Can B Corp. Closes Acquisition of Assets from Music City Botanicals to Strengthen its Vertical Processing Capabilities

Rhea-AI Summary

Can B Corp. (OTCQB:CANB) has announced the acquisition of assets from Music City Botanicals LLC valued at over a million dollars. This deal enhances Can B's operations in the cannabinoid market, particularly in isomer production. The acquisition includes equipment, inventory, and intellectual property, and will be utilized in their newly formed subsidiary, TN Botanicals, LLC. The company aims to strengthen its supply chain and diversify its product offerings, including pharmaceutical-grade CBD products, while leveraging MCB's experienced team in their growth strategy.

Positive

• Acquisition valued over a million dollars enhances production capabilities.
• New subsidiary, TN Botanicals, LLC, focuses on isomer (Delta-8, CBD, CBG) operations.
• Completes a vertical chain of custody for CBD product manufacturing.
• Acquires a skilled workforce with over 100 years combined experience in hemp processing.
• Expansion into pharmaceutical-grade CBD products increases market opportunities.

Negative

• None.

HICKSVILLE, NY / ACCESSWIRE / August 19, 2021 / Can B Corp. (OTCQB:CANB) ('CAN B' or the 'Company'), a diversified health and wellness company specializing in the development, production, and sale of products containing hemp-derived cannabinoids, is pleased to announce its acquisition of assets, including equipment, inventory and intellectual property, from Music City Botanicals LLC ('MCB'), based in Mcminville, Tennessee. The lab and equipment will be used for isomer (Delta-8- CBD- CBG) operations. The assets have been placed in CANB's newest wholly-owned subsidiary TN Botanicals, LLC, and expects to begin operations immediately.

This acquisition, along with the previously announced TWS Pharma acquisition, will make CAN B a contender to become among the leading producers of hemp-based cannabinoid products in America. The addition of Music City Botanicals assets adds additional volume in extraction, isomer lab production, and R&D into the evolving isomer market with such products a Delta-10, CBG, CBN, and CBDA. New retail products will include pharmaceutical-grade CBD and related manufactured goods. In-house labeling and packaging now available to the Company will create a chain of custody and compliance process that is uncommon in the industry.

With this acquisition, TN Botanicals is now a complete producer of high-quality CBD products using in-house extraction, distillation, isolate production, and final product fulfillment to complete a vertical chain of custody in all its products. The former MCB executive staff has over one hundred years of combined hemp processing experience in a world-class team of operators, scientist, and salespeople, many of which CAN B intends to engage. Products are manufactured under Good Management Practices, ISO 9000 compliance, and FDA inspected practices inspected. All products are tested by primary and independent third-party labs.

The transaction is valued at well over a million dollars for processing and extraction assets encompassing equipment, inventory, and intellectual property, including all of MCB's product offerings and trademarks. The Company also intends to lease MCB's current facility in Mcminville, Tennessee, and hire its seasoned and professional employees to produce and sell products under the TN Botanicals LLC division of CANB. The lab is twice the size of Can B's Miami operation and has the capacity to produce six hundred liters of quality Delta 8 and other isomers per week.

Marco Alfonsi, Can B's Chief Executive Officer, commented, “This acquisition brings us additional complementary assets that enable us to control our supply chain from biomass through end products for both retail and wholesale customers. Our previously announced acquisition of TWS Pharma assets will feed this isomer operation and provide us cost synergies and scale. CAN B is now a full-service hemp-derived cannabinoid company that can facilitate servicing the large box types as well as the boutique vape and smoke store.”

As part of the asset acquisition, CAN B retains all of the intellectual property including the branding name and retail product lines of MCB. Additionally, CAN B is acquiring a talent pool of seasoned professionals with strong national sales experience in isomer products. The pharmaceutical space will be an important part of the unique formulations that are available within the experienced laboratory staff. The resolute and knowledgeable employee base covers operations in Miami, Tennessee, Colorado, New York, and Washington.

About Can B Corp.
Can B Corp. (OTCQB:CANB) is a health & wellness company providing the highest quality hemp-derived cannabinoid products, including under its own brands of Canbiola, Seven Chakras, NuWellness, Pure Leaf Oil, and Duramed. Can B utilizes multi-channel distribution to reach consumers, including medical facilities, doctor offices, retailers, online and direct. Can B Corp. operates R&D and production facilities in Lacey, WA, and Florida. To learn more about Can B Corp. and our comprehensive line of high-quality products, please visit:Canbiola.com and www.CanBCorp.com, follow Can B Corp on Instagram and Facebook, or visit one of the 1,000+ retail outlets that carry Can B Corp. products.

For more information about Can B Corp., please visit: CanBCorp.com

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Forward-Looking Statements
Forward-looking statements and risks and uncertainties discussed in this release contain forward-looking statements. The words 'anticipate,' 'believe,' 'estimate,' 'may,' 'intend,' 'expect,' and similar expressions identify such forward-looking statements. Expected, actual results, performance, or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements contained herein. Forward-looking statements are subject to a number of risks and uncertainties, including but not limited to, risks and uncertainties associated with, among other things, the impact of economic, competitive, and other factors affecting our operations, markets, products, and performance. The matters discussed herein should not be construed in any way, shape or manner of our future financial condition or stock price. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of added information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.

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SOURCE: Can B Corp.

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FAQ

What is the value of Can B Corp.'s acquisition from Music City Botanicals?

The acquisition is valued at over a million dollars, covering equipment, inventory, and intellectual property.

What new products will Can B Corp. offer after acquiring Music City Botanicals?

Can B Corp. plans to introduce pharmaceutical-grade CBD and other cannabinoid products through its new subsidiary.

How will the acquisition impact Can B Corp.'s operations?

The acquisition will enhance Can B's production capabilities, improve supply chain control, and expand its product offerings.

What is the strategic importance of acquiring Music City Botanicals for Can B Corp.?

It positions Can B Corp. as a leading producer in the hemp-based cannabinoid market with increased operational capacity and R&D capabilities.

When was the acquisition of assets from Music City Botanicals announced?

The acquisition was announced on August 19, 2021.