SEATTLE, WA / ACCESSWIRE / November 23, 2020 / Hempstract, Inc, (OTC PINK:HPST) (the "Company"), today announced Katrina Rose Costello as President of Hempstract's new White Label Services and Joint Ventures division.
The company is in the process entering into a new Joint Venture with an Oregon company to produce beverages, including energy drinks and juices along, with non-alcoholic wine & beer based products infused with the company's CBD extract. The company expects to execute a binding letter of intent shortly and expeditiously finalize a material definitive joint venture agreement, with more information to come.
Hempstract's White Label Services are marketed to both direct and indirect customers focusing on grocery chains, convenience stores, PPE supply chains, corporate customers and brand-based entertainment. The Company has received order commitments the company estimates to be valued at 8 million dollars in private labeled bath bombs, infused with the company's CBD extract to be placed at a large Midwest grocery store chain.
Hempstract's proprietary cryo-extraction process provides an inline winterization, removing a majority of the lipids and other impurities. This efficiently reduces the downstream processing required for the production of high quality CBD. Our facility is currently capable of converting approximately 600 pounds of raw hemp into crude oil per day. The modular design of our system allows us the ability to increase our production capacity as needed. Concurrently, we are building out our laboratory facilities to optimize our production of CBD distillate and isolate.
Research by Forbes, Grand View, Business Case Studies and other, suggest that the U.S. CBD Market has a projected growth path of more than 105% Annual Average (CAGR) Through 2023 and estimated CAGR Growth of 125.5% By 2026. This could result in a market size greater than 20 billion dollars. The CBD Infused Beverages Market Size alone is expected to reach $2.8 Billion by 2025.
Considering the growth trajectory for the market and uniqueness, Hempstract hopes, subject to the customary risks and uncertainties, that its new White Label Services and Joint Venture business units, along with its existing production unit may achieve combined revenues upwards of 40 million by the end of 2021.
"I'm looking forward to building and growing the new white label and JV divisions, to enable those who are looking to build, grow or develop brands in the high quality hemp and CBD product space. The potential new revenues for Hempstract Labs are exponential and I'm thrilled to be able to use my knowledge and network to impact the company's bottom line." commented Katrina Costello.
Richard Hawkins, the Company's Chief Executive Officer, commented: "This is exactly the type of diversification and growth we need to make this company successful, and to expand on our growing extraction business. The recent announcement of our tolling agreement with IsoPhlora represents the first of many such joint processing agreements we expect to establish and leverage for growth and revenues. We are privileged to have someone of Katrina's caliber onboard to lead this very important division.
About Hempstract, Inc.
Hempstract, Inc. (OTC PINK:HPST) is a Nevada registered publicly-traded company. Hempstract production operations located in Warden, Washington offers business partners premium CBD Solutions they can trust at competitive prices. Hempstract and its laboratories go to great lengths to ensure that all of its solutions are of the highest quality and control standards and provides pure, high-quality, and safe, CBD isolate and oil to its customers.
For more information, please contact:
Richard Hawkins
info@hempstractlabs.com
Forward-Looking Statements
This news release contains "forward-looking statements" which are not purely historical and may include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the development, costs and results of new business opportunities and words such as "anticipate", "seek", intend", "believe", "estimate", "expect", "project", "plan", or similar phrases may be deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects, the future U.S. and global economies, the impact of competition, and the Company's reliance on existing regulations regarding the use and development of cannabis-based products. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-k, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission. For more information, please visit www.sec.gov.
SOURCE: Hempstract, Inc.
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