Virtual Medical International, Inc. Expands Its Hemp Cultivation and CBD Processing

Rhea-AI Summary

Virtual Medical International (OTC: QEBR) announced its acquisition of Cherry Valley Growers, securing a 400-acre hemp cultivation and processing site in New York for $2 million in cash. This move is a strategic expansion in the hemp-derived CBD sector following a distribution agreement with Cannonau Corp. Additionally, QEBR is purchasing an 11,560 sq. ft. warehouse in East Syracuse to enhance its production capabilities. The company aims to create a vertically integrated CBD business model through its subsidiary, Amsterdam Café, while renewing its CBD extraction license with state authorities.

Positive

• Acquisition of Cherry Valley Growers enhances hemp cultivation capacity.
• Strategic purchase of a warehouse supports future production expansion.
• Renewal of CBD Extraction and Manufacturing License could boost operations.

Negative

• Acquisition financed through debt may increase financial risk.
• Dependence on regulatory approvals for license renewals poses potential business risks.

LAS VEGAS, May 14, 2021 /PRNewswire/ -- Virtual Medical International, Inc. (OTC: QEBR), a Wellness company in the hemp-derived CBD sector, announced today its agreement to acquire Cherry Valley Growers, Inc, an industrial hemp cultivator and processor with a 400-acre parcel located in Otsego County, New York. This acquisition continues QEBR's growth and expansion in the cannabis industry following the recent announcement of its distribution agreement with Cannonau Corp. Cherry Valley Growers possesses both a Hemp Grow license and a Hemp Processing License with the State of New York, and they have applied to renew their CBD Extraction and Manufacturing License with the New York State Department of Health.

Virtual Medical International, Inc. also has contracted to purchase an 11,560 square foot warehouse on 1.3 acres from Adler Properties, LLC. which is located in East Syracuse, New York. Larson Elmore, CEO of Virtual Medical International, stated that "since Adler Properties has a grow license for this facility, our goal is to expand the building and restructure it as both a grow and extraction facility. This site will support numerous hemp business operations."

Under to the terms of the agreement, Virtual Medical International will purchase Cherry Valley Growers, Inc and Adler Properties, LLC. for 2 million dollars in cash from debt proceeds  in exchange for the property consisting of 400-acre, the warehouse and all hemp licenses.

About Virtual Medical International
Virtual Medical International, (OTC: QEBR), through its wholly-owned subsidiary, has trademarked the brand name "Amsterdam Café: Welcome to Your Whole Health"™. The diversified, multi-channel business model is positioned to derive revenue from product sales through company-owned retail stores, franchise stores, domestic and international franchise activities, third party contract manufacturing, e-commerce and corporate alignments.

Virtual Medical International's business model is designed to help consumers improve the health and quality of their lives by making available an array of high quality, CBD-centric products consistent with a healthy lifestyle. To that end, Virtual Medical formed Amsterdam Café as a wholly owned subsidiary in order to become a comprehensive, vertically integrated organization within the CBD whole health sector, with plans to acquire and open CDB Stores across the U.S.A. and Europe.

For further information:
Contact:
Larson Elmore
Phone: (216) 345-4567
Email: lelmore@virtualmedicalinternational.com

Forward-Looking Statements
Legal Notice Regarding Forward-Looking Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined, and assumptions of management. Forward looking statements are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "aims", "potential", "goal", "objective", "prospective", and similar expressions or that events or conditions "will", "would", "may", "can", "could" or "should" occur.

Actual results may differ materially from those currently anticipated due to a number of factors beyond the reasonable control of the Company. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Factors that could cause actual results to differ materially include misinterpretation of data, the Company's ability to raise financing for operations, breach by parties with whom we have contracted, and the possible inability to maintain qualified employees or consultants.

 

View original content:http://www.prnewswire.com/news-releases/virtual-medical-international-inc-expands-its-hemp-cultivation-and-cbd-processing-301291816.html

SOURCE QEBR

FAQ

What is the recent acquisition by Virtual Medical International?

Virtual Medical International has acquired Cherry Valley Growers for $2 million, expanding its hemp cultivation and processing capabilities.

What licenses does Cherry Valley Growers hold?

Cherry Valley Growers holds a Hemp Grow license and a Hemp Processing License from the State of New York.

How much is Virtual Medical International paying for the acquisition?

The total cost for acquiring Cherry Valley Growers and the warehouse is $2 million.

What is the purpose of the new warehouse purchased by QEBR?

The new warehouse will be expanded and restructured to function as both a grow and extraction facility.

When was this acquisition announced?

The acquisition was announced on May 14, 2021.