5th Feb 2020 12:47
(Alliance News) - Zoetic International PLC on Wednesday said that it has made a substantial and positive progress across the UK and US.
The cannabidiol and natural resources company said that two major US distributors AATAC and New Age Beverages Corp have expressed interest in taking on Zoetic's Chill chew pouches and smokables. Chill is the company's tobacco alternative brand.
Zoetic said that the total stores presented by both distributors amount to about 12,000, adding that it intends to supply around 500 new stores each month with the estimate that it will take up to two years to complete the rollout of the Chill products. Zoetic intends to supply initial stores by spring.
The company also said that the launch of the CBD gummies have generated interest in the UK with online sales increasing as well as an uptick in the amount of new wholesale customers. The UK retail division now has 19 product lines. It added that the UK customer website will be upgraded and relaunched in the coming weeks.
Zoetic also said that it is on course to begin feminised hemp seed sales in the US, in the coming weeks. In addition to developing a website to advertise seed sales, it is working on the feasibility of supplying enquiring growers located outside of the US.
"Our business continues to develop on all fronts and competition in the CBD industry shows little sign of abating. I am pleased with the substantial progress we have made in a little over 10 months from a standing start. This has given us the belief that we can convert our branding and marketing efforts into significant sources of revenue," said Zoetic Chief Executive Nick Tulloch.
In a separate statement, the company says it is still in the process of recovering funds from its legacy natural resources business. Although monthly revenue from the East Denver Project is satisfactory, there are a number of physical assets not essential to the operation of the division. Plans are in place for these assets to be realised.
Additionally, bonds worth around USD270,000 lodged with state authorities remain outstanding, with USD50,000 expected to be settled soon and the rest of the balance expected during the course of the year.
Shares in Zoetic - based in Perth, Scotland - were up 4.6% at 7.01 pence each on Wednesday afternoon in London.
By Ife Taiwo; [email protected]
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