sales and development
In December 2021, the company signed a letter of intent to acquire 100% of the Polish Hemp Juice Sp. z oo shares. The acquisition is expected to close in January 2022. With the acquisition of Hemp Juice, the group will significantly increase its sales. The company will release detailed pro forma figures for the new group in connection with the closing of the acquisition.
In the second half of 2021, Hemply Balance signed agreements with almost ten well-known retailers in the Swedish market, including pharmacy chains such as Kronans Apotek, MEDS Apotek, Apotea and Apohem. The company has also entered the Swiss market by signing with distributor Götz & Brands. The Swiss collaboration has resulted in the company’s products being retailed at several reputable retailers such as Manor, Zurrose, Perfecthair and Frauendrogerie. Overall, the new partnerships mean that Hemply Balance has seen strong B2B retail growth in the second half of 2021.
The successful cooperation with Götz & Brands also led to an extension of the partnership. From the first quarter of 2022, Götz & Brands will drive Hemply Balance operations in both Switzerland and Austria. This operation means both B2B retail and direct to consumers via the hemplybalance.ch domain.
Additionally, the company signed a memorandum of understanding with Japanese Life Activation to enter the Japanese CBD market in 2022.
market situation
The European CBD market continues to grow steadily. In line with market developments, most countries have adopted an increasingly liberal regulatory framework for CBD. It was only in June 2021 that the French Supreme Court ruled that CBD could be sold in physical stores.
At the same time, there is a trend in the international market where countries are increasingly legalizing cannabis for adult use or for medical purposes. The European market is currently going through a process, with a handful of countries expected to legalize cannabis in 2022. Countries like Germany and Luxembourg are currently undergoing a national cannabis legalization process.[1]
The European CBD oil market is expected to grow at a CAGR of 40% between 2022 and 2029, and the market value is projected to reach USD 8.45 billion by 2029.[2]
perspectives
Given the upbeat market sentiment, Hemply Balance has a bullish outlook. The market prospects in terms of regulation are also positive at EU level. With a more explicit regulatory framework, more opportunities for expansion and product development will open up. The company intends to further expand in the European market by continuing its acquisition strategy as well as solid organic growth.
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“We continue to grow through our recognized strategy: consolidation in Europe through further acquisitions in our industry and organic growth, driven by additional distribution channels and an expanded product portfolio,” said Jonas Lenne, CEO of Hemply Balance.
About Hemply Balance
Hemply Balance is a health food company that sells safe, high quality hemp personal care products, hemp oil and hemp capsules outside of Sweden. The company aims to consolidate its position as the leading player in high quality hemp products in Sweden and to become a significant player in Europe.
Augment Partners AB, tel. +46 8 604 22 55, email: info@augment.se is the mentor of the company.
For more information, visit the Hemply Balance website at www.hemplybalance.com
[1] New Frontier Data, 22 for 22 – Cannabis Industry Claims and Forecasts, January 2022.
[2] MarketWatch, Europe CBD Oil Market Size, Share 2022 is growing rapidly with Current Trends, Development, Revenue, Demand and Forecast to 2029, 2021-12-27.
source https://www.bisayanews.com/2022/01/21/hemply-balance-updates-on-the-positive-outlook-ahead/
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