Kannaway acquires KZ1 to catalyze growth in Japanese market - Network Magazine

Kannaway acquires KZ1 to catalyze growth in Japanese market

by Maciej Maciejewski

Kannaway, the direct selling division of Medical Marijuana, announced the acquisition of eXfuse, LLC, dba KZ1, a Japan-based network marketing company. This acquisition is expected to add approximately 1,450 distributors to the company’s sales force in Japan, which the company believes will be a benefit as it ramps up its business in the Japanese market. It will also introduce nootropic-focused products to Kannaway’s current line of CBD, natural health and beauty products.

The acquisition agreement assumed essentially all of KZ1’s operating assets for a purchase price of $5 million, with a cash closing of $150,000 and conditional obligations to KZ1 of $4.85 million, which will be paid out through royalties and sales overrides in the future.

– The combining of these two companies’ products and distributor genealogies will have an immediate positive effect on revenue in Japan. I am so excited for Kannaway and KZ1 distributors coming together with such a strong message of hemp and wellness – said Bill Andreoli, Kannaway president.

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