned and contracted outdoor and green house cultivation, including East Evans Creek, a six-acre grow site in Jackson County with four licenses owned and operated by Halo and two third-party licenses under contract to sell all of their product to Halo; Winberry Farms, a one-acre grow site located 30 miles outside of Eugene in Lane County with a license owned and operated by Halo; and William’s Wonder Farms, a three-acre grow site in Applegate Valley, under contract to sell all of its product to Halo pending the closing of Halo’s acquisition of its licenses and business assets. Halo has recently acquired Food Concepts LLC, a master tenant of a 55,000 sq.ft. indoor cannabis cultivation, processing, and wholesaling facility in Portland, Oregon operated by the Pistil Point entities (the “Pistil Point Acquistion”).
In California, the Company is building out Ukiah Ventures, a planned 30,000 sq. ft. indoor cannabis grow and processing facility, which will include up to an additional five acres of industrial land to expand the site. Recently, Halo partnered with Green Matter Holding in California to purchase a property in Lake County, developing up to 63 acres of cultivation, comprising one of the largest licensed single site grows in California. Halo also plans to expand its operations in California by opening three dispensaries in North Hollywood, Hollywood, and Westwood, one of which may serve as the first FlowerShop* branded dispensary.
In Canada, Halo acquired three KushBar retail cannabis stores located in Alberta as a first in its planned entry into the Canadian market, leveraging its Oregon and California brands. With the KushBar retail stores as a foundation, the Company plans to expand its foothold in Canada.
Halo has also acquired a range of software development assets, including CannPOS, Cannalift, and, more recently, CannaFeels. In addition, Halo owns the discrete sublingual dosing technology, Accudab. The Company intends to spin-off these assets and its intellectual property and patent applications into its subsidiary Halo Tek Inc. and expects to complete a distribution to shareholders on a record date to be determined by Halo.
Halo has recently announced its intention to reorganize its non-U.S. operations into a newly formed entity called Akanda Corp., whose mission will be to provide high-quality and ethically sourced medical cannabis products to patients worldwide. Akanda will seek to deliver on this promise while driving positive change in wellness, empowering individuals in Lesotho, and uplifting the quality of the lives of employees and the local communities where it operates, all while limiting its carbon footprint. Akanda will combine the scaled production capabilities of Bophelo Bioscience & Wellness Pty. Ltd., Halo’s Lesotho-based cultivation and processing campus located in the world’s first Special Economic Zone (SEZ) containing a cannabis cultivation operation, with distribution and route-to-market efficiency of Canmart Ltd., Halo’s UK-based fully approved pharmaceutical importer, and distributor that supplies pharmacies and clinics within the U.K. With a potential maximum licensed canopy area of 200 hectares (495 acres), Bophelo has scalability that is arguably unmatched in the world today.
For further information regarding Halo, see Halo’s disclosure documents on SEDAR at www.sedar.com
About Red Light Holland Corp.
The Company is an Ontario-based corporation positioning itself to engage in the production, growth and sale (through existing Smart Shops operators and an advanced e-commerce platform) of a premium brand of magic truffles to the legal, recreational market within the Netherlands, in accordance with the highest standards, in compliance with all applicable laws.
Cautionary Note Regarding Forward-Looking Information and Statements
This press release contains certain “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only Halo’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Halo’s control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or may contain statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “will continue”, “will occur” or “will be achieved”. Forward-looking information may relate to anticipated events or results including, but not limited to theprospects of Red Light Oregon and the regulatory regime in Oregon with respect to psilocybin and other psychedelics, the Company’s plans to expand in Canada and California, the expected size and capabilities of the final facility planned at Ukiah Ventures, the size of Halo’s planned cultivation facility in Northern California, the ability of Bophelo and Canmart to serve the U.K. market, the proposed spin-off with Halo Tek Inc. and Halo’s proposed plans to re-organize its non-U.S. operations via Akanda Corp.
By identifying such information and statements in this manner, Halo is alerting the reader that such information and statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such information and statements. In addition, in connection with the forward-looking information and forward-looking statements contained in this press release, Halo has made certain assumptions. Although Halo believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. Among others, the key factors that could cause actual results to differ materially from those projected in the forward-looking information and statements are the following: changes in the consumer market for cannabis products, changes in the expected outcomes of the proposed changes to Halo’s operations, delays in obtaining required licenses or approvals necessary for the build-out of Oregon operations, the proposed spin-out with Halo Tek Inc. or the proposed re-organization with Akanda Corp., delays or unforeseen costs incurred in connection with construction, the ability of competitors to scale operations in Northern California, delays or unforeseen difficulties in connection with the cultivation and harvest of Halo’s raw material, changes in general economic, business and political conditions, including changes in the financial markets; and the other risks disclosed in the Company’s annual information form dated March 31, 2021 and other disclosure documents available on the Company’s profile at www.sedar.com. Should one or more of these risks, uncertainties or other factors materialize, or should assumptions underlying the forward-looking information or statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected.
The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and Halo does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to Halo or persons acting on its behalf is expressly qualified in its entirety by this notice.