Halo Labs Inc. (“Halo” or the “Company“) (NEO:HALO) is pleased to announce it has launched its edibles line in Oregon, with the introduction of three edible products including single piece chews, a gummy ten pack and a syrup based drink. The Company has commenced sales of the gummy ten packs under the Drops™ brand, with Hush single piece chews and Hush Lean Back Syrup scheduled for release in stores by mid-November. The launch of edibles is a natural extension given Halo’s expertise in manufacturing high quality cannabis extracts and oils and provides the Company with exposure to the fastest growing sector in the cannabis industry with a higher margin profile than the existing Halo product line.
”The introduction of edibles to the Halo product line creates a new stream of revenues and profits which we expect will result in impressive margins that reflect the shifting consumer demographics. Given our Company’s expertise in the extracts and concentrate industry, edibles are a natural extension of our established business
Summary of Edibles Business Update
- Halo to manufacture and distribute Hush Single Piece Soft Chews, Hush 4 oz Lean Back Syrup, and Drops™ 10-piece Gummy packs
- The initial 6000 units of Drops™ 10-piece Gummy packs have been recently distributed
- Hush Single Piece Soft Chews and Hush 4 oz Lean Back Syrup are scheduled for a mid-November launch
- New products are being developed to match changing consumer demand in line with fast growing market conditions
Halo recently initiated their edibles launch, introducing products in Oregon where the Company has already established an approximate 20% share of the wholesale concentrates market. The Company is launching two different brands with three products, Hush Single Piece Soft Chews 50 mg THC (Hush Gummy), Hush 4 oz Lean Back Syrup 1000 mg, and Drops™ 10-Piece Gummy 50 mg THC. Given the growth the fast growth of the edible’s category and Halo extensive distribution in Oregon, management anticipates that edibles will provide a meaningful boost to the current Oregon revenues.
Concentrates are the fastest growing sector in the cannabis industry encapsulating the edibles market, rapidly outpacing the growth of flower. According to a new report by BDS Analytics, the trending shift toward consumables will continue over the next five years, with flower’s share of total spending dropping from 50% in 2017 to just 36% in 2022. Edibles is forecasted to grow from 12% to 14% in that time frame. This growing demand for edibles compliments the consumer benefits of longer shelf life, easy to use and monitor dosing, easy to travel with, and discrete consumption; along with the manufacturing benefits of being efficient to mass produce, ability to generate unique designs, existing support of confectionary industry, and higher profit margins. Developing a line of edible products will generate higher overall margins for Halo while requiring nearly no infrastructure changes, making the move into the edible cannabis category seamlessly.
“The introduction of edibles to the Halo product line creates a new stream of revenues and profits which we expect will result in impressive margins that reflect the shifting consumer demographics. Given our Company’s expertise in the extracts and concentrate industry, edibles are a natural extension of our established business,” said Kiran Sidhu, Halo’s Chief Executive Office.
Halo is a cannabis extraction company that develops and manufactures quality cannabis oils and concentrates, which are the fastest growing segments in the cannabis industry. Founded in Oregon in 2016, Halo has expertise in all major cannabis manufacturing processes, leveraging proprietary processes and products, and has produced over 2.7M grams of oils and concentrates since inception. The forward-thinking company is led by a strong management team with deep industry knowledge and blue-chip experience. The Company is currently expanding its operations with new facilities in Nevada and California. With a consumer-centric focus, Halo will continue to market innovative branded and private label products across multiple product categories.
For further information regarding Halo, see Halo’s disclosure documents on SEDAR at www.sedar.com.
Investors are cautioned that, except as disclosed in the information circular prepared in connection with the Transaction or this news release, any information released or received with respect to the Transaction may not be accurate or complete and should not be relied upon. Trading in the securities of Halo should be considered highly speculative.
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”.
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, level of activity, performance or achievements of Halo 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. 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.