Flora Growth Launches Vessel in Canada; Signs Deal With Ontario Cannabis Store and Launches Vesselbrand.ca

Rhea-AI Summary

Flora Growth Corp. (NASDAQ: FLGC) announced significant progress with its Vessel brand, securing a listing with the Ontario Cannabis Store (OCS) in Canada. This partnership enables Vessel to launch two new products in the luxury battery and dry herb categories. Additionally, Vessel has launched a direct-to-consumer online store, enhancing customer access and promoting brand loyalty. The Canadian cannabis market is projected to reach CAD 5.9 billion this year, with ancillary products yielding CAD 350-$475 million. This marks Flora's first commercial entry into the Canadian market.

Positive

• Vessel brand secures a listing with Ontario Cannabis Store, increasing market presence in Canada.
• Launch of a direct-to-consumer online store enhances customer access and brand loyalty.
• Projected CAD 5.9 billion market size for Canadian cannabis, with significant ancillary product revenue potential.

Negative

• None.

FORT LAUDERDALE, Fla. & TORONTO--(BUSINESS WIRE)-- Flora Growth Corp. (NASDAQ: FLGC) (“Flora” or the “Company”), a leading all-outdoor cultivator, manufacturer, and distributor of global cannabis products and brands, announced today its Vessel brand, a leader in premium cannabis accessories, secured meaningful penetration in Canada via an approved listing on the Ontario Cannabis Store. Additionally, Vessel announced it has launched its Canadian direct-to-consumer online store, www.vesselbrand.ca to service customers directly across the country.

The Ontario Cannabis Retail Corporation, doing business as the Ontario Cannabis Store (“OCS”), is a crown agency solely owned by the Province of Ontario and provides safe, responsible access to legal recreational cannabis and ancillary products for adults 19 and older. The partnership dramatically increases Vessel’s footprint in the Canadian cannabis marketplace as the OCS launches two novel Vessel products in the luxury battery and dry herb categories.

Alongside the OCS engagement, the launch of www.vesselbrand.ca, Vessel’s Canadian direct-to-consumer site, allows the brand to make bold moves to own the customer relationship and journey. Providing customers across the country access to the full breadth of the Vessel line of products and its stand-out customer service is a crucial initiative in Flora and Vessel’s plans for global expansion and proves a model for Flora’s other House of Brands businesses.

“We’re elated about our partnership with the OCS and are looking forward to bringing the full Vessel experience to our loyal customers across Canada,” says James Choe, Flora’s Chief Strategy Officer. “Our internal estimates show the Canadian cannabis market will be around CAD 5.9 billion this year, with the ancillary category making up about $350 - $475 million. That market potential, coupled with our expectations around meaningful retail door penetration across the country, signals promising growth in this market.”

Initially launched by Founder and CEO James Choe in 2018, Vessel has a people-first approach that hinges on building highly effective teams and encouraging a collaborative spirit to create memorable experiences for the consumer. In this way, Vessel bridges the gap between lifestyle and cannabis, ultimately raising the bar across the industry. Vessel will mark the first commercial entry for Flora Growth’s product portfolio into Canada.

Vessel’s product will be available direct-to-consumer at vesselbrand.ca and at select retailers across the U.S. and Canada.

ABOUT VESSEL: Headquartered in Carlsbad, California, Vessel is powered by a mission to bridge the gap between lifestyle and cannabis, and in doing so, is raising the bar across the entire industry. Vessel is a community-led company that elevates the cannabis consumption experience with its luxury accessories including a high-end line of vape pen batteries and dry-herb accessories made with premium materials and finishes. Vessel bases its principles on what matters most: the people and the planet. Thoughtfully designed with the user experience in mind, Vessel batteries power any oil in style with details including optimized airflow technology, low-temperature settings and extra-long battery life.

About Flora Growth Corp.

Flora is building a connected, design-led collective of plant-based wellness and lifestyle brands to deliver the most compelling customer experiences in the world, one community at a time. As the operator of one of the largest outdoor cannabis cultivation facilities, Flora leverages natural, cost-effective cultivation practices to supply cannabis derivatives to its diverse business divisions of cosmetics, hemp textiles, and food and beverage. Visit www.floragrowth.com or follow @floragrowthcorp on social [media] for more information.

Cautionary Statement:

This document contains forward-looking statements. In addition, from time to time, we or our representatives may make forward-looking statements orally or in writing. We base these forward-looking statements on our expectations and projections about future events, which we derive from the information currently available to us. Such forward-looking statements relate to future events or our future performance, including: expected future revenue, integration of our recent acquisitions, expansion of our global footprint, expansion of our product offerings; our financial performance and projections; our growth in revenue and earnings; and our business prospects and opportunities. You can identify forward-looking statements by those that are not historical in nature, particularly those that use terminology such as “may,” “should,” “expects,” “anticipates,” “contemplates,” “estimates,” “believes,” “plans,” “projected,” “predicts,” “potential,” or “hopes” or the negative of these or similar terms. In evaluating these forward-looking statements, you should consider various factors, including: our ability to change the direction of the Company; our ability to keep pace with new technology and changing market needs; and the competitive environment of our business. These and other factors may cause our actual results to differ materially from any forward-looking statement. Forward-looking statements are only predictions. The forward-looking events discussed in this document and other statements made from time to time by us or our representatives may not occur, and actual events and results may differ materially and are subject to risks, uncertainties and assumptions about us. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of uncertainties and assumptions, or the forward-looking events discussed in this document and other statements made from time to time by us or our representatives not occurring, except as may be required by applicable law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220511005788/en/

Vessel PR Contact

KLG PR

Vessel@klgpr.com

Investor Relations Contact:

James Williams

James.Williams@floragrowth.com

Public Relations Contact:

Cassandra Dowell

+1 (858) 264-6600

flora@cmwmedia.com

Source: Flora Growth Corp.

FAQ

What recent achievement did Flora Growth Corp. (FLGC) secure in Canada?

Flora Growth Corp.'s Vessel brand has secured a listing with the Ontario Cannabis Store, expanding its market presence in Canada.

What products did Vessel introduce in Canada through the Ontario Cannabis Store?

Vessel introduced two new products in the luxury battery and dry herb categories through its partnership with the Ontario Cannabis Store.

What is the expected size of the Canadian cannabis market in 2023?

The Canadian cannabis market is projected to reach CAD 5.9 billion in 2023.

How does the Canadian direct-to-consumer online store benefit Flora Growth Corp.?

The online store allows Vessel to enhance customer access to its products and strengthen brand loyalty.