Marijuana Company of America Inc. acquires VBF Brands, Inc. and expands its presence in the growing California cannabis growing market
LOS ANGELES, December 15, 2021 (GLOBE NEWSWIRE) – via InvestorWire – Marijuana Company of America, Inc. (OTC: MCOA) (“the Company”), a diversified holding company with activities and investments across the cannabis industry, announces that it has recently completed the acquisition of VBF Brands, Inc. (“VBF”), a marijuana grower and distributor based in Salinas, California. VBF was previously a wholly owned subsidiary of Sunset Island Group, Inc. (OTC: SIGO).
Based on activity since the completion of the acquisition in the third quarter of 2021, MCOA expects this transaction to continue to greatly increase the company’s EBITDA expectations for 2022 and work towards an increase in production at a nearby plant in Salinas that is also exponential Nearby properties and facilities offer opportunities for growth with others.
California remains the largest legal cannabis market in the country, and with this acquisition that includes cannabis nursery, cannabis manufacture / distribution and cultivation licenses, MCOA has enormous market potential.
Jesus Quintero, CEO of Marijuana Company of America, Inc. said, “The acquisition of VBF Brands, Inc. perfectly embodies MCOA’s strategy to grow our business organically and acquire the synergistic and often undercapitalized assets that are in the cannabis industry today exist, expand. We are confident that by providing capital and operational depth to the already impressive operations of this unit, we will increase capacity and significantly strengthen our position in the California cannabis market. “
VBF Brands, Inc. has been a grower and distributor in Salinas, California for the past two years, using its own growing systems to produce popular cannabis clones that are proprietarily certified clean to aid growers by reducing uncertainties and increase the likelihood of a successful crop. Cannabis clones have exactly the same genetic potential as their mother plant and, when grown properly, have similar cannabinoid and terpene profiles. When clones are selected from healthy, high quality mother plants, they also inherit their vitality and natural resistance to mold, mildew and pests.
The story goes on
Quintero added: “We are particularly intrigued by this acquisition as VBF has a reputation for high quality clones and makes unique use of its growing space. The company uses a three tier cultivation system to maximize the square footage of its Salinas, California facility. Few growers offer the efficiencies of VBF Brands, Inc., which offers greater efficiencies and sustainable growing techniques to give growers access to locally grown, high quality clones for growing cannabis flower. Clones are conveniently made and sold for use to other cannabis flower growers who no longer have to wait six months to grow and sell them. “
This latest acquisition illustrates MCOA’s commitment to growing its business while remaining tax prudent and continuing to establish itself as a leader in the legalized cannabis, THC, hemp and CBD industries. MCOA offers a unique and diversified exposure to the global cannabidiol sector and intends to further expand its presence through investments and collaborations with new and existing strategic partners and to boost organic growth through synergetic acquisitions.
Marijuana Company of America offers the highest quality, premium branded products and the opportunity to be at the forefront of growth and innovation in the legal cannabis and industrial hemp industries.
We are excited about the growth potential with our partners at SIGO that we have acquired from VBF as we work to significantly expand our presence in Salina. MCOA has the option to acquire 51% of SIGO’s new cannabis growth facility, which is significantly larger than the current cloning facility operated by VBF. The new facility will be licensed to bulk grow, manufacture, and distribute, and should have an annual income of over $ 30 million after its first year of operation.
About Marijuana Company of America, Inc.
Marijuana Company of America (MCOA) invests directly in the cannabis sector. The company’s operations include C-Distro, one of the fastest growing distributors in the THC, hemp and CBD cannabis industries, and hempsmart ™, a premium CBD company. The company’s core task is to use its experience and access to capital to identify and invest in acquisitions with unique growth potential.
This press release contains “forward-looking statements” that are not purely historical and may contain statements about beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, but are not limited to, the development, costs and results of new business opportunities and words such as “look ahead”, “aim”, “intend”, “believe”, “estimate”, “expect”, “project”, “plan” and the like Expressions may be viewed as “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ from those projected in the forward-looking statements due to numerous factors. These factors include but are not limited to the uncertainties associated with new projects, the future US and global economies, the effects of competition, and the company’s reliance on existing regulations regarding the use and development of cannabis-based products. These forward-looking statements speak as of the date of this press release and we assume no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements. While we believe that all beliefs, plans, expectations, and intentions contained in this press release are reasonable, no assurance can be given that such beliefs, plans, expectations, or intentions will prove to be correct. Investors should consult all of the information contained herein and also note the information on risk factors in our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, and other periodic reports that appear from time to time at the. Securities and Exchange Commission are submitted.
For more information, please visit www.marijuanacompanyofamerica.com or visit www.sec.gov.
Los Angeles, California