LOS ANGELES, Dec. 07, 2020 (GLOBE NEWSWIRE) -- Cannabis Global, Inc. (OTC: CBGL), an innovation-oriented company investing in disruptive cannabis and hemp-related technologies and Marijuana Company of America (MCOA) today issued statements concerning the recent positive vote in the U.S. House of Representatives on the Marijuana Opportunity, Reinvestment, and Expungement Act (MORE Act). Additionally, the CEOs of the Companies issued comments on the recent share exchange agreement between the Companies, resulting in CBGL owning 650 million shares of MCOA and MCOA owning 7.2 million shares of CBGL.
Both Companies see strong opportunities from the nationwide legalization of marijuana, as follows:
Cannabis Global (CBGL) Chief Executive Officer, Arman Tabatabaei added, “CBGL now owns 650 million common shares of MCOA, representing millions of dollars of added value to our common shareholders, especially considering there are only approximately 40 million total CBGL common shares currently outstanding. This is in addition to the approximately $1.7 million recently added to our balance sheet as a result of our investment in Natural Plant Extract of California, Inc. (“NPE”) which operates a licensed cannabis manufacturing and distribution operation. While the overall value of our stake in MCOA will fluctuate based on market volatility, we are nevertheless very pleased to have been able to add this extra and very meaningful value to our common shareholders. The opening of national cannabis markets is important to our progress as we have taken a nationwide intellectual property and product approach with our Comply Bag™, a secure cannabis transport system, and our patent-pending infusion technologies, which are targeted at rewriting the cost and potency equation relative to dosing foods and beverage with THC, CBD and other cannabinoids. We believe that the MORE Act further improves our national market positioning.”
Marijuana Company of America (MCOA), CEO, Jesus Quintero commented, “We fully support the MORE Act and national legalization in general. We believe legalization will not only help us to penetrate other U.S. markets but will also ultimately make doing business internationally much easier as MCOA pushes into Latin and South America. We also are looking forward to our ongoing collaborations with our partner company, Cannabis Global Inc. relative to both CBD products and their nano infusion efforts to which we are a partner. By way of the recent share exchange agreement, Marijuana Company of America now owns 7.2 million shares of CBGL, representing strong added value to all of our stakeholders and stronger balance sheet.”
Both companies are also pleased that their joint ownership interest in Natural Plant Extract of California (NPE) will be less regulated once this bill is fully in effect. NPE has licenses in California for the Manufacturing and Distribution of cannabis within the state. This bill will likely open the door to numerous M&A opportunities, distribution contracts, and contract manufacturing arrangements for the extraction of cannabis products.
About Marijuana Company of America (OTC:MCOA):
Throughout 2021, investors should expect the Company to continue to revitalize and expand its marketing efforts relative to the innovative hempSMART product line, with a strong emphasis on further enhancing our already strong product quality among consumers.
MCOA has taken significant strides to address convertible debt levels, having cycled through nearly half of our legacy debt. While there is still more work to do in this area, we are committed to continuing the transition from debt financing to equity financing, which is far less dilutive for all stakeholders in the Company. Our recently effective S-1 filing with the U.S. Securities & Exchange Commission is a big step in the right direction.
About Cannabis Global (OTC:CBGL):
Cannabis Global, Inc., formerly known as MCTC Holdings, Inc., is a fully audited and reporting Company with the U.S. Securities & Exchange Commission, trading with the stock symbol CBGL. The Company is an emerging force in the area of cannabinoid sciences and highly bioavailable hemp and cannabis infusion technologies. The Company does not engage in the production, distribution, or sales of any controlled substances, including marijuana. The Company has an actively growing portfolio of intellectual property having filed six patents in the areas of cannabinoid delivery systems and cannabinoid polymeric nanoparticles. The Company markets its consumer products under the Hemp You Can Feel™ brand name. Cannabis Global launched its Project Varin early in 2020, to develop new delivery methods for rare cannabinoid Tetrahydrocannabivarin (THV-C) and to develop products based on this cannabinoid.
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.
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