$AXXA Exxe Group Acquires US$8,000,000 Hemp Grower and Trading Operation https://www.otcmarkets.com/stock/AXXA/news/story?e&id=1379843
NEW YORK, June 18, 2019 (GLOBE NEWSWIRE) -- Exxe Group, Inc. (OTC PINK: AXXA), a diversified company focused on synergistic acquisitions in real estate, fintech, artificial intelligence, media and financial services sectors, today announced the acquisition of a controlling interest in Flying Creek Trading Group of Companies (“FCTC”), who have assets valued at US$8,000,000. FCTC focuses on physical specialized commodities trading, manufacturing and management consulting for specialized harvesting and processing technologies, storage and logistics. In addition to their core specialization, which provides a wide range of expansion opportunities for Exxe Group, FCTC has also succeeded in developing a community of growers that is synergistic with the Exxe’s communities segment. The acquisition is being funded using a combination of partner private equity funding, debt, preferred stock and limited personal guarantees of Exxe Group principals.
FCTC is well established with annual revenues exceeds US$2,000,000. The business can be rapidly scaled using a combination of Exxe Group technology, management consultancy, and access to capital. In addition to bringing sales and distribution expertise, Exxe Group’s financing, execution services and technology will enable large scale transaction processing and will provide a competitive advantage in the physical commodities trading supply chain.
About FCTCFCTC was established in 2006 to bridge customers with producers of niche commodities. FCTC acts as the broker in the exchange and consults on processing and logistics to fulfill successful trades for both sides. The business expanded in 2012 to provide custom harvesting and processing of specialty crops in Saskatchewan, Canada.
FCTC processing includes steam distillation to extract aromatic compounds from herbs, flowers and spices, supplying flavor houses and specialty manufacturers with essential oils and absolutes, including CBD. Biomass by-product is ground to a fine powder which is sold to a specialty paper manufacturers, and the company has also started to supply other grades of biomass powder to the plastics and construction industries.
Contracted over 3,000 hectares
Ability to process 20 tonnes daily through steam distillation
Ability to process up to 1,600 tonnes annually through grinding plant
Supplied over 160 tonnes of paper powder to the specialty (rolling) paper market in 2018-19
Started to supply plastics and construction industries in 2019
They are expanding their custom harvest services to the industrial hemp industry in the US for the 2019 harvest season, with an ability to harvest 200 acres per day for processing at their sites in Canada and the US.
Eduard Nazmiev, Exxe Group CEO, commented, “I am excited to introduce to our investors an acquisition that will expand on our core competencies. Exxe Group added values by building communities and marketplaces. In addition, we have already lined up a number of targets in the verticals of agriculture and trading that should bring exponential growth and will allow us to quickly and rapidly scale FCTC, delivering strong shareholder value.”
About Exxe GroupExxe Group is a diversified corporation focusing on acquisitions in the following sectors: real estate, technology, media, and financial services. Exxe Group is an acquisition-driven company. The company strategy is to acquire controlling equity interests in undervalued companies and undertake an active role in improving their performance - accelerating their growth by providing both access to capital and management expertise. For additional information go to www.exxegroup.com
CONTACT: Exxe Group IR: firstname.lastname@example.org
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Source: Exxe Group
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