COMPANY’S CANNABIS SUBSIDIARY EXPLORING UPSTATE NEW YORK ORGANIC FARM FOR POTENTIAL HEMP-DERIVED CBD APPLICATION
VANCOUVER, BC, CANADA (August 1st, 2019) – Codebase Ventures Inc. ("Codebase" or the "Company") (CSE: CODE - FSE: C5B – OTCQB: BKLLF), announces that its Code Cannabis Investments subsidiary has identified and begun due diligence on the potential acquisition of an organic farm in New Berlin, New York - a state that as of this week has taken a significant step toward its Governor’s stated goal of legalizing recreational cannabis by decriminalizing personal marijuana use.
“Code Cannabis Investments has been formed to find early stage investments in the cannabis sector that can deliver substantial returns to shareholders,” said Mr. George Tsafalas, Codebase President and CEO. “Our team sees the hemp-derived CBD market as a lucrative one which is expanding rapidly, and we believe that the Certified Organic designation will provide additional growth potential and stronger margins.”
At present, the Company is conducting due diligence on the property, which consists of approximately 45 acres of certified organic land and is located in New Berlin, NY. There is no assurance this acquisition will close. No binding agreements have been entered into in respect thereof, nor has any purchase price been determined. Further announcements will be made in due course.
Code Cannabis Investments exploration of an entry into the hemp-derived CBD market in the USA, with the added premium of a Certified Organic designation, is driven by the following key factors:
- With the signing of the Farm Bill in December, industrial production of hemp and hemp-derived CBD is federally legal in the USA
- On July 29th, New York State decriminalized personal marijuana use, a significant step in the State’s ongoing process as more states across the US are legalizing recreational use overall
- The Brightfield Group estimates that CBD product sales will grow from $620 million in 2018 to approximately $5 billion in in 20191
- Brightfield anticipates CBD product sales of $23.7 billion by 20231
- Retailers such as Walgreens, CVS and Rite Aid have announced plans to carry CBD topicals opening up markets across the USA2
1 https://www.brightfieldgroup.com/press-releases/cbd-market-growth-2019
2 https://www.fool.com/investing/2019/07/14/us-cbd-sales-to-grow-an-average-of-107-annually-th.aspx
