Fobi Signs $240,000 Data Consulting Agreement With Kiaro Holdings, A National Cannabis Retailer With 16 Locations And Forecasted Annual Revenue Of $42.7 Million, To Assist With Development Of Data Warehouse

Rhea-AI Summary

Fobi AI Inc. (FOBIF) has entered a data consulting agreement with Kiaro Holdings Corp., Canada's major cannabis retailer, to develop a data warehouse and analytics strategy. Kiaro anticipates annual revenues of $42.7 million from its 16 locations. This partnership aims to enhance Kiaro's operational efficiency and profitability by optimizing their sales data. The cannabis industry, valued at $20.5 billion, is expected to reach $90.4 billion by 2026, presenting significant opportunities for Fobi. This is Fobi's second major AI data consulting deal recently.

Positive

• Fobi's partnership with Kiaro enhances their market presence in the booming cannabis sector.
• Kiaro is projected to generate $42.7 million in annual revenue from its 16 retail locations, indicating strong growth potential.
• This partnership leverages Fobi's AI capabilities, positioning it to capitalize on a rapidly expanding market expected to reach $90.4 billion by 2026.

Negative

• None.

Kiaro To Leverage The Power Of Fobi Real-time Artificial Intelligence To Transform Their Approach To Cannabis Retail And Support The Company’s Rapid Growth

VANCOUVER, British Columbia, Sept. 29, 2021 (GLOBE NEWSWIRE) -- Fobi AI Inc. Inc. (FOBI:TSXV FOBIF:OTCQB) (the “Company” or “Fobi”), a global leader in providing real-time data analytics through artificial intelligence to drive customer activation and engagement, is pleased to announce the Company has entered into a data consulting agreement with Kiaro Holdings Corp. (KO:TSXV) ("Kiaro") to consult on the development of Kiaro’s data warehouse and real-time data analytics strategy. 

Kiaro is one of Canada’s largest retailers of cannabis, with 16 locations and forecasted annual revenue of $42.7 million from these locations, with further growth anticipated. Fobi will assist Kiaro in the development of a big data and operational intelligence platform by introducing the use of artificial intelligence applications and data mining techniques. Moreover, Fobi will architect and deploy its established AI & Big Data Operational Applications.

As a result of this Agreement, Kiaro will optimize and monetize its vast amounts of sales data by generating insights, analytics, and advanced audience segmentation capabilities, providing them with a market-leading competitive advantage in the fast-growing cannabis retail market, translating into maximum operational efficiency and profitability for Kiaro.

Kiaro CEO Daniel Petrov stated: “This partnership with Fobi will allow Kiaro to greatly improve its overall operational efficiencies and enable the company to benefit from enhanced data aggregation and segmentation capabilities, as Kiaro continues to execute on our scale and growth plans. With the sensitivity and importance of the large amounts of client data that can now be collected and optimized through Fobi’s AI-driven insights solution, I look forward to working with the Fobi team and advancing our internal data strategy and roadmap. As a result of this agreement, we are now well-positioned to monetize our existing data streams across the industry.”

KIARO DATA AGREEMENT SIGNIFIES INFLECTION POINT IN THE TRANSFORMATION OF THE $20.5B CANNABIS INDUSTRY WHICH IS PROJECTED TO GROW TO $90.4B BY 2026
The Cannabis Industry is ripe for disruption following a decade of siloed operational data management systems. This partnership with Kiaro will allow Fobi to demonstrate the financial value of its data analytics capabilities to the entire industry, leading to significant future opportunities within the massive and growing cannabis vertical.

Fobi CEO Rob Anson stated: “I see the cannabis industry as a very lucrative opportunity for Fobi. This agreement with Kiaro will allow Fobi to demonstrate the power of our real-time data applications and analytics to provide a disjointed and fragmented market with the technologies and strategies necessary to improve existing siloed data systems. The power of Fobi’s real-time artificial intelligence and data capabilities will be key to driving profitability and supporting the growth and scale plans of Kiaro.” 

AGREEMENT REPRESENTS THE SECOND SIGNIFICANT AI DATA CONSULTING DEAL IN A MATTER OF ONE WEEK.

