Privately held Sera Labs, a leading CBD
health and wellness company, announced today that it has entered into a
Memorandum of Understanding for a 100% acquisition by CURE Pharmaceutical (OTC:
CURR), an innovative drug delivery and development company for a total up-front
consideration of $20 million, comprising $19 million in CURE stock at a
valuation of $2.75 per share, and $1 million in cash, with an initial,
additional commitment of $4 million for working capital in support of accelerating
Sera Labs’ growth. The transaction also includes the potential for an earn out
of up to $20 million in CURE stock at a valuation of $3.34 per share within two
years of the closing of the acquisition, contingent upon Sera Labs achieving
certain key financial targets. The structure of the earn out is designed to
align risk and reward between CURE stockholders and Sera Labs’ management, with
a focus on strong operational alignment and financial execution. The
transaction is expected to close, subject to a definitive agreement and
customary closing conditions, by the fourth quarter of 2020.
Sera Labs was founded in 2018. Net
sales (unaudited) for the most recent quarter ended June 30, 2020, totaled $1.8
million, reflecting a steep sales growth trajectory and early strong reception
for its novel products across the CBD-based beauty, health & wellness, and
pet product markets. The increase in sales, as projected for the third and
fourth quarters and beyond, is subject to this agreement’s new infusion of capital,
and attributable to newly signed distribution agreements, the acceptance of
additional retailers for CBD, and the explosive growth of Sera Labs’ digital
opt-in subscription model, which is just beginning to show rapid growth in line
with internal projections
– CURR is a new Drug Delivery Company
that Improves Efficiency, Safety and Patient Experience is about to take the
world by storm
CURR also has New Product Applications
in the Multi-Billion Dollar Male Erectile Dysfunction Market
CURE Pharmaceutical (OTCQB: CURR),
based in Oxnard, CA, is a vertically integrated drug delivery and development
company committed to improving drug efficacy, safety, and patient experience
through its proprietary drug dosage forms and delivery systems. CURR has an
FDA- and DEA- registered, GMP manufacturing facility and is a pioneering
developer of CUREform(tm), a patented drug delivery platform. CUREform(tm)
includes CUREfilm(tm), one of the most advanced oral thin films on the market
today; microCURE(tm), an innovative emulsion technology utilizing proprietary
encapsulation techniques; and CUREpods(tm) a novel chewable delivery system.
– Innovative Medication Development
& Enhancement Company.
– Patents for Extraction, Concentration & Processing of Specialized
Medicinal Compounds.
– New Marketing to Mexico in Collaboration with Factoria Bogar Subsidiary.
– Balance Sheet Strengthened by $1.4 Million from June Warrant Exercise.
– New Oral Thin Film Product for the Multi Billion Dollar Erectile Dysfunction
Market.
– NSF’s cGMP Certification for Dietary Supplements
– Canopy Rivers Chairman John K. Bell, FCA, FCPA, ICD.D is on CURR’s board of
directors.
– CURR has over 22 Patents and Patents Pending Worldwide
– Applications in the Multi-Billion Dollar Erectile Dysfunction Market
CURR’s Chinese Patent No. ZL201480039313.6 regarding the loading
of high amounts of active drug on an oral thin film using its proprietary drug
delivery systems. This new patent includes the company’s lead product, CUREfilm Blue(tm), a soluble thin film for oral
administration of sildenafil citrate to treat erectile dysfunction (ED) in
China.
The ED drug market is expected to reach USD $6.5
billion at a 6% compound annual growth rate by 2025, according
to QYResearch. The report points out that the Asia
Pacific market will be one of the fastest growing markets for ED
medicine. Sildenafil is leading the ED drug market worldwide with more
than half of all global sales.
CURR’s CUREfilm Blue(tm) is FASTER and is expected to
require less of the ED drug. This enables CURR to differentiate its oral thin
film product from Sildenafil and Viagra oral soluble films.
CURR Products Fall Into Two Categories:
Nutraceuticals (dietary supplements) and Pharmaceutical Medicines
Nutraceuticals:
CUREfilm(R) Sleep is a daily dietary supplement
that delivers a unique blend of five active ingredients with the CUREfilm(r)
platform to promote healthy sleep patterns. This product is launched in U.S.
markets.
CUREfilm(R) D is a high-potency dietary
supplement that provides 50,000 IU of Vitamin D3 delivered with the CUREfilm(r)
platform.
CUREfilm(tm) Hemp delivers hemp
extracts via the CUREfilm(r) dosage form. This product is launched in U.S.
markets.
CUREfilm(R) β-Caryophyllene is a dietary supplement that contains 30mg of
β-Caryophyllene, a powerful terpene known for its anti-inflammatory and
analgesic properties.
Pharmaceuticals:
CUREfilm(R) Blue contains 50mg of Sildenafil
delivered with the CUREfilm(r) platform.
CUREfilm(r) Canna delivers
synthetic and plant-derived cannabinoids in an oral thin film for
pharmaceutical indications.
For more information on CURE Pharmaceutical
(OTCQB: CURR) visit: http://curepharmaceutical.com
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