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CHARLOTTE, N.C. — Level Brands Inc. has entered into a licensing pact with Vancouver-based Isodiol International to develop cannabidiol consumer products.
Under the agreement, cannabidiol (CBD) products would be developed for kathy ireland Health & Wellness, a licensor to Level Brands, and for Level Brands subsidiary I’M1, a lifestyle brand for men. The products include body balm, tincture, skin care, nano-mist and functional beverages, according to Kathy Ireland, Level Brands’ chairman emeritus and chief brand strategist.
Kathy Ireland
“Isodiol’s success in CBD products derived from hemp are 99% pure, bioactive and pharmaceutical grade,” Ireland said in a statement. “One of the many responsibilities in this new venture is, for me personally, to serve as educator-in-chief about cannabidiol and how it is used by Isodiol. This company is leading the strategy of appropriate uses of hemp derivatives, and Isodiol products are free of [tetrahydrocannabinol, the chemical compound responsible for a euphoric high]. It’s ironic that people find controversy in the powerfully useful hemp plant. Without THC, hemp has many natural and important uses, which are beneficial in countless ways. We need people to please understand that hemp, without THC, is similar to a grape without fermentation.”
The new Isodiol kathy ireland Health & Wellness and I’M1 products are expected to debut in mid- to late spring and be available online and in select retail stores.
“Level Brands is committed to exploring new and cutting edge technologies and products and bringing them to the American market,” stated Martin Sumichrast, Level Brands’ chief executive officer. “Isodiol is a pioneer and a leader in the commercialization of a 99%-plus pure, bioactive, pharmaceutical-grade CBD derived from the hemp plant. We are excited to work with Isodiol on developing the highest-quality, hemp derivatives-based consumable and topical skin care products for kathy ireland Health & Wellness and I’M1.”
The contract term of the agreement is for an initial five years, Level Brands said. The parties plan to finalize all points of the negotiations no later than Jan. 31. Under the financial terms, Level Brands will receive an initial $2 million payment in the form of Isodiol shares and initial cash payments of $62,500 due at execution of the licensing agreement and on June 30. Also during the agreement’s term, Level will receive $750,000 per quarter in the form of Isodiol shares and a 3% royalty on all gross sales of branded products.
“We look forward to benefitting from Kathy Ireland’s proven track record in product strategy and marketing,” commented Marcos Agramont, president of Isodiol. “Ms. Ireland has an uncanny sense of her consumers’ tastes and needs, which has led to their extraordinary loyalty and confidence in her products. Having brought over 17,000 diverse and popular products to market, she has captured the hearts and minds of millions of customers who actively and consistently support her brands.”