On September 24th, Fobi announced a $250,000 Data Consulting Agreement with Azincourt Energy Corp. to help transform legacy, antiquated but commonly used practices in the mining and exploration sector, with the goal of helping Azincourt achieve more impactful drill holes in less time and with less cost.

With today’s Kiaro deal, Fobi’s data-centric business model is now entering the full commercialization phase with significant revenues from verticals that provide significant growth potential.

Moreover, the industry diversity of its first two data consulting clients - from energy exploration to cannabis retailing - unequivocally demonstrates that Fobi AI Data Intelligence knows no bounds.

To this end, the Company is in multiple advanced stage discussions with potential clients and expects further such agreements in 2021 and beyond.

This Press Release Is Available on the Fobi Website and the FOBI Verified Forum On AGORACOM For Shareholder Discussion And Management Engagement.

About Kiaro

Based in Vancouver, B.C., Kiaro is an independent, omnichannel cannabis retailer and distributor. Through existing storefronts across British Columbia, Saskatchewan and Ontario, and with the completion of the recent acquisition of Hemisphere Cannabis from Aegis Brands, Kiaro has 16 stores in operation and another two expected in early 2022. This is in addition to its wholesale distribution division servicing Saskatchewan, and e-commerce sites in Canada, the U.S. and Australia. Kiaro is driven to introduce new and experienced consumers to a lifelong exploration of cannabis. With more than 70 years of collective retail and wholesale focused experience, Kiaro's leadership team has a proven record of executing on acquisitions and financings, and moreover growing brands across North America. The company plans to continue its growth trajectory through its consumer-centric retail, e-commerce and wholesale distribution segments over the coming years.

 About Fobi

Fobi is a cutting-edge data intelligence company that helps our clients turn real-time data into actionable insights and personalized customer engagement to generate increased profits. Fobi’s unique IoT device has the ability to integrate seamlessly into existing infrastructure to enable data connectivity across online and on-premise platforms creating highly scalable solutions for our global clients. Fobi partners with some of the largest companies in the world to deliver best-in-class solutions and operates globally in the retail, telecom, sports & entertainment, casino gaming, and hospitality & tourism industries.

For more information, please contact:

Fobi AI Inc.		Fobi Website: www.fobi.ai
Rob Anson, CEO		Facebook: @ Fobiinc
T : +1 877-754-5336 Ext. 3		Twitter: @ Fobi_inc
E: ir@fobi.ai		LinkedIn: @ Fobiinc

This news release contains certain statements that constitute forward-looking statements or information, including statements regarding Fobi's business and technology; the ability of Fobi to engage with industry participants to achieve its goals; the development of Fobi's technology; and the viability of Fobi's business model. Such forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond Fobi's control, including the impact of general economic conditions, industry conditions, competition from other industry participants, stock market volatility, and the ability to access sufficient capital from internal and external sources. Although Fobi believes that the expectations in its forward-looking statements are reasonable, they are based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such forward-looking statements are subject to known and unknown risks, uncertainties, and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated, or implied in the forward-looking statements. As such, readers are cautioned not to place undue reliance on the forward-looking statements, as no assurance can be provided as to future results, levels of activity, or achievements. The forward-looking statements contained in this news release are made as of the date of this news release and, except as required by applicable law, Fobi does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement. Trading in the securities of Fobi should be considered highly speculative. There can be no assurance that Fobi will be able to achieve all or any of its proposed objectives.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release. 

FAQ

What is the significance of the Fobi and Kiaro partnership for FOBIF stock?

The partnership with Kiaro enhances Fobi's market position in the cannabis sector, signaling potential for increased revenues.

How much annual revenue is Kiaro expected to generate?

Kiaro is projected to generate $42.7 million in annual revenue from its operations.

What are the growth projections for the cannabis industry?

The cannabis industry is expected to grow from $20.5 billion to $90.4 billion by 2026.

What is Fobi's strategy with data consulting agreements?

Fobi aims to leverage its data analytics and AI capabilities to optimize business operations for clients across various sectors.

What other recent agreements has Fobi announced?

Prior to the Kiaro deal, Fobi announced a $250,000 Data Consulting Agreement with Azincourt Energy Corp. to improve industry practices.