GrowLife Inc. Signs LOI to Expand Presence in Fast-Growing Colorado Medical Marijuana Businesses: Agreement Initiates GrowLife's Entry in Licensing and Branding
WOODLAND HILLS, Calif., Feb. 19, 2013 /PRNewswire/ -- GrowLife, Inc. (OTCQB: PHOT), a provider of highly effective indoor growing technologies, is pleased to announce that it has entered into a strategic licensing letter of intent with GrowLife Consulting Colorado, LLC ("GLCC"). Under the agreement, GLCC is authorized to use the name "GrowLife" in Colorado, as well as certain intellectual property and technology rights in exchange for licensing fees. GrowLife's agreement with GLCC provides GrowLife with an option to acquire ownership in GLCC. The LOI between GrowLife and GLCC is scheduled to close on March 8, 2013.
GLCC is chartered in compliance with Colorado's trailblazing marijuana laws and regulations to provide management services and equipment to marijuana dispensaries and marijuana production operations in Colorado's burgeoning marijuana industry.
According to GrowLife CEO Sterling C. Scott, "The GrowLife Consulting Division positions our fully reporting public company to more aggressively participate in the most profitable parts of the medical marijuana space and provides an opportunity to leverage our brand equity in this quickly expanding industry. The business model of our GrowLife Consulting division should provide GrowLife with relatively high margin licensing revenue and equipment sales opportunities. It also increases our engagement in value added products in the marijuana space. We are very pleased to be proceeding forward with GLCC in Colorado and are open to expanding on this seminal approach in cooperation with GLCC in the other 17 states where medical marijuana has been legalized. This agreement is not only a potential value-add to our increasingly diverse revenue lines, but a testament to our opportunistic approach and pursuit of market share."
GrowLife expects that the GLCC business model will allow it to participate much more broadly in what the San Diego-based MMJ Biz Daily has described as a $40+ billion dollar U.S. opportunity. Bruce Perlowin, industry advocate and CEO of HEMP, Inc. (OTC: HEMP), another publicly traded industrial hemp-focused company, described the company's move as "brilliant positioning." Perlowin explained, "As soon as the federal government completes the inevitable process of formally recognizing medical uses of marijuana, GrowLife will already be well positioned to capitalize on the enormous opportunity."
About GrowLife, Inc.
GrowLife, Inc. (PHOT) (formerly Phototron Holding, Inc.) (www.growlifeinc.com) is a company with core holdings in innovative technology-based products and services for the indoor gardening industry and specialty markets. These brands include Stealth Grow, a producer of grow room automation equipment and hi-powered LED grow light products for indoor horticulture (www.sgsensors.com and www.stealthgrow.com), Greners.com, the online hydroponics superstore (www.greners.com) and Phototron, producer of hydroponic grow containers, which are designed to grow vegetables, herbs, flowers and fruits in any environment (www.phototron.com). GrowLife is also the US distributor for the Urban Cultivator brand—the greens machine (www.urbancultivator.net).
Cautionary Language Concerning Forward-Looking Statements
Information set forth in this press release contains forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. Examples of forward looking statements contained in this press release include statements relating to potential research results and plans relating to acquisitions, investments or collaborations. A discussion of factors that may affect future results is contained in GrowLife's filings with the Securities and Exchange Commission. In addition, all industry products are subject to additional uncertainty, including the risks of delay, cancellation and poor critical or financial reception. GrowLife disclaims any obligation to update and revise statements contained in this news release based on new information or otherwise.
SOURCE GrowLife, Inc.