viewWeekend Unlimited Industries Inc.

Weekend Unlimited's Orchard Heights and Boggy Boon Alliance sees immediate progress

Boggy Boon (Seven Hills LLC) and Orchard Heights have secured orders for delivery beginning this week

cannabis greenhouse
Boggy Boon is ranked in the top 5% of all cannabis brands in Washington State

Weekend Unlimited Inc (CSE:YOLO) provided an update to investors Tuesday on the progress its subsidiary Weekend Unlimited Washington LLC has made with its Orchard Heights, Boggy Boon alliance.

This month, Weekend Unlimited signed a letter of intent to provide processing and distribution facilities to Boggy Boon-branded cannabis company Seven Hills, with an option to acquire Seven Hills.

READ: Weekend Unlimited’s Orchard Heights signs a letter of intent with Boggy Boon to spur Washington state expansion

Boggy Boon-branded cannabis is cultivated in a 28,000-square feet facility in Wenatchee, located in north-central Washington where Weekend's wholly owned subsidiary Orchard Heights Growers is also conveniently located.

Within the first week of signing a letter of intent to form an alliance with Weekend Unlimited, Boggy Boon (Seven Hills LLC) and Orchard Heights have secured orders for delivery beginning this week.

The increased capacity achieved, thanks to the partnership, has paved the way for accelerated processing and packaging to satisfy the demands of business to business white label accounts, a key Boggy Boon target market.

“With the alliance with Boggy Boon, the Weekend Unlimited Washington will have entered into strategic partnerships with two independent indoor/outdoor cultivation facilities with synergistic production and logistics capacity in Washington State,” explained Weekend Unlimited CEO Paul Chu in a statement.

According to Chu, Boggy Boon is ranked in the top 5% of all cannabis brands in Washington State.

“Its strategic operating tenants, Orchard Bloom and Boggy Boon, the latter of which is in the top 5% of all producers' processors in the State (based on i502 data), will seize upon the immediate capacity and resources as a result of the deal to expand product lines and distribution,” Chu added.

Boggy Boon to double production, thanks to partnership

Working with the Weekend Unlimited alliance, Boggy Boon expects to double its production and increase revenue beyond 2018's C$1.97 million.

In the first month of 2019, Boggy Boon is on pace to achieve its largest retail sales month on record.

Boggy Boon will be working with Orchard Heights’ brand processor facility to fill upcoming orders as they currently have outgrown their commercial space.

Deal terms in focus

Under the terms of the agreement, Weekend will provide a loan of up to US$750,000 to Seven Hills in three equal tranches over nine months to upgrade its facilities. It will have the option to acquire 100% of Seven Hills for $1.5 million.

Due to the alliance, Orchard Heights will have more diverse products to offer its customers and will be able to sell Weekend brands to existing 130 Boggy Boon retail accounts.

Weekend's facility in Wenatchee will not only provide synergy to boost revenue for both companies but it will also slash operating expenses, thereby increasing profit margins.

Upon its completion, the Orchard Heights Wenatchee facility will be a nursery, processing and distribution center, with a concentrate lab for manufacturing infused and vape products.

Vancouver-based cannabis-focused Weekend Unlimited recently completed its November acquisition of Verve Beverage Company, the maker of both CBD and non-CBD beverages. Verve holds the Champ Energy brand, which gives Weekend an accelerated model to launch into CBD-infused beverages.

Contact Ellen Kelleher at [email protected]


Quick facts: Weekend Unlimited Industries Inc.

Price: 0.26 CAD

Market: CSE
Market Cap: $2.97 m

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