LAS VEGAS–(BUSINESS WIRE)–Medican Enterprises Inc. (OTCBB:MDCN) (“Medican” or “the Company”), a merchant bank and bio-pharmaceutical company in the emerging global marijuana industry, announces that further to its press release of April 28, 2014 the Company has closed on its acquisition of TWYNS, a company that provides branding services for enterprises in the Cannabidiol (CBD) business. The transaction is valued at approximately $1,000,000, all in stock and is expected to add approximately $400,000 to Medican’s annual revenues.
TWYNS business plan extends the sale of CBD to more consumers globally through strategic branding,” stated Ken Williams, CEO of Medican Enterprises. “The model is Coca-Cola’s very successful bottling distributing arrangement. We believe that cannabis will be a cottage industry for the foreseeable future, with each regulated jurisdiction demanding fees and licenses. TWYNS will provide local growers, product manufacturers and distributors with a reliable ‘seal of approval’ that ensures quality and provides the consumer with a reliable benchmark.”
“TWYNS also helps drive long term value for shareholders,” continued Williams. “It will generate immediate profits from both licensing and certification businesses without capital costs or operational overhead. In addition, the Company is also partnered to sell quality tinctures and edibles. Sales of its signature infused products are expected to expand dramatically as well as sale of very high quality CBD oil to other companies.”
Unlike medical marijuana, which is produced primarily from strains of cannabis designed to deliver high levels of THC, CBD products can be extracted from industrial hemp, the high CBD, low THC strain used to produce textiles, ropes, resins, paper and other industrial materials.
TWYNS offers licensing on commercial art work and its unique E-MC2 trademark to manufactures of supplements, salves, lotions, and edibles. In exchange, it will receive royalties from CBD wellness product sales around the world. The company’s first client Hemp Health Inc. of Carlsbad, California, is a pioneer in hemp cannabidiol (CBD) products, imports and manufactures a variety of CBD products such as oil, spray and capsule form.
TWYNS will also provide trademarked packaging to CBD and THC dispensaries offering placement windows for both constituents — the empty window in the copyrighted box can be filled with their own or the customer’s choice of THC. TWYNS will receive a fee to license out the marketing space, or resell an empty bottle to fill the window with a THC of the customer’s choice.
In addition to the licensing business to wholesalers, TWYNS will provide cannabis growers with a free license to gain recognition beyond the local promotion they would otherwise be limited to.
“Expansion to any town city or state requires permitting, licensing, specific build outs etc, so that simply to go from one town in, say Colorado, to another could require an upfront investment into the hundreds of thousands,” said Jay Gordon, CEO of TWYNS. “It is that situation that makes the market ripe for a branding program such as ours to overlay the cottage industry and generate income as well as providing superior products.”
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Ken Williams, CEO | Medican Enterprises Inc.