Heritage Cannabis Officially Begins Sales in the Recreational Market in the State of New York

Rhea-AI Summary

Heritage Cannabis Holdings Corp. has officially commenced recreational product sales in the state of New York. The company's RAD branded vape and concentrate products are now available in New York, marking the third state where Heritage's brands are sold. The New York market is projected to be valued at over $4 billion within five years.

Positive

• Heritage has achieved its first commercial sale in New York, expanding its presence in the US market.
• The New York market is expected to be second only to the California market in the US and approximately the size of the Canadian legal market.
• Heritage plans to introduce additional RAD products and expand its product offerings with additional Heritage brands.

Negative

• None.

TORONTO--(BUSINESS WIRE)-- Heritage Cannabis Holdings Corp. (CSE: CANN) (OTCQB: HERTF) (“Heritage” or the “Company”), is pleased to announce that recreational product sales in the state of New York has officially commenced. Manufacturing of Heritage’s RAD branded vape and concentrate products began in the state during the summer, and the Company has achieved its first commercial sale in New York – Heritage’s third state where its brands are now available.

Heritage continues to target the legal markets in the US with an asset light model, and in New York has a manufacturing and distribution agreement with a local partner that produces and sells products using Heritage’s innovative formulations and flavours that the RAD brand is known for. Heritage plans to introduce additional RAD products including live resin, rosin, and infused pre-rolls, and is expanding product offerings with additional Heritage brands.

The New York market is projected to be valued at over $4 billion within five years according to Forbes and is expected to be second only to the California market in the U.S. and approximately the size of the Canadian legal market. With strong market growth projected in New York, Heritage can capture a piece of this market with our well developed, well recognized RAD branded products. Heritage launched six SKUs into the vape category with the intention of doubling that and adding SKUs in the concentrate and preroll categories by the end of Q1 2024.

“As one of the only Canadian companies selling their branded product in the United States, we are thrilled to be successfully expanding our footprint into more states and getting a foothold in the early recreational market in New York with this inaugural sale,” said David Schwede, CEO of Heritage. “The states where we are selling products offer a faster path to profitability with stronger margins than those under the Canadian model. We see enormous potential in the New York market and with these strong margins and capital efficient approach we intend to have a strong presence in the state.”

About Heritage Cannabis Holdings Corp.

Heritage Cannabis is a leading cannabis company offering innovative products to both the medical and recreational legal cannabis markets in Canada and the U.S., operating under two licensed manufacturing facilities in Canada. The company has an extensive portfolio of high-quality cannabis products under the brands Purefarma, Pura Vida, RAD, Premium 5, Thrifty, Adults Only, feelgood., the CB4 suite of medical products in Canada and ArthroCBD in the U.S.

ON BEHALF OF THE BOARD OF DIRECTORS OF HERITAGE CANNABIS HOLDINGS CORP.

“David Schwede”
David Schwede, CEO

The Canadian Securities Exchange has neither approved nor disapproved the contents of this news release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231023530953/en/

For more information contact:

Kelly Castledine

Tel: 647-660-2560

Source: Heritage Cannabis Holdings Corp.

FAQ

What products has Heritage launched in New York?

Heritage has launched RAD branded vape and concentrate products in New York.

What is the projected value of the New York market?

The New York market is projected to be valued at over $4 billion within five years.

How many states are Heritage's brands available in?

Heritage's brands are now available in three states.

What is Heritage's strategy for entering the US market?

Heritage is targeting the legal markets in the US with an asset light model and has manufacturing and distribution agreements with local partners.

What are Heritage's plans for expanding its product offerings?

Heritage plans to introduce additional RAD products including live resin, rosin, and infused pre-rolls, and expand its product offerings with additional Heritage brands.