HYTN Accelerates Sales Growth Through Atlantic Canada Distribution

Rhea-AI Summary

HYTN Innovations Inc. has announced the launch of its all-natural, sugar- and calorie-free sparkling cannabis beverages in Nova Scotia, marking an expansion of its distribution network across Canada. This follows a previous announcement regarding the approval for cannabis sales to authorized retailers. CEO Elliot McKerr emphasized the significance of this expansion for achieving a targeted 25% market penetration rate by end of 2022, as Nova Scotia offers additional points of sale. The company currently distributes its products to over 520 retailers in Canada.

Positive

• Expansion into Nova Scotia increases distribution points, supporting growth strategy.
• Proprietary Elevation Technology enhances product performance, potentially attracting more consumers.
• Targeting a 25% market penetration rate by end of 2022 indicates aggressive growth objectives.

Negative

• Dependence on consumer adoption rates in a competitive beverage market poses risks.
• Potential challenges in achieving projected market penetration amidst competitive pressures.

VANCOUVER, British Columbia, May 11, 2022 (GLOBE NEWSWIRE) -- HYTN Innovations Inc. (“HYTN” or the “Company”) (CSE: HYTN, OTC: HYTNF, FRA: 85W0) is pleased to announce that its all-natural, sugar and calorie free, sparkling cannabis beverages are now available for sale in Nova Scotia, expanding the brand’s distribution across Canada to British Columbia, Alberta, Saskatchewan, Ontario and Quebec. This news follows the company’s February 22 news release announcing “Approval for the Sale of Cannabis to Provincially and Territorially Authorized Retailers”.

Nova Scotia represents significant incremental points of sale for HYTN products, which feature their proprietary Elevation Technology and are produced at the Company’s wholly-owned, purpose-built, cannabis processing facility in Kelowna, British Columbia.

“We’re excited to see the continued growth of HYTN products across Canada,” noted HYTN CEO, Elliot McKerr. Mr. McKerr added, “The Atlantic regions continue to demonstrate excellent cannabis adoption and per capita consumption rates. We’re thrilled for consumers to now have access to our rapid onset and great tasting cannabis beverages. Opening the market in Nova Scotia strengthens our market position and is expected to contribute to our stated goal of a 25% market penetration rate by the end of 2022.”

As of April 1, 2022, there are a reported 3,138 licensed cannabis retailers in Canada, with HYTN reporting distribution in over 520 licensed locations.

HYTN also notes that the Nova Scotia listings for its sparkling cannabis beverages were achieved at a time when the Nova Scotia Liquor Corporation (the “NSLC”) was actively evaluating listings within the beverage category. “This milestone is the result of our focus on crafting the highest quality, best-performing cannabis products,” noted Jason Broome, COO, HYTN. “Our Elevation Technology allows us to produce rapid and consistent effects, in a sugar- and sweetener- free formulation that tastes great. We believe the quality of our product sets us apart from the field and will allow us to continue to grow as the category becomes more competitive.”

A complete store list from NSLC can be found at www.mynslc.com, while customers can also search for existing HYTN retail locations by clicking 'where to buy' at www.hytn.life.

Please visit www.hytn.life for more information or contact:

Elliot McKerr, Chief Executive Officer
1.866.590.9289

HYTN Investor Relations
1.866.590.9289
investments@hytn.life

The Canadian Securities Exchange (CSE) has not reviewed, approved, or disapproved the contents of this press release.

Certain information contained herein may constitute forward-looking statements that involve risks and uncertainties. Readers are cautioned not to place undue reliance on forward-looking statements, including, but not limited to, statements regarding: (i) opening the market in Nova Scotia contributing to the Company’s stated goal of a 25% market penetration rate by the end of 2022; and (ii) the quality of the Company’s product allowing the Company to continue to grow as the beverage category becomes more competitive. Factors that could cause actual results to vary from forward-looking statements or may affect the operations, performance, development and results of the Company’s business include, among other things: the Company's ability to generate sufficient cash flow from operations to meet its current and future obligations; the Company's ability to access sources of debt and equity capital; competitive factors, pricing pressures and supply and demand in the Company’s industry; general economic and business conditions; and the effects and impacts of the COVID-19 pandemic, the extent and duration of which are uncertain at this time, on the Company's business and general economic and business conditions and markets. Any statements that are not statements of historical fact are deemed to be forward-looking statements. The forward-looking statements contained in this news release are made as of the date of this news release, and, except to the extent required by applicable law, the Company assumes no obligation to update or revise forward-looking statements made herein or otherwise, whether as a result of new information, future events, or otherwise. The forward-looking statements contained in this news release are expressly qualified by this cautionary note.

FAQ

What recent announcement did HYTN Innovations Inc. make regarding its products?

HYTN announced the launch of its sugar- and calorie-free sparkling cannabis beverages in Nova Scotia, expanding its distribution across Canada.

How many retail locations carry HYTN products?

HYTN products are currently available in over 520 licensed retail locations across Canada.

What is HYTN's market penetration goal for 2022?

HYTN aims to achieve a 25% market penetration rate by the end of 2022.

What technology does HYTN use in its beverages?

HYTN employs proprietary Elevation Technology to enhance product effectiveness and consumer experience.

What are the potential risks mentioned in HYTN's press release?

Risks include reliance on consumer adoption and challenges in achieving market penetration due to competitive pressures.