CBD Global Sciences, Inc. (OTC: CBDNF) (CSE: CBDN) (Frankfurt: GS3) (“CBD Global”) recently announced its acquisition of Colorado CBD company Resinosa LLC (“Resinosa”), facilitating increased manufacturing and distribution of CBD and non-CBD products. The execution of the definitive agreement took place September 29, 2021 after six months of due diligence between the companies.
Resinosa is based in Silver Cliff, Colorado, a low cost of living area, which positions the company at an advantage in processing and manufacturing its products. The Resinosa team holds expertise in engineering, culinary arts, construction, farming, and aerospace, though it is primarily focused on providing companies with white label CBD products -- or those that are finished and branded. The company supplies to clients ranging from pet and veterinary to cosmetic products.
The acquisition entails an initial issuance of 5,378,657 Class A Common Shares and 99,889 Series A Preferred Shares of CBD Global. Closing of this acquisition is expected to occur before October 15, 2021.
“This acquisition is strategic in nature and will dovetail nicely into the supply chain with Legacy Distribution Group,” says Brad Wyatt, CEO of Global Sciences. “Giving CBD Global the ability to formulate and manufacture both CBD and non-CBD products while having the ability to place new products directly into the market with points of distribution created by Legacy Distribution Group will prove advantageous to the Company and its shareholders.”