Unveiling of Value Enhancement Strategy

Collective Signs a Letter of Intent to Acquire Phytocann Group
Halo Collective CEO Kiran Sidhu visits a Phytocann retail store in Greater Paris. (CNW Group/Halo Collective Inc.)

Halo is a leading, vertically integrated cannabis company focused on the west coast of the United States and operates other emerging businesses in CBD and non-psychotropic mushroom functional beverages. In its cannabis operations, Halo cultivates, extracts, manufactures, and distributes quality cannabis flower, oils, and concentrates and has sold hundreds of millions of grams of cannabis in the form of flower, pre-rolls, vape carts, edibles, and concentrates since inception. Halo sells a portfolio of branded cannabis products including its proprietary Hush™, Winberry Farms™, Williams Wonder Farms, and Budega™ brands, and under license agreements with Papa's Herb®, DNA Genetics, and FlowerShop*.

In Oregon, Halo has a combined 14 acres of owned and contracted outdoor and greenhouse cultivation. Halo also operates Food Concepts LLC, a master tenant of a 55,000 square foot indoor cannabis cultivation, processing, and wholesaling facility in Portland.

In California, Halo maintains licenses for extraction, manufacturing, and distribution. Halo has partnered with Green Matter and jointly purchased the Bar X Farm in Lake County and plans to develop up to 63 acres of cultivation, comprising one of the largest licensed single site grows in California. Halo has opened a dispensary in Los Angeles under the Budega™ brand in North Hollywood and plans to open two more in Hollywood, and Westwood in the second quarter of 2022.

Halo is also expanding into other consumer health and wellness categories expected to experience rapid growth in consumer demand, including functional supplements such as nootropic nutraceuticals. Halo has recently acquired H2C Beverages, a company focused on cannabinoids and non-psychotropic mushroom functional beverages and entered into a distribution and manufacturing agreement with SWAY Energy Corporation (formerly Elegance Brands Inc.), to propel the national distribution of beverages, dissolvable strips, capsules, and topical supplements under H2C and Halo's functional mushroom brand, Hushrooms. Halo has also entered into the LOI to acquire Phytocann, one of Europe's leading wellness CBD consumer packaged goods companies, that consists of vertically integrated operations from seed to sale, serving multiple market segments with value and premium brands. The Planned Acquisition will anchor Halo's strategy in which it plans to separate all of its non-THC companies, including Phytocann, into a new wholly owned subsidiary PIH.

Halo has acquired a range of software development assets, including CannPOS, Cannalift, CannaFeels, and a discrete sublingual dosing technology, Accudab. Halo intends to reorganize these entities (including their intellectual property and patent applications) into a subsidiary called Halo Tek Inc., and to complete a distribution of the shares of Halo Tek Inc. to shareholders on record, at a date to be determined.

Halo also operates three Kushbar retail cannabis stores located in Alberta, Canada.

Outside of North America, Halo is the largest shareholder of Akanda Corp. (NASDAQ: AKAN) currently owning 44% of the common shares. Akanda is an international medical cannabis and wellness platform company seeking to help people lead better lives through improved access to high quality and affordable products. Akanda is building a seed-to-patient supply chain, connecting patients in the UK and Europe with diverse products, including cannabis products cultivated at its competitively advantaged grow operation in the Kingdom of Lesotho and with other trusted third-party brands. Akanda's initial portfolio includes Bophelo Bioscience & Wellness, a GACP qualified cultivation campus in the Kingdom of Lesotho in Southern Africa, and CanMart, a UK-based fully licensed pharmaceutical importer and distributor which supplies pharmacies and clinics within the UK. In April 2022, Akanda entered into a definitive agreement to acquire Holigen Limited, securing a cannabis sector leadership position in Europe, the Middle East and Africa (EMEA) with EU GMP market access.

For further information regarding Halo, see Halo's disclosure documents on SEDAR at www.sedar.com.

  • www.haloco.com (CNW Group/Halo Collective Inc.)