Sativa Wellness Group Announces a Strong Position and Clear Strategy

Rhea-AI Summary

Sativa Wellness Group has unveiled its new business strategy following a strong start in 2021, reporting record quarterly turnover of £1.37 million in Q1. The company has appointed new leadership and established three divisions: CBD products, Cannabinoid testing, and Clinic Testing Services. Significant progress includes generating profits in 2021 and achieving ISO 17025 accreditation for cannabinoid testing. The company aims to expand its product range and clinic network, with full revenue results for the first half of the year expected in August.

Positive

• Q1 2021 turnover reached £1.37 million, the best in company history.
• Q2 revenue results anticipated to exceed Q1 figures.
• Goodbody Botanicals generated profits year-to-date in 2021, reversing previous losses.
• ISO 17025 accreditation achieved by Phytovista Laboratory for cannabinoid testing.
• The company maintains a healthy cash position to support acquisition strategies.

Negative

• None.

VANCOUVER, BC / ACCESSWIRE / July 23, 2021 / Sativa Wellness Group Inc. (CSE:SWEL) ("Sativa Wellness" or the "Company") is pleased to announce its new business strategy following a strong start to the year.

Highlights for first half of 2021

• Change in leadership with the founder returning as Chair and a strong top team appointed.
• The Wellness business aligned in three clear divisions as CBD products, Cannabinoid testing and Clinic Testing Services each with a clear business head.
• Q1 the best quarterly turnover to date for any quarter since Sativa Wellness and its predecessor Sativa Group Plc started in 2018 at £1.37m.
• Q2 produced even stronger revenue results with full results for the first 6 months to be reported in August.
• The business is maintaining a healthy cash position to further its acquisition strategy.
• The main trading company Goodbody Botanicals has generated profits year to date in 2021 from a loss-making position in previous years.
• The novel food submission submitted on time, full acceptance is still in progress.
• ISO 17025 achieved by the Phytovista Laboratory for cannabinoid testing.
• Roll out of 47 COVID testing clinics to build the newest division of the business.
• Successful placement to invest in the future business.

Strategic direction

The business will align the legal entities within the Group with the divisions as laid out above separating clinic testing from CBD so clearer reporting will be available in 2022. The plans we have in place and are progressing include:

CBD Products-Goodbody Brand

• Secure sales through well-known online platforms.
• Build a ‘membership' model for CBD to build predictable revenues.
• Extent product range to include drinks and vape.
• Secure distribution agreements with partners throughout Europe.
• Progress merger and acquisitions to increase the product range and revenue.
• Expand the production of an increased range in Poland.

Cannabinoid Testing

• Expanding the scope of the ISO17025 accreditation.
• Work with the Polish laboratory team to expand cannabinoid testing in Europe.
• Position the business to partner with institutions as a key supplier.

Clinic Services

• Significantly increase the footprint of clinics across the UK.
• Expand COVID 19 testing, incorporating Influenza A&B and RSV.
• Introduce a range of wellness testing through the clinic network.
• Introduce technical solutions for faster testing.
• Introduce corporate testing.

Geremy Thomas, Executive Chairman, says; "It has been six months since I felt compelled to take back leadership of Sativa and I am pleased to say the changes made have produced strong results both financially and operationally. The next phase will be exciting for us all."

Marc Howells, Chief Executive Officer, says "I am delighted to join such an exciting Company and evolve the roadmap to ensure a successful Group, where the share value truly reflects the sum of the parts: an international, accredited laboratory testing facility in Phytovista, a European CBD (gold-standard) manufacturing and retail division with a broad product range combined with digital marketing expertise, and a Covid / Wellness division increasing its footprint and testing facilities delivering our mission - Wellness as a lifestyle choice. We plan to hold our AGM in September where I look forward to updating our loyal investors with progress. In the meantime, thank you for your patience."

On behalf of the Board of Directors,

Marc Howells
Chief Executive Officer
Sativa Wellness Group Inc.
+44 (0) 20 7971 1255
enquiries@sativawellnessgroup.com
www.sativawellnessgroup.com

Anne Tew
Chief Financial Officer
Sativa Wellness Group Inc.
+44 (0) 20 7971 1255
enquiries@sativawellnessgroup.com
www.sativawellnessgroup.com

Neither the Canadian Securities Exchange nor its Market Regulator (as defined in the policies of the Canadian Securities Exchange) accept responsibility for the adequacy or accuracy of this release. This news release contains certain 'forward-looking information' within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute 'forward-looking statements' within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only the Company's beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Sativa's control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as 'plans', 'expects' or 'does not expect', 'is expected', 'budget', 'scheduled', 'estimates', 'forecasts', 'intends', 'anticipates' or 'does not anticipate', or 'believes' 'plan is' or variations of such words and phrases or may contain statements that certain actions, events or results 'may', 'could', 'would', 'might' or 'will be taken', 'will continue', 'will occur', 'will be achieved' or 'shortly'. The forward-looking information and forward-looking statements contained herein include, but are not limited to information under the heading strategic direction relating to the three business areas of CBD products, Cannabinoid testing and clinic service and that the company will evolve the roadmap to ensure a successful Group, where the share value truly reflects the sum of the parts: an international, accredited laboratory testing facility in Phytovista, a European CBD (gold-standard) manufacturing and retail division with a broad product range combined with digital marketing expertise, and a Covid / Wellness division increasing its footprint and testing facilities.

Although Sativa believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. The forward-looking information and forward-looking statements contained in this news release are made as of the date of this press release, and include but are not limited to information concerning the under the Strategic direction header and the likely impact on the share price on the actions being undertaken. Sativa does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws.

SOURCE: Sativa Wellness Group Inc.

View source version on accesswire.com:
https://www.accesswire.com/656843/Sativa-Wellness-Group-Announces-a-Strong-Position-and-Clear-Strategy

FAQ

What is the latest financial performance of Sativa Wellness Group (SCNNF)?

Sativa Wellness Group reported a record Q1 2021 turnover of £1.37 million, with expectations for even stronger Q2 results.

What strategic changes has Sativa Wellness Group (SCNNF) implemented recently?

The company has restructured its leadership and aligned its operations into three divisions: CBD products, Cannabinoid testing, and Clinic Testing Services.

How has the leadership of Sativa Wellness Group (SCNNF) changed?

Geremy Thomas has returned as Chair, and a new top team has been appointed to guide the company's strategic direction.

What is the significance of ISO 17025 accreditation for Sativa Wellness Group (SCNNF)?

The ISO 17025 accreditation enhances the credibility of Phytovista Laboratory in cannabinoid testing, positioning it as a key player in the market.

When will Sativa Wellness Group (SCNNF) report its full results for the first half of 2021?

The full results for the first six months of 2021 are expected to be reported in August.