Halo Labs has entered into a Letter of Intent to establish a joint venture and strategic alliance with Terphogz, doing business as Zkittlez. The joint venture will establish and operate a state- and locally licensed commercial cannabis cultivation facility at Ukiah Ventures Inc. (UVI). Halo and Zkittlez plan to jointly operate this large indoor grow.
"The proposed Zkittlez JV is an 18,000 square foot project in which Halo plans to start the buildout in last quarter of 2020 and to complete the build-out by mid-2021, utilizing Halo’s working capital line," the team with company explains.
"The joint venture will produce and manufacture cannabis products, using Zkittlez existing proprietary cannabis genetics, under Halo’s various licenses in California. The collaboration will then distribute these genetics in various cannabis products in California, under Zkittlez’s existing brand and strain names, as well as jointly developing and commercializing new and unique cannabis genetics in the heart of Mendocino, California."
Jon Orantes, Managing Director of Zkittlez, describes how the joint venture makes sense for his company: “Obviously we're really excited about the project. Terphogz are considered a top breeding group; and we’ve found it challenging to compete in the California space without a large-scale indoor production of our own. The combination of our brand popularity in California, and Halo's resume of being serious operators who can bring the needed infrastructure, is a winning formula. We are glad to have this opportunity to reach more of the market with our products and bring the Zkittlez movement to the next level!”
Halo’s CEO, Kiran Sidhu, opines: “We have the space at UVI; and the Zkittlez™ team understands how to run a large indoor grow facility. This is truly a perfect combination that should lead us on a very successful path. By choosing Terphogz as our partner, we will ensure that we start with the best raw materials, leveraging our extraction, manufacturing and product development operations with a leading brand-name and strains, such as Zkittlez™ and others in the Zkittlez™ family. We look forward to expanding the reach and accessibility of Terphogz genetics through all our lines, including our new edible products. Running this facility should bolster Halo’s revenue and operating profit. This collaboration will strengthen our vertical supply chain in California.”
For more information:
Halo Labs
halocanna.com