VANCOUVER, BC / ACCESSWIRE / September 20, 2024 / Final Bell Holdings International Ltd. ("Final Bell") today announced that its U.S. subsidiary, Final Bell Holdings, Inc., has entered into a binding agreement (the "Transaction") to sell all the shares of Final Bell Corp., along with its subsidiary Westside Caregivers Club, LLC (together "FB California"), to Vassar Wellness Enterprises LLC ("Vassar"). The completion of the sale is subject to relevant regulatory approvals and the satisfaction of customary closing conditions.
The Transaction marks Final Bell's ultimate exit from its plant-touching manufacturing business segment, comprised of operations in Canada and the US. With this divestment, Final Bell has completed its strategic repositioning focused on accelerating its position as a leader in product, brand, and process innovation for the global cannabis market.
In conjunction with the sale of FB California, Final Bell's subsidiaries, Final Bell MaaS, Inc. and Final Bell Brand Co., have entered into service and royalty agreements, respectively, with Vassar, thus ensuring that Final Bell's brands, dosist and Animal , will continue to be manufactured in the FB California facility, alongside other key brand partners including Cookies . The Transaction converts FB California into the third facility in the US that is managed under Final Bell's "Cannabis as a Service" business model.
Robert Meyer, CEO of Final Bell, commented: "Eighteen months ago, we embarked on a strategic reboot for Final Bell and initiated the necessary steps to future-proof Final Bell financially and position the business for its next growth phase. A key element of our business plan was to divest all plant-touching operations and step out of the 280E tax regime. With the sale of FB California, we now look forward to a new era for Final Bell as an asset-light, IP-driven business that generates industry-leading cash flows."
Jeremy Green, Co-founder of Final Bell, added, "Finalizing the Transaction cements our go-forward strategy and gives us the ability to turn our full attention to our strong product innovation pipeline, further development of manufacturing efficiencies, and the expansion of our owned and partner brands into new markets. While California will continue to serve as the foundation of our innovation engine, we look forward to building on the successful launch of our Cannabis-as-a-Service model in New York and launching that model in several expansion geographies."
About Final Bell Holdings International Ltd.
Final Bell Holdings International Ltd. ("Final Bell") operates at the cutting edge of the regulated cannabis industry. Pioneering the "Cannabis as a Service" business model, Final Bell's operations span product innovation, device & hardware manufacturing, supply chain management, facility management, and brand development. Final Bell's subsidiary, 14th Round, is the leading cannabis vaporization device company in the United States and Canada. 14th Round also provides child resistant packaging solutions for cannabis vaporizers, edibles, and related products.
For further information please contact: Kiarash Hessami Director of Business Analytics and IR 604-365-6099 IR@finalbell.com
SOURCE: Final Bell Holdings International Ltd.
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