Orchid Ventures Announces Termination and Signing of a New Licensing Agreement for Orchid Essentials in Oregon
Orchid Ventures has terminated its licensing agreement for Orchid Essentials with Orechid, LLC, and entered a new agreement with JHMR, Inc. as of March 15, 2022. Under this new deal, JHMR will pay royalties of $0.75 per cartridge and $0.50 per battery sold. The new partner must purchase all vaporizer hardware from Orchid and meet specific sales growth requirements. Orchid's management expressed confidence in the brand's growth potential under this new partnership.
- Termination of the previous licensing agreement allows for a fresh start with a new partner.
- The new licensing deal with JHMR includes favorable royalty rates for Orchid.
- JHMR's success and reputation in the industry may enhance Orchid's market position in Oregon.
- The previous licensee failed to meet growth objectives, indicating past challenges in brand management.
VANCOUVER, BC / ACCESSWIRE / March 29, 2022 / Orchid Ventures, Inc. (the "Company" or "Orchid") (CSE:ORCD)(OTC PINK:ORVRF), a multi-state cannabis innovation company, announced today it has terminated a licensing agreement for Orchid Essentials with Orechid, LLC, also known as Tine Trading Co., signed on May 11, 2020 with cause. Immediately thereafter, Orchid has entered into a new licensing deal with JHMR, Inc., also known as Nimble Distribution, signed on March 15, 2022.
Per the terms of the contract, JHMR, Inc. will pay Orchid a
"We are excited to announce that Nimble Distribution will be our new licensee for the Orchid Essentials brand in the state of Oregon. Nimble is highly respected in the industry and has had tremendous success with their KITES brand and business portfolio. Though our previous licensee was unable to deliver on growth objectives, the Orchid brand remains well positioned in the market and the opportunity to accelerate growth is significant. The leadership team at Nimble is extremely passionate about the Orchid brand, as they've been loyal customers over the years and have followed the brand's progress. They are a high growth operator in the state and we've been impressed with their leadership and the quality of their operations." said Rick Brown, President of Orchid Ventures. "We are confident that the Orchid Essentials brand will be well positioned to fully realize its growth potential under the leadership of the Nimble team."
"All of us at NIMBLE are passionate about the Orchid brand. As consumers over the years, the NIMBLE team has enjoyed Orchid products and been excited to see the brand and products in the market. NIMBLE believes that Orchid's products and technologies will be a great fit with Nimble's growth plans. The two companies have many similarities, with the same standards for excellence, a clear passion for the business and the discipline and professional leadership necessary to win. We are confident that this partnership will enable both Nimble and the Orchid Essentials brand to flourish and reach their combined potential in the Oregon market." said Joy Hudson , Founder and COO.
ABOUT JHMR, INC.
JHMR, Inc (Nimble Distribution) is an Oregon based, industry leading, cannabis product developer, manufacturer and distributor that also offers contract manufacturing and co-packing. Its underlying focus on social justice provides a unique incentive to build consumer engagement and sales.
With NIMBLE's commitment to mechanization and efficiency, the company has seen benefits to quality, consistency, and COGS while dramatically increasing production volumes.
NIMBLE launched its signature house pre roll brand, KITES, in September of 2021. KITES has grown to 70 points of distribution in its first 6 months and has donated
NIMBLE represents a catalog of indoor farms as well as product offerings beyond flower and pre-rolled cannabis to include Oshihana, a line of cannabis-infused skincare products. Plans for a premium single-packed pre-roll and an edible product, are also underway.
ABOUT ORCHID VENTURES
Orchid Ventures is a California-based cannabis innovation company that has developed a mass-market brand and loyal consumer following with its premium cannabis products and unique vape hardware delivery systems. Orchid also owns
ON BEHALF OF THE BOARD OF DIRECTORS - ORCHID VENTURES, INC.
Corey Mangold
Founder, CEO and Chairman
investors@orchidventures.com
Investor Relations
Corey Mangold
1-949-357-5818
corey@orchidventures.com
The CSE does not accept responsibility for the adequacy or accuracy of this release.
Safe Harbor Statement
Except for historical information contained herein, statements in this release may be forward-looking and made pursuant to the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate", "believe", "estimate", "expect", "intend" and similar expressions, as they relate to Orchid Ventures, Inc. and Orchid Essentials any of its affiliates or subsidiaries (collectively, the "Company") or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the Company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties, and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in the Company's Canadian securities regulatory filings with sedar.com, Factors which could cause actual results to differ materially from these forward-looking statements include such factors as (i) the development and protection of our brands and other intellectual property, (ii) the need to raise capital to meet business requirements, (iii) significant fluctuations in marketing expenses, (iv) the ability to achieve and expand significant levels of revenues, or recognize net income, from the sale of our products and services, (v) the Company's ability to conduct the business if there are changes in laws, regulations, or government policies related to cannabis, (vi) management's ability to attract and maintain qualified personnel necessary for the development and commercialization of its planned products, and (vii) other information that may be detailed from time to time in the Company's Canadian securities regulatory filings with sedar.com. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE: Orchid Ventures, Inc.
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FAQ
What is the significance of Orchid Ventures' new licensing agreement with JHMR, Inc.?
What royalties will Orchid Ventures receive under the new licensing agreement with JHMR?
Why did Orchid Ventures terminate its agreement with Orechid, LLC?
When was the new licensing agreement with JHMR, Inc. signed?
