Los Angeles/Desert Hot Springs, CA, Feb. 04, 2020 (GLOBE NEWSWIRE) -- Grapefruit USA, Inc., a Delaware corporation, (“GPFT”) (OTCPink: GPFT) (“Grapefruit” or the “Company”) a California based cannabis company is announcing today that on January 28, 2020 it entered into a Private Label Cultivation Agreement with a prominent Southern California based cannabis cultivator (the “Cultivator”). This Cultivator utilizes a state of the art, indoor Canopy grow system to produce premium grade Cannabis flowers. Under the terms of the Agreement, the Cultivator will allocate a portion of its indoor canopy to Grapefruit. Grapefruit has indicated to the Cultivator which cannabis strains it has chosen for the Cultivator to produce for it based upon Grapefruit’s perceived market demand and profit margins. The initial strains will include two different OG cultivars, and a Runtz cultivar which will be hand trimmed pursuant to the agreement. Grapefruit management believes that the allocated cultivation area will produce approximately 400 pounds or 181,200 grams of premium grade dried cannabis flowers on a seventy day cycle. In addition, the contract grants Grapefruit the right to purchase the “trim” resulting from the hand trimming process. The Agreement will also be subject to industry standard payment and delivery provisions.

With respect to signing the Agreement, Bradley J. Yourist, Grapefruit CEO, stated, “This Agreement, with an acknowledged master grower and cultivation team, will provide Grapefruit with an initial steady supply of premium grade, indoor cannabis flowers to enable us to quickly expand our distribution business and concomitant distribution revenue stream. This Agreement will also afford Grapefruit the option to brand our own line of indoor grown high-grade cannabis flowers for the retail market in California. We will be launching this project immediately as we achieve another milestone on our path to becoming a leading vertically integrated cannabis producer.”

To learn more about Grapefruit, please visit our website at:
https://grapefruitblvd.com


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About GRAPEFRUIT

Grapefruit’s corporate headquarters is in Westwood, Los Angeles, California. Grapefruit holds California permits and licenses to both manufacture and distribute cannabis products. Grapefruit’s extraction laboratory and distribution facilities are located in the industry recognized Coachillin’ Industrial Cultivation and Ancillary Canna-Business Park in Desert Hot Springs, located on the extension of North Canyon Rd., approximately 14 miles north of downtown Palm Springs. Grapefruit obtained its California cannabis licenses in January 2018 and commenced distribution of cannabis products thereafter. Grapefruit’s vision is to become a seed to sale, fully vertically integrated ethical and compliant cannabis product Company. To obtain further information on Grapefruit and its operations, please visit its website at https://grapefruitblvd.com/. To learn more about Grapefruit’s Sugar Stoned branded line of cannabis and CBD infused edibles, please visit us at https://sugarstoned.com/.

Safe Harbor Statement
           
Imaging3 cautions you that any statement included in this press release that is not a description of historical facts is a forward-looking statement. Many of these forward-looking statements contain the words "anticipate," "believe," "estimate," "may" "intend," "expect" and similar expressions. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the company and are subject to a number of risks and uncertainties inherent in Grapefruit’s business, including, without limitation: the company may not ever obtain additional funds necessary to support its business development and growth plans; and the company may not ever achieve the market success to reach or sustain a profitable business. In addition, there are risks and uncertainties related to economic recession or terrorist actions, competition from much larger cannabis companies, unexpected costs and delays, potential product liability claims, and many other factors. More detailed information about Grapefruit and the risk factors that may affect the realization of forward-looking statements is set forth in the Company’s filings with the Securities and Exchange Commission, including the company’s Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q for the period ended June 30, 2019 and its Registration Statement on Form S-1. Such documents may be read free of charge on the SEC’s website at www.sec.gov. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement, and Grapefruit undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof. This caution is made under the safe harbor provisions of Section 21E of the Private Securities Litigation Reform Act of 1995.

Investor Relations Contact:
Bradley Yourist
brad@grapefruitblvd.com
18776 Blue Dream Crossing, Unit LL1 53-07
Desert Hot Springs, California 92240
(760) 205-1382
https://grapefruitblvd.com/