Investors Now Have a Chance to Invest in the First Vertically Integrated U.S. Cannabis Franchise
PHOENIX, March 9, 2022 /PRNewswire/ — Item 9 Labs Corp. (OTCQX: INLB)–a vertically integrated cannabis dispensary franchisor and operator that produces premium, award-winning products–announced today the launch of its global, streamlined Regulation A, Tier 2 public offering for unaccredited and accredited investors. Now anyone can become a shareholder in Item 9 Labs Corp., which includes the national dispensary franchise, Unity Rd. and premium, award-winning cannabis brand Item 9 Labs. The Company is offering 28 million Units Each Comprised of One Share and One-Half of One Warrant. Upon the exercise of all warrants, the offering has maximum proceeds of $67.2 million.
With new states continuing to legalize cannabis, the industry is on track to explode – projecting $45 billion in revenue by 2025, a 50 percent increase from 2021*. As large players increasingly dominate the space, the business landscape will become even more challenging for new and independent entrepreneurs. The complexities of operating a cannabis business make it difficult for small, independent dispensaries to understand and stay on top of all the varying regulations and everyday challenges of managing and operating a compliant and successful dispensary.
The Company’s offering is set to accelerate the solution. Promoted under its “Keep Cannabis Local” campaign, this funding round offers the opportunity to invest in cannabis entrepreneurship, keeping the door to cannabis ownership open to industry newcomers and existing operators alike.
“Dispensary ownership is a lucrative opportunity, but it comes with a considerable amount of challenges to navigate,” said Item 9 Labs Corp.’s CEO Andrew Bowden. “The combination of our brands are the solution.”
Unity Rd. shops are rolling out state-by-state, community-by-community, and keeping dispensary ownership in the hands of local entrepreneurs nationwide. The franchise opportunity provides a viable opportunity for industry newcomers and small, locally owned and operated dispensaries to compliantly thrive, thanks to the robust backing and support of a national franchise. Unity Rd. offers direct access to the buying power, resources and supportive network normally reserved for multi-unit cannabis operators – empowering local, independents to confidently run their business.
“Unity Rd. offers one of the safest ways to enter the complex cannabis space with an experienced team guiding the path forward and supporting across all functions of the business,” Bowden added. “Franchising will propel the cannabis industry and keep business ownership in the hands of local owners.”
As the Unity Rd. franchise network expands nationally, the Company plans to bring Item 9 Labs products to the market through corporate development, acquisitions or partnerships with cultivation facilities in states where Unity Rd. franchise partners open cannabis retail shops. This strategic growth plan gives Unity Rd. operators front-of-the-line access to a reliable, award- winning product supply chain and offers the national product consistency that consumers have come to expect from franchises. This strategy also eases new market entry for Item 9 Labs products and creates unmatched market power across borders.
About Item 9 Labs Corp. Item 9 Labs Corp. (OTCQX: INLB) is a vertically integrated cannabis operator and dispensary franchisor delivering premium products from its large-scale cultivation and production facilities in the United States. The award-winning Item 9 Labs brand specializes in best-in-class products and user experience across several cannabis categories. The company also offers a unique dispensary franchise model through the national Unity Rd. retail brand. Easing barriers to entry, the franchise provides an opportunity for both new and existing dispensary owners to leverage the knowledge, resources, and ongoing support needed to thrive in their state compliantly and successfully. Item 9 Labs brings the best industry practices to markets nationwide through distinctive retail experience, cultivation capabilities, and product innovation. The veteran management team combines a diverse skill set with deep experience in the cannabis sector, franchising, and the capital markets to lead a new generation of public cannabis companies that provide transparency, consistency, and well-being. Headquartered in Arizona, the company is currently expanding its operations space by 640,000+ square feet on its 50-acre site, one of the largest properties in Arizona zoned to grow and cultivate flower. For additional information, visit item9labscorp.com.
About Unity Rd. Unity Rd. is bridging the two previously disconnected worlds of cannabis and franchising. The industry trailblazer is the first to bring the cannabis dispensary franchise model to the United States—with duality of prowess in both industries to back it up. Built up from a collective 200 years in the legal cannabis industry and franchising, the company helps eager operators enter the complex industry with ease. The marijuana franchise pioneer offers its partners the knowledge, resources, and ongoing support needed to compliantly and successfully operate a dispensary. Launched in 2018, Unity Rd. has signed multiple agreements with nearly 20 entrepreneurial groups across the country. Recently, it was named one of the top cannabis retail leaders in the nation by MJBizDaily magazine and one of the “Best Cannabis Companies to Work For” in both the dispensary and cultivation categories in Cannabis Business Times’ elite 2020 list. The company is also the first cannabis business to earn a Franchise Times Dealmakers award. For more information, visit unityrd.com.
Forward-Looking Statement: 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.