SANTA ANA, Calif., July 12, 2018 – Kush Bottles, Inc. (OTCQB: KSHB) (“Kush Bottles” or the “Company”), a leading provider of packaging, supplies, vaporizers, hydrocarbon gases, solvents, accessories and branding solutions for the regulated cannabis industry, has announced plans to change its name to KushCo Holdings, Inc. effective at the beginning of the upcoming fiscal year (September 1st, 2018). The new name reflects the Company’s shift to a more diversified business model, which offers a broad range of ancillary products and services to cannabis and CBD businesses, including medical and adult-use dispensaries, growers, and producers in the cannabis industry, as well as targeting pharmaceutical, veterinary and other applicable industries. The Company’s core B2B sales and distribution arm will continue to operate under the Kush Bottles name. The name change was approved by the Company’s stockholders at the Company’s 2018 annual meeting of stockholders.
KushCo Holdings will consist of several business units, including Kush Bottles, Koleto Packaging Solutions and Zack Darling Creative Associates (ZDCA) and its subsidiary, The Hybrid Creative. The new structure is expected to better support continued acquisitive growth at the Company, as well as organic growth by leveraging operational synergies and cross selling opportunities.
In addition, the Company is announcing the expanded capabilities of a new division it launched earlier this summer, Koleto Packaging Solutions (“Koleto”), an FDA-compliant packaging solutions business unit focusing on the pharmaceutical and veterinary industries. The Company plans for Koleto to expand and become a more robust innovation arm that will focus on building proprietary intellectual property and designing unique products for both cannabis and non-cannabis industries.
Nick Kovacevich, the Company’s Chairman and CEO, commented, “When we started the Company, our core focus was on providing specialized packaging solutions to the cannabis industry. Since then, we have expanded into several other verticals and successfully positioned the Company as a ‘one stop shop’ for the cannabis market through a combination of organic growth and strategic acquisitions. We have chosen to change our name to better reflect the full scope of our offering and provide a better corporate structure to support our aggressive growth strategy. KushCo Holdings will become an increasingly vital resource for the cannabis industry, and now with business units like Koleto, and our recent acquisitions of Summit Innovations and Zack Darling Creative Associates (ZDCA), we are poised to become even more deeply entrenched in our existing clients’ businesses, and to expand our product and service offering to other non-cannabis related industries.”
This new operational structure will allow the Company to easily scale and leverage shared services such as technology, human resources, finance, marketing, and vendor relationships. Each business unit will be led by a dedicated executive from the leadership team who will be responsible for the performance of each division. The Company’s main operating business unit, Kush Bottles, will be led by Jason Vegotsky, who will serve as President, having formerly been the VP of Sales.