(via TheNewswire)
Highlights of the DehydraTECH licensing update include:
Hill expands licensing rights of DehydraTECHcommercialization partner
Dehydr8, LLC to extend to all legal US states, recognizing Dehydr8’s significant investments to date in a national DehydraTECH commercialization strategy and streamlining the process of launching new states with multi-state operatorsand other cannabis operatorsAn exciting new licensee, multi-state operatorGreenlight Dispensarytolaunch multiple new DehydraTECH-powered edibles products with Dehydr8 in the upcoming quarter
Hill amends licensing fee structure with legacy DehydraTECH licensee1906, maker of the popular ‘Drops’ line of tablets, to align with 1906’s go-forward strategies and growth agenda
Hill Expands Licensing Rights of
In
From the initial R&D and pilot market launch in
In recognizing their progress and their investments in the extensive resources that are needed to operate the DehydraTECH commercialization model, Hill has now granted US-wide licensing rights to Dehydr8 on a non-exclusive basis. Adding the new geographic rights also streamlines the administrative process of entering new states for Dehydr8, resulting in significant efficiencies when expanding licensee operations, such as when major multi-state operators like recently added licensee MariMed launch new states.
“We made the early strategic decision, after acquiring the rights to DehydraTECH, to build our US commercialization model with Dehydr8 and they have brought significant skills, expertise and capital investment to the partnership”, said
MJBiz estimates that the US cannabis market is expected to grow almost 70% over the next five years, reaching
So, while licensing revenues have been uneven across quarters as licensee sales have expanded in some periods and contracted in others, the future looks bright for continued growth in the addressable market for DehydraTECH as Dehydr8 expands their operations.
New Licensee, Multi-State OperatorGreenlight Dispensary to Launch Multiple New DehydraTECH-Powered Edibles Products with Dehydr8 in the
As mentioned, Dehydr8 has been successfully bringing new state and multi-state operators into the DehydraTECH licensing ecosystem and the addition of Greenlight continues that expansive trend.
Since the beginning of 2024, an exciting new DehydraTECH licensee, multi-state operatorGreenlight Dispensary, has been conducting R&D and product development activities to develop several DehydraTECH-powered edibles product lines. We are excited to announce that Greenlight plans to launch these new edibles products beginning in its home state of
Greenlight Dispensaryis one of the leading cannabis brands in
Hill Amends Licensing Fee Structure with Legacy DehydraTECH Licensee 1906 to Align with 1906’s Go-Forward Strategies and Growth Agenda
When Hill acquired the rights to DehydraTECH for THC products from Lexaria in
The stated goal of 1906 is to make cannabis a trusted, normal part of daily wellness with products that are easy to understand, easy to fit into your life, and offer the healthiest format available. At the end of 2023, 1906 launched a direct-to-consumer (DTC) product line across most US states todramatically expand their reach towards the goal by providing consumers who don’t live in legal states or cannot or do not want to buy in dispensaries, access to 1906 Drops. The DTC initiative offers hemp-derived Delta-9 THC lower-dosed versions of their popular ‘Drops’ products, which are also produced using DehydraTECH.
As they launched this exciting new DTC business, 1906 have also cost-effectively exited lower performing markets and have announced that they are streamlining their business to focus the dispensary availability of their higher micro-dosed, marijuana-derived delta-9 THC Drops on the key growth markets of
We have been working with the 1906 team to harmonize our licensing fee structures with their evolved business strategies, ensuring that we are working together as partners for shared success. To support their continued growth, we have agreed to revise their licensing fee terms to better match their current operations and footprint, rather than continue the old fee structure that we inherited in the Lexaria acquisition based on a legacy business model. As a part of this negotiation, we have agreed to forgive certain licensing fees related to the old business model that were being carried as accounts receivable, in order to focus on the more advantageous, scaled model for the future.
“Our partners Dehydr8 and 1906 are energized about the future of their DehydraTECH-powered operations, and we are thrilled to reset and refresh their deals to better propel them as we enter fiscal year 2025”, said
Corporate Update
The Company also announces that it has entered into a mutual agreement with
In his tenure, Matthew has been instrumental in standardizing Hill’s accounting systems and financial reporting processes and streamlining the Company’s financials. He also worked to connect the financial systems to the operations management systems and models that have been built for the Company’s DehydraTECH licensing business and the alcohol-free wine business, where detailed visibility to both supply chain and retail sales is critical in our new, more efficient business model.
With these established processes in place, we are now able to streamline our organizational structure. As such,
About
For more information on our business activities visitwww.hillincorporated.com, to learn more about our DehydraTECH cannabis biodelivery technology, go towww.dehydratech-thc.com, or to check out Hill Street Beverage’s award-winning alcohol-free wine line-up and order product to be delivered straight to your home, go towww.hillstreetbeverages.com.
If you wish to sign up for the
For more information, contact:
Email:craig@hillincorporated.com
Phone: 604-609-6154
FORWARD-LOOKING STATEMENTS
Statements in this press release may contain forward-looking information. Any statements in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as “may”, “should”, “would”, “anticipate”, “expects”, and similar expressions. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances, such as future availability of capital on favourable terms, may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. The forward-looking statements contained in this press release are made as of the date of this press release. The Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as required by securities law.
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