Item 9 Labs Corp. Closes Acquisition of Arizona DP Consulting Assets and DispensaryPermits.com
SCOTTSDALE, Ariz., Nov. 29, 2018 (GLOBE NEWSWIRE) — Item 9 Labs Corp. (OTC: INLB) (Item 9 Labs or the Company), a leading developer and manufacturer of innovative cannabis products and proprietary delivery platforms, today announced that on November 26, 2018, through its wholly owned subsidiary AZ DP Holdings, LLC, a Nevada limited liability company, that it closed on an Asset Purchase Agreement (the “Agreement”) with Arizona DP Consulting, LLC (“Dispensary Permits”) and its owner and founder Sara Gullickson, an award-winning international cannabis consultant with licensing success in over a dozen markets.
Pursuant to the Agreement, the Company acquired the assets of Dispensary Permits, a nationally recognized cannabis consulting company specializing in helping entrepreneurs and industry stakeholders obtain cannabis licenses and build successful businesses. In addition, the Agreement included the acquisition of sister site DispensaryTemplates.com, which offers comprehensive downloadable business plans covering a full spectrum of industry-specific topics. Collectively, Dispensary Permits and DispensaryTemplates.com own dozens of cannabis related domains, an email database of over 24,000 subscribers, and more than 60,000 unique site visitors per month.
The Company also obtained other assets, such as intellectual property for cannabis business licensing and proprietary dispensary, cultivation and production models. These pioneering industry models are aimed at providing and implementing the best medical cannabis practices from across the US, among others (collectively, the “Assets”). The purchase price for the Assets was $1,500,000 in cash and 3,000,000 restricted common stock shares.
Pursuant to the Agreement, Bryce Skalla transitioned from CEO to President, and Sara Gullickson concurrently transitioned from President to CEO, subject to an employment agreement for term of three years and was appointed as a member of the board of directors of the Company. Additionally, the Company agreed to hire the employees of Dispensary Permits and to lease its existing office space and will continue the operation of the Assets.
“As an entrepreneur, leading a publicly traded company has always been a goal. I am grateful to see this dream come to fruition,” stated Gullickson. “Over the past eight years, Dispensary Permits has grown and evolved with the cannabis industry and now a new chapter is beginning. As CEO of Item 9 Labs, I will uphold our Company mission and vision to innovate, improve, and advance the industry.”
For information visit Item9LabsCorp.com.
About Item 9 Labs Corp.:
Item 9 Labs Corp. (OTC: INLB) creates comfortable cannabis health solutions for the modern consumer by developing innovative products and proprietary delivery platforms. The Company is focused on the development of technology and products that administer high-quality medical marijuana through a novel intra-nasal delivery system to deliver significant health benefits. The Company is headquartered in Southern Arizona where it owns and operates 50 acres, one of the largest properties in the U.S. zoned to grow and cultivate the medical marijuana flower. Item 9 has a proven track record of providing consumers with high-quality medical marijuana flower and products focused on organic, cost-effective solutions for whole body health. By combining high-quality, medical-grade product with the Company’s proprietary nasal mucus-membrane delivery system, Item 9 plans to produce the industry’s first market medicated nasal delivery device that administers specific cannabinoid dosing to meet the growing demand of todays modern cannabis consumer. For more information, visit us online at www.Item9labscorp.com and www.Item9labs.com.
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties, including, but not limited to, risks and effects of legal and administrative proceedings and governmental regulation, especially in a foreign country, future financial and operational results, competition, general economic conditions, proposed transactions that are not legally binding obligations of the company and the ability to manage and continue growth. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual outcomes may vary materially from those indicated. Important factors that could cause actual results to differ materially from the forward-looking statements we make in this news release include the introduction of new technology, market conditions and those set forth in reports or documents we file from time to time with the SEC. We undertake no obligation to revise or update such statements to reflect current events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.