CHARLOTTES WEB HLDGS INC - CWBHF STOCK NEWS

Charlotte's Web Holdings, Inc. (CWBHF) announced the launch of ReCreate™, a new brand focused on young wellness seekers, particularly Millennials and GenZers. The brand features NSF-certified, broad-spectrum CBD products aimed at enhancing self-care and mental well-being. This initiative is part of a strategic expansion into lifestyle verticals, capitalizing on the growing CBD market, which attracts approximately 47% of its consumers from the younger demographics. The products will be marketed in association with Major League Baseball (MLB) through various media platforms and events. Key early retail partnerships include Fresh Thyme and Vitamin Shoppe. The ReCreate brand aims to combine hemp extract benefits with functional botanicals, promoting wellness practices aligned with consumer trends that emphasize holistic health.

Charlotte's Web Holdings has formed a Joint Venture (JV) with AJNA BioSciences, funded by a $10 million investment from British American Tobacco (BAT), which acquires a 20% stake. Each party, including Charlotte's Web and AJNA, holds 40% voting rights. The JV aims to develop a novel botanical drug targeting neurological conditions and plans to file an Investigational New Drug (IND) application with the FDA in 2023. Dr. Orrin Devinsky will lead the clinical strategy and development. This collaboration allows Charlotte's Web to leverage its proprietary hemp genetics and clinical data for drug development, aiming to offer alternatives to current neurological treatments.

Charlotte's Web has formed a joint venture (JV) with AJNA BioSciences, backed by British American Tobacco (BAT), which has invested US$10 million for a 20% stake in the JV. Both Charlotte's Web and AJNA will each hold 40%. The JV aims to develop a novel botanical drug targeting neurological conditions, leveraging proprietary hemp genetics from Charlotte's Web. The project will seek FDA approval, with plans for an Investigational New Drug application and Phase I clinical development to commence in 2023. Dr. Orrin Devinsky, a respected neurologist, will lead the clinical strategy. The JV represents an opportunity for Charlotte's Web to monetize its intellectual property while advancing innovative medical solutions.

Charlotte's Web Holdings (CWBHF) has appointed Andrew Shafer as Chief Marketing Officer. With over 20 years of experience, Shafer has previously led marketing at Verizon, where he developed brand strategies and increased customer engagement. His new role will focus on enhancing marketing initiatives across traditional retail and digital platforms, particularly in partnership with Major League Baseball. CEO Jacques Tortoroli expresses confidence in Shafer's ability to drive brand growth. The company, known for its CBD wellness products, aims to leverage Shafer's expertise to expand its market presence and enhance customer interaction.

Charlotte's Web Holdings reported a significant 28% reduction in 12-month operating expenses and a net cash position of $67 million as of December 31, 2022. The company experienced a 23.8% year-over-year decline in fourth-quarter revenue to $18.9 million, primarily due to lower retail and online sales. Despite lower revenue, operating loss improved to $32 million from $118 million in Q4 2021. The company secured a $56.8 million investment from British American Tobacco and became the Official CBD of Major League Baseball. The firm is focusing on international expansion, regulatory engagement, and new product launches.

Charlotte's Web Holdings reported its Q4 and full-year 2022 financial results, revealing a consolidated revenue of $18.9 million for Q4, down 23.8% year-over-year. The company achieved a 28% reduction in operating expenses, resulting in a net loss of $35.2 million, improved from $118.2 million in Q4 2021. Significant developments included a $56.8 million investment from British American Tobacco and the designation as the Official CBD of Major League Baseball. The cash balance stood at $67 million at year-end 2022, and a strategic alliance with Tilray for Canadian distribution was announced.

Charlotte's Web Holdings, Inc. (CWBHF) has appointed Jonathan P. Atwood to its Board of Directors, expanding the board to six members. Mr. Atwood, with extensive experience in the Consumer Packaged Goods sector, has held senior roles at British American Tobacco, Unilever, Reynolds American, and Kraft Foods. His recent position at BAT focused on communications strategies that align with corporate sustainability goals. This appointment is expected to bolster Charlotte's Web's international and sustainability objectives, as stated by Chairman John Held. The company remains a leader in CBD products and is the only publicly traded CBD B-Corp certified entity.

Charlotte's Web Holdings, Inc. (CWBHF) will announce its fourth-quarter and year-end financial results on March 23, 2023, prior to market opening. An earnings conference call is scheduled for 11:00 a.m. ET on the same day. Interested participants can register online for a callback, join via phone, or access a live webcast. The earnings call replay will be available until March 30, 2023, allowing investors to review the results later. Charlotte's Web is a leader in the CBD market, known for its innovative hemp extract wellness products.

On March 8, 2023, Charlotte's Web Holdings appointed Dr. Marcel Bonn-Miller as Chief Scientific Officer. Dr. Bonn-Miller brings over 20 years of experience in cannabinoid research, previously serving as VP at Canopy Growth. In his new role, he will lead R&D for product development and regulatory support, enhancing existing safety data and interfacing with the FDA. His extensive research background includes over 150 publications and multiple patents in CBD applications for mental health. The CEO, Jacques Tortoroli, expressed confidence in Dr. Bonn-Miller's ability to advance the company's scientific and regulatory goals.