CBD Life Sciences, Inc. Expands Footprint With Proposed Strategic Acquisition of Interest in Two New York Cannabis Dispensaries

Rhea-AI Summary

CBD Life Sciences (OTC PINK:CBDL) is in advanced discussions to acquire a strategic minority interest in two state-licensed cannabis dispensaries in Upstate New York and Long Island. The targeted acquisitions have an estimated business value of $14 million. The Upstate New York dispensary is projected to open by November 1, 2024, with the Long Island location following in early 2025.

This strategic move aims to capture a share of New York's legal cannabis market, expected to exceed $4.2 billion by 2027. The company anticipates a 20% increase in annual revenue by the end of the first year of operations and a 15% increase in EBITDA following the dispensary openings. This expansion aligns with CBDL's growth strategy, focusing on key markets, revenue growth, and enhanced profitability.

Positive

• Strategic acquisition of minority interest in two New York cannabis dispensaries with $14 million estimated business value
• Projected 20% increase in annual revenue by the end of the first year of operations
• Anticipated 15% increase in EBITDA following dispensary openings
• Expansion into New York's legal cannabis market, expected to exceed $4.2 billion by 2027

Negative

• Potential financial strain due to acquisition costs
• Delayed revenue impact as Long Island location not expected to open until early 2025
• Minority interest may limit control over dispensary operations and decision-making

News Market Reaction

+12.50%

1 alert

+12.50% News Effect

On the day this news was published, CBDL gained 12.50%, reflecting a significant positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

The targeted acquisitions are estimated to have a business value of approximately $14 million

SCOTTSDALE, AZ / ACCESSWIRE / August 27, 2024 / CBD Life Sciences, Inc. (OTC PINK:CBDL), a leading innovator in the CBD industry, is pleased to announce that the company is in advanced discussions to acquire a strategic minority interest in two state-licensed cannabis dispensaries located in Upstate New York and Long Island.

This acquisition represents a significant growth milestone for CBD Life Sciences, Inc. as the company continues to expand its presence in the rapidly growing cannabis market. The dispensary in Upstate New York is projected to open its doors by November 1, 2024, with the Long Island location expected to follow in early 2025.

Strategic Expansion for Increased Market Penetration
With the legal cannabis market in New York expected to exceed $4.2 billion by 2027, this strategic acquisition positions CBD Life Sciences, Inc. to capture a substantial share of this lucrative market. The company's investment in these dispensaries is anticipated to generate significant revenue growth, with projections indicating a potential increase of 20% in annual revenue by the end of the first year of operations.

Strengthening Investor Confidence
CBD Life Sciences, Inc. has consistently demonstrated its commitment to delivering value to its shareholders. The acquisition aligns with the company's growth strategy, which focuses on expanding its footprint in key markets, increasing revenue streams, and enhancing profitability. With an anticipated 15% increase in EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) following the dispensary openings, the company is well positioned to deliver sustainable returns to its investors.

Leadership's Vision
"Our expansion into the New York cannabis market marks a pivotal moment for CBD Life Sciences, Inc.," said Lisa Nelson, President, and CEO of CBDL. "We are excited about the potential these dispensaries bring, not only in terms of revenue growth but also in solidifying our position as a key player in the cannabis industry. Our commitment to our investors remains our top priority, and we believe this acquisition will drive significant value in the coming years."

About CBD Life Sciences, Inc.
The CBD Vault Inc. is a wholly owned subsidiary of CBD Life Sciences Inc. The CBD Vault has developed and is retailing/wholesale a full line of cannabidiol based & organic products including, Delta 8 & 10 Gummy's, Full Spectrum Tinctures & Gummy's, Pain Cream, Roll-on's, Salve, Full Pet Line, Pre-Rolls, Full Line of Spa Products, Sleep & Anxiety Edibles. The CBD Vault's products can be viewed and purchased on the Company's website www.thecbdvault.com.

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Forward-Looking Statements
Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements. Actual results may differ materially from those described in forward-looking statements and are subject to risks and uncertainties. See CBD Life Sciences, Inc's, Inc.'s filings with OTC Markets, which may identify specific factors that may cause actual results or events to differ materially from those described in the forward-looking statements.

Safe Harbor Statement
This release includes forward-looking statements, which are based on certain assumptions and reflects management's current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Some of these factors include: general global economic conditions; general industry and market conditions, sector changes and growth rates; uncertainty as to whether our strategies and business plans will yield the expected benefits; increasing competition; availability and cost of capital; the ability to identify and develop and achieve commercial success; the level of expenditures necessary to maintain and improve the quality of services; changes in the economy; changes in laws and regulations, including codes and standards, intellectual property rights, and tax matters; or other matters not anticipated; our ability to secure and maintain strategic relationships and distribution agreements. The Company disclaims any intention or obligation to update or revise any forward-looking ability to secure and maintain strategic relationships and distribution agreements. The Company disclaims any intention or obligation to update or revise any forward-looking statements.

Contact Information
Lisa Nelson
CEO
cbdvaultaz@gmail.com
4802091720

Related Images

SOURCE: CBD Life Sciences Inc.

View the original press release on accesswire.com

FAQ

What is CBD Life Sciences (CBDL) acquiring in New York?

CBD Life Sciences (CBDL) is in advanced discussions to acquire a strategic minority interest in two state-licensed cannabis dispensaries located in Upstate New York and Long Island.

When are the CBDL-acquired dispensaries expected to open?

The Upstate New York dispensary is projected to open by November 1, 2024, while the Long Island location is expected to open in early 2025.

What is the estimated business value of CBDL's targeted acquisitions?

The targeted acquisitions of the two New York cannabis dispensaries are estimated to have a business value of approximately $14 million.

How much is CBDL's annual revenue expected to increase from these acquisitions?

CBD Life Sciences (CBDL) anticipates a 20% increase in annual revenue by the end of the first year of operations following the dispensary acquisitions.