January 25, 2017 – Kelowna, BC – Laguna Blends (CSE:LAG; OTCMKTS:LAGBF; FRA:LB6A) is pleased to announce that it has signed a definitive agreement with Carlsbad Naturals LLC (“Carlsbad”) whereby Laguna and Carlsbad have entered into an equity acquisition agreement (“Equity Agreement”) for the purpose of pursuing mutually beneficial business opportunities in the Cannabidiol (CBD) bottled water Industry and CBD ingestible products Industry (the “Transaction”).
Carlsbad is a leader in the distribution and sales of CBD bottled water in the USA through its unique and proprietary process of infusing CBD’s though nanotechnology. Carlsbad naturals has revenues of $521,000 from September 1, 2016 – December 31, 2016. In addition to the current sales growth of Carlsbad, Laguna plans to generate CBD water sales through its Club 8 online marketplace and its B to B distribution channel in the USA and Canada.
Ray Grimm, President & CEO of Laguna Blends, states: “The partnership with Carlsbad firmly solidifies Laguna as a unique player in the multibillion dollar bottled water and functional beverage industry. Carlsbad CBD water was formulated with the sole purpose of creating a high alkaline water with the added benefits of CBDs. Many believe this to be the next evolution in the water industry, providing unique health benefits due to the proprietary nanotechnology. Carlsbad CBD water provides antioxidants at the cellular level along with providing cellular hydration and energy. Laguna is currently in discussions with Carlsbad regarding further business opportunities including but not limited to the acquisition of controlling interest.”
Charles Vest, VP of Sales of Laguna Blends Inc.’s new hemp and CBD on-line marketplace “Club 8” said: “According to new data from Arcview Market Research, cannabis consumers in North America spent a combined $53 billion in cannabis consumables in 2016. The legal supply of cannabis product increases in North America because several US states have recently joined the list of legalizers while at the same time lawmakers are expected to begin the process of recreational legalization in Canada later this year. The estimated $53 billion in sales is more than was generated by McDonald’s and Starbucks combined in 2016.”
“The high amount of existing consumers differentiates cannabis from other major consumer-market investment opportunities in history. There is a huge demand for clean cannabis products in our industry today. We just need to move demand for an already widely-popular product into safe and legal channels. Experts see the biggest growth in sectors like edibles and concentrates. It is much easier and safer to buy these products from a trusted retailer than to make them at home. Not only Carlsbad’s Nano-Amplified CBD Water but all of our current and upcoming products in “Club 8” will benefit from this massive and unstoppable growth trend”, he added.
Pursuant to the terms of the transaction, Laguna has up to 75 days to acquire a 19% equity stake in Carlsbad. Laguna will initially purchase nineteen percent (19%) equity interest in Carlsbad for a one-time payment of $250,000 USD paid for in cash and $546,000 paid for in Laguna common shares for a total purchase price of $796,000.00 USD. Laguna is currently in discussions about acquiring additional equity interest, for majority control.
The common shares issued for the initial 19% are subject to lock up and or leak out provisions whereby the first 1/12 of the common shares will be released 4 months and a day after issuance. 1/12 will be issued every subsequent month thereafter.
About Carlsbad Naturals
Created by a team of doctors, Carlsbad Naturals brings cutting edge science to deliver nutrients and hydration in an effective way, naturally and responsibly. Applying quantum physics, our nanotechnology successfully increases the surface area of each substance we put in our water, so that less is much more. Carlsbad Naturals is a market leader in the distribution and sales of CBD Water using its unique and proprietary process of infusing CBD’s though nanotechnology. For more information about Carlsbad Naturals, please go to www.cbdnaturals.com
About Laguna Blends Inc.
Laguna Blends is a market leader in the distribution of Hemp and CBD products. Laguna’s growth strategy includes acquiring and incubating companies who formulate and, or manufacture Hemp products. Laguna Blends markets Hemp products utilizing its B2B Network, as well as driving traffic to its online marketplace. It’s Laguna’s intent to provide the highest quality hemp product experience for the end user, utilizing a proprietary nano-technology in many of its consumable and topical skin care products. Laguna is currently seeking joint ventures and acquisitions to expand its portfolio and will aggressively begin international expansion into Asia and Europe in 2017.
ON BEHALF OF THE BOARD
“Ray Grimm Jr” CEO, President & Director
Howe & Bay Suite 600 – 535 Howe St.
Vancouver BC V6C 2Z4
This news release contains “forward-looking information” within the meaning of applicable securities laws relating to statements regarding the Company’s business, products and future the Company’s business, its product offerings and plans for sales and marketing. Although the Company believes that the expectations reflected in the forward looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned to not place undue reliance on forward-looking information. Such forward looking statements are subject to risks and uncertainties that may cause actual results, performance and developments to differ materially from those contemplated by these statements depending on, among other things, the risks that the Company’s products and plan will vary from those stated in this news release and the Company may not be able to carry out its business plans as expected. Except as required by law, the Company expressly disclaims any obligation, and does not intend, to update any forward looking statements or forward-looking information in this news release. Although the Company believes that the expectations reflected in the forward looking information are reasonable, there can be no assurance that such expectations will prove to be correct and makes no reference to profitability based on sales reported. The statements in this news release are made as of the date of this release.