VANCOUVER, BC, Nov. 24, 2020 /PRNewswire/ - (CSE: OVAT) (OTC: OVATF) – Ovation Science Inc. ("Ovation" or the "Company") announces that by mutual agreement its Licensing Agreement of November 10, 2017 with Lighthouse Strategies, LLC. ("Lighthouse") has been amended in order to facilitate Ovation's prospective expansion plans into additional states beyond Nevada in the US (the "Amendment"). Due to the continuing refinement of Ovation's business strategy for its cannabis products and because of Lighthouse's success in Nevada with Ovation's topical cannabis products, Lighthouse will focus its efforts on expanding its leadership in topicals in Nevada for a period of one year; renewable by mutual consent. In connection with the Amendment, Lighthouse will have the exclusive rights to Ovation's topical products containing THC and sold exclusively in Nevada dispensaries and the non-exclusive rights to Ovation's topical CBD products in Nevada only. Along with the previous terms of the Agreement, the Amendment specifies a Minimum Quarterly payment.
"The cannabis industry has evolved tremendously in the past three years when we first introduced Ovation's formulations into the US marketplace and notably even in the past two weeks following the US election." said Mr. Terry Howlett, President of Ovation. "We are focused on creating greater shareholder value and therefore are excited to now have the opportunity to seek additional licensees across the United States with this new Amendment in place. Our strategic growth plan is to secure multi-state operators through-out the US that have the infrastructure and marketing expertise in their regions to launch Ovation's CBD and THC topical products of which we have over 25 formulations developed including our beauty line ARLO CBD Beauty and our wellness line Invibe®MD. We have already proven the superiority of our products in Nevada with Lighthouse and believe this can be duplicated and expanded into other states." He added, "We also realize that there are Canadian and European companies that are seeking a foot-hold into the US market with science-based cannabis topical products and we will pursue those opportunities as well."
The recent changes to the cannabis market have highlighted greater opportunity for expanded US distribution of Ovation's patented topical and transdermal products. The pandemic has not slowed down overall cannabis sales, in fact, most US states and Canada showing record sales since the spring. (Sources: NewCannabisVentures.com, Sept 2020 "July Cannabis Sales Surge in 5 Western States" and Statista.com: www.statista.com/statistics/1045766/cannabis-store-sales-canada/). The election results showed that the legalization of marijuana continues to be widely accepted as shown by the recent unanimous approval of five more states legalizing medical or recreational marijuana (Arizona, Mississippi, Montana, New Jersey, and South Dakota). Additionally, there are over 90 bills in front of Congress including a comprehensive Democratic initiative called the More Act which could legalize cannabis federally. (TheFreshToast.com, Oct. 22, 2020: "Why The 2020 Election Could Change Everything For The Cannabis Industry".) This new legislation will be decidedly impactful for the cannabis industry with edibles and topicals standing to gain significantly from these changes to federal restrictions (Source: Happi.com 04.10.20 "MarketWatch: CBD Edibles & Topicals Expected to Gain Share of Cannabis Market").
Medical marijuana is now legal in 36 states plus the District of Columbia with 15 states having both medical and recreational cannabis approved. According to Statista.com, by 2024 retail sales of marijuana could reach as high as US$ 12 billion in sales, with medical marijuana sales expected to double. The CBD skin care market, one of markets where Ovation is position, is projected to reach US$959 million by 2024 (Source: Prohibition Partners: "The Impact Series: Disrupting Beauty.")
For information about Ovation Science products visit: https://ovationscience.com/products/.
About Ovation Science Inc.
Ovation Science Inc. is a research and development company that develops topical and transdermal consumer products including DermSafe® hand sanitizer and its two CBD product lines ARLO CBD Beauty and InVibe® MD, all made with patented Invisicare® skin delivery technology. The technology enhances the delivery of ingredients to and through the skin and is protected by patents in eleven countries. With over twenty years of topical and transdermal drug delivery experience in the pharmaceutical market, Ovation's management and science team have created a unique pipeline of over twenty-five patent-protected medical / wellness topical and transdermal products along with a line of anti-aging / beauty formulas. Ovation earns revenues from licensing and development fees, royalties, the sale of Invisicare to its licensees along with revenue from its own product sales. Ovation has offices in Vancouver, BC Canada and Las Vegas, Nevada, USA. Ovation trades on the CSE under the symbol OVAT and in the USA on OTC markets under the symbol OVATF. Visit our website www.ovationscience.com for more information.
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. In particular there is no assurance of expansion of its products in the US or elsewhere nor that a change in legislation will occur or have an impact. There are no guarantees of future performance. Ovation Science Inc. cautions that all forward looking statements are inherently uncertain and that actual results may be affected by a number of material factors, many of which are beyond Ovation Science Inc.'s control. Accordingly, readers should not place undue reliance on the forward-looking information. Ovation disclaims any obligation to revise or update any such forward-looking information to reflect future results, events or circumstances, except as required by law.
Neither the Canadian Securities Exchange, OTC Markets nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
SOURCE Ovation Science Inc.