GATINEAU, Quebec, Jan. 25, 2022 (GLOBE NEWSWIRE) — HEXO Corp. (TSX: HEXO; NASDAQ: HEXO) (“HEXO” or the “Company”), a leading producer of high-quality cannabis products, today provided an update on its previously announced strategic plan, The journey to the future, designed to strengthen HEXO’s position as Canada’s leading cannabis company in terms of recreational market share, with the goal of becoming the first company in its industry to generate positive cash flow from its operations.
« The journey to the future is made up of initiatives on both the spending side and the growth side. Today’s announcement of new product launches supports our strategy to accelerate growth through organic market share gains and reflects our commercial capabilities and strong portfolio of innovations,” said Scott Cooper, Chairman and CEO of HEXO. “To that end, HEXO is seeing significant demand for its products and brands across multiple categories and geographies, and we will continue to remain focused on our growth objectives. »
HEXO is committed to providing its shareholders with updates as the Company executes the strategic plan. Today’s announcement provides an update on one of the five strategic pillars: i) accelerate growth through organic market share gains.
Accelerate growth through organic market share gains
i. Redecan Announces Expansion into Low-Cost Cannabis Edibles Market with Redebles
Today, Redecan, a subsidiary of HEXO, announced that it has entered the cannabis edibles category in Canada with the manufacture of gummies called Redebles.
Redebles is a unique, flavored product that comes in a sachet of four gummies with 10mg of THC per sachet, selling for a manufacturer’s suggested retail price of $5.95. The gel capsules are made from cannabis distillate obtained by CO extraction2; these capsules are vegan, gluten-free and sugar coated.
Redecan is the leading brand across multiple cannabis product categories. Today’s announcement marks Redecan’s entry into edibles; the fastest growing category of cannabis products in Canada. HEXO hopes Redecan’s offering of innovative, low-cost, high-quality edibles will disrupt the market and quickly become industry leaders.
ii. Redecan enters new markets
HEXO is also pleased to announce that Redecan’s top-selling products are now available in other Canadian provinces including Nova Scotia, New Brunswick and Manitoba. Redecan is now present in nine provinces and territories.
iii. HEXO expands the Latitude brand, a range of products from sexual wellness to beauty and beyond.
Today, HEXO’s subsidiary Latitude has launched innovative wellness products, including a CBD-infused transdermal cream and body lotion.
HEXO’s commitment to the Latitude line underscores the Company’s focus on innovation and understanding the refining and evolving cannabis product customer base.
iv. Other product launches
Today, HEXO also launched new products including Original Stash vape product, Super Sour Diesel, OS.ONE Durban Poison and Garlic Jelly pre-roll and dried flower and 3.5g UP Cannabis pouches from Ultra Sour, Lemon Z and Gelato 29.
Market share update
HEXO remains focused on its mission to become Canada’s leading licensed cannabis producer. To achieve this goal, the Company maintains its position as a producer across multiple product categories in multiple geographies and is working to capture additional market share in categories and geographies where the Company has identified opportunities. of growth.
To this end, HEXO believes that market share data is an important indicator of its competitiveness within the Canadian market for recreational cannabis products and a predictor of sustainable revenue.
The following is a portrait, drawn over a rolling three-month period (October, November and December 2021), of HEXO’s position within the Canadian recreational cannabis market according to Headset, a third-party provider of cannabis market data and information.
- #1 position in Canadian market share
- #1 position as an overall producer across all categories in Ontario and Alberta
- First position as a producer of pre-rolled products in Canada
- First position as a beverage producer in Canada
- First position as a capsule producer in Canada
- First position as an oil producer in Canada
This news release contains forward-looking information and forward-looking statements within the meaning of applicable securities laws (“forward-looking statements”). Forward-looking statements are based on certain expectations and assumptions and are subject to known and unknown risks and uncertainties and other factors that could cause actual events, results, performance and achievements to differ materially from those are anticipated there. These forward-looking statements should not be construed as guarantees of future performance or results. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any of the forward-looking statements as a result of new information or future events, or for any other reason. .
This press release should be read in conjunction with the management’s discussion and analysis and the unaudited condensed consolidated interim financial statements of the Company as at October 31, 2021 and for the quarter then ended, together with the accompanying notes. Additional information about HEXO is available on the Company’s profile on SEDAR at www.sedar.com and on EDGAR at www.sec.gov, including the Company’s Annual Information Form for the fiscal year ended July 31, 2021 dated October 29, 2021.
HEXO is an award-winning licensed producer of innovative products for the global cannabis market. HEXO serves the Canadian recreational cannabis market with its portfolio of brands, including HEXO, Redecan, UP Cannabis, Namaste Original Stash, 48North, Trail Mix, Bake Sale, REUP and Latitude, as well as the medical market in Canada, Israel and Malta. The Company also serves the Colorado market through its Powered by HEXO strategy® and Truss CBD USA, a joint venture with Molson Coors. With the recent acquisitions of Redecan and 48North by HEXO, HEXO ranks first among cannabis products companies in Canada in terms of recreational cannabis markets. For more information, please visit the website hexocorp.com.
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