TORONTO, April 16, 2019 /PRNewswire/ - Canopy Rivers Inc. ("Canopy Rivers") (TSXV: RIV) and High Beauty, Inc. ("High Beauty") are pleased to announce the completion of an investment by Canopy Rivers in High Beauty, creator of industry-leading cannabis beauty brand high. Canopy Rivers has subscribed for US$2.5 million of shares in High Beauty, representing 18.4% of the company on a fully diluted basis, including additional warrant coverage.
"Being supported by Canopy Rivers enables us to collaborate within the Canopy Rivers ecosystem and to focus our energy and passion on the creation of a robust new product line using cannabis-derived extracts," said Melissa Jochim, a highly successful formulator and Founder of High Beauty. "Cannabis sativa seed oil is an untapped ingredient resource with amazing skincare benefits. This partnership will allow us to scale High Beauty's business much "higher" in a short time frame."
Management believes that High Beauty has a competitive advantage in the global beauty market through its distribution partnership with Sephora (EPA: MC), an established leader in global prestige omni-channel retail. Defined by its unique, open-sell environment, Sephora's curated assortment of brands includes trusted classics, indie and emerging favorites, and their own brand, Sephora Collection. The brand and beauty experts at Sephora have been involved in the evolution of high from concept to shelf, and the products have been specifically developed to meet "Clean at Sephora" standards – a "free of" designation that meets consumers' needs for products free of questionable and unwanted ingredients.
High is expertly formulated to deliver cannabis sativa seed oil in combination with certified organic plant oils, high-potency antioxidants and pure plant essential oils for healthy, beautiful skin. High helps calm inflammation, balances all skin types with adaptogens, protects with potent antioxidants, and hydrates and replenishes. High Beauty's High Five Cannabis Facial Moisturizer, a moisturizer containing cannabis sativa seed oil and potent plant actives, is used in the morning like a daily skin vitamin. And for nighttime routines, High Beauty's High Expectations Cannabis Facial Oil helps provide intensive repair, hydration and replenishment.
"We have been actively pursuing opportunities in the health and beauty industry, guided by a growing consumer trend of brand new, innovative and functional beauty products. Enter high," said Narbe Alexandrian, President of Canopy Rivers. "Led by Melissa Jochim, a repeat entrepreneur, preeminent formulator and brand developer coming from the natural, organic segment of the beauty industry, high has already captured mindshare and awareness of consumers - it has all the makings to continue to be a prominent brand in the cannabis-infused beauty market."
About High Beauty:
high is a revolutionary beauty brand powered by cannabis sativa. high is formulated using only cannabis sativa seed extracts and is legal and free of psychoactive substances including THC and CBD. Founded and formulated in Northern California by renowned organic beauty pioneer, Melissa Jochim, high is expertly formulated to deliver cannabis sativa seed oil in combination with certified organic plant oils, high-potency antioxidants and pure plant essential oils for healthy, beautiful skin.
About Canopy Rivers:
Canopy Rivers is a unique investment and operating platform structured to pursue investment opportunities in the emerging global cannabis sector. Canopy Rivers works collaboratively with Canopy Growth (TSX: WEED,NYSE: CGC) to identify strategic counterparties seeking financial and/or operating support. Canopy Rivers has developed an investment ecosystem of complementary cannabis operating companies that represent various segments of the value chain across the emerging cannabis sector. As the portfolio continues to develop, constituents will be provided with opportunities to work with Canopy Growth and collaborate among themselves, which Canopy Rivers believes will maximize value for its shareholders and foster an environment of innovation, synergy and value creation for the entire ecosystem.
This news release contains statements which constitute "forward-looking information" within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of Canopy Rivers with respect to future business activities and operating performance. Forward-looking information is often identified by the words "may", "would", "could", "should", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" or similar expressions and includes information regarding: the growing consumer trend of brand new, innovative and functional beauty products; the prominence of High Beauty's brand in the cannabis-infused beauty market; High Beauty's competitive advantage in the global beauty market through its distribution partnership with Sephora; the health benefits of High Beauty's products and cannabis sativa seed oil; High Beauty's ability to collaborate within the Canopy Rivers ecosystem; the impact that the partnership between Canopy Rivers and High Beauty will have on High Beauty's future focus and ability to scale its business quickly; and other expectations for other economic, business, and/or competitive factors.
Investors are cautioned that forward-looking information is not based on historical facts but instead reflects management's expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although Canopy Rivers believes that the expectations reflected in such forward-looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of Canopy Rivers. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking information are the following: regulatory and licensing risks; competition in the cannabis-infused beauty market; changes in consumer trends; the popularity and effects of High Beauty's products; a change in High Beauty's distribution partnership with Sephora; the ability of High Beauty and Canopy Rivers to collaborate; changes in general economic, business and political conditions, including changes in the financial markets; the global regulatory landscape and enforcement related to cannabis, including political risks and risks relating to regulatory change; risks relating to anti-money laundering laws; compliance with extensive government regulation; public opinion and perception of the cannabis industry; and the risk factors set out in Canopy Rivers' final short form prospectus dated February 21, 2019, filed with Canadian securities regulators and available on Canopy Rivers' profile on SEDAR at www.sedar.com.
Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although Canopy Rivers has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. Canopy Rivers does not intend, and does not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Canopy Rivers Inc.