Pontus Announces Letter of Intent With Leading Nutraceutical Market Distributor
Posted on March 25, 2021
VANCOUVER, B.C., March 25, 2021. Pontus Protein Ltd. (TSXV: HULK, FSE: 8YC) (“Pontus” or the “Company”), has completed a further strategic milestone to prepare the Company for entry into the global nutraceutical market (dietary supplements, functional beverages and foods industry), and is pleased to announce having signed a letter of intent (the “LOI”) with CCSC Solutions Inc. (“CCSC”), a private British Columbia corporation focused on compliance, sales and distribution into the nutraceutical market.
The global nutraceutical market size was valued at USD$382.51 billion in 2019 and is expected to expand at a compound annual growth rate of 8.3% over the forecast period* as consumers seek more functional nutritional source intake. Pontus Protein Powder has over 42% protein and also contains high fibre, high iron, low sodium, and all essential amino acids, making it a highly viable product for the nutraceutical market.
Chuck Yip, President and CEO of CCSC, said, “The nutraceutical market is growing rapidly as people are seeking to eat themselves healthy. My extensive supply chain management and senior level operations management experience will help Pontus on both the manufacturing and distribution side. Managing the supply chain for the largest nutraceutical brands in North America, I saw companies using alternative proteins, struggling to find high quality, pure protein. I also saw issues with contaminants, such as lead. I am looking forward to introducing Pontus to my many industry colleagues. They will be excited that there is a Canadian grown, natural product that not only is high in protein but also has a broad nutritional profile and is clean, without pollutants, pesticides, chemicals and toxic metals such as lead. Working with Pontus now, we can ensure we have customers ready when the Surrey facility is in full production.”
Connor Yuen, CEO of Pontus, added, “We identified the nutraceutical market as a high value opportunity. Chuck’s experience in this market will be invaluable to help us navigate the approvals and market. He can introduce us to the large corporations who are seeking high quality ingredients to enhance their products. Chuck is a member of our Advisory Board. We are grateful to have such an experienced Advisory Board, whom we meet with regularly. Each is a seasoned business leader with a proven ability to execute, and we have valued their experience and guidance as we build Pontus’ future.”
It is the intentions of Pontus and CCSC to continue good faith negotiations to finalize a definitive agreement (a “Definitive Agreement”) that would cover distribution and sales and which will also lay out the economic terms of such arrangement. The Definitive Agreement shall contain such representations and warranties, covenants, and other provisions as are customary of a transaction of this nature.
About CCSC Solutions Inc.
Chuck Yip founded CCSC following his experience working in supply chain management with the large corporate nutraceutical companies, including Webber Naturals and white labelling for Costco, the Kirkland brand. He saw the opportunity for high quality premium products and set up CCSC to find the right partners and make the connections into the companies that had been struggling to find the right functional ingredients. The company handles compliance, sales and distribution into the nutraceutical market, building relationships for long term growth.
Zimtu Marketing Agreement
Pontus also announces that it has signed a twelve-month (the “Term”) digital marketing agreement (the “Zimtu Marketing Agreement”) with Zimtu Capital Corp. (“Zimtu”). Pursuant to the terms of the Zimtu Marketing Agreement, Zimtu shall receive $9,625 per month for duration of the Term, with the entire amount payable at the beginning of the Term. Zimtu will market Pontus to their extensive database of investors and use their proven “ZimtuAdvantage program”.
About Zimtu Capital Corp.
Zimtu Capital Corp. (TSXV: ZC, FSE: ZCT1) is a public investment issuer that aspires to achieve a long-term capital appreciation for its shareholders. Zimtu Capital companies may operate in the fields of mineral exploration, mining, technology, life sciences or investment. Zimtu trades on the TSX Venture Exchange under the symbol “ZC” and Frankfurt under the symbol “ZCT1”. For more information, please visit http://www.zimtu.com.
About Pontus Protein Ltd.
Pontus Protein Ltd. is a Vancouver, B.C. based agricultural technology company that will enable millions to rethink their food choices while helping people do the world a world of good. By offering sustainably grown plant based food options that are nutritious and delicious, we’re helping this kind of diet become the norm.
Pontus is reinventing agriculture with their proprietary Closed Environment Vertical Aquaponic System (CEVAS) – the farming of the future. Pontus specializes in the indoor vertical farming of water lentils that use 95% less water than traditional agriculture and no pesticides or chemicals. Pontus is committed to solving the global food crisis by providing access to sustainable indoor biosecure pure plant based proteins. Pontus’ water lentils can be harvested every 24 hours, exceed organic certification, and can be grown in any climate in a relatively small area. Our water lentil protein is filled with antioxidants, minerals, vitamins and all the amino acids, making a complete protein food source. Pontus aims to revolutionize the plant based sector as the entire sector is currently based on two main protein sources: soy and pea. Water lentil protein is far superior to pea and soy protein. It contains over 40% protein vs. 5-36% protein*, and Pontus aims to be the base protein for plant based food products, leading to the movement transitioning the world from meat based to plant based proteins.
To learn more, please visit www.pontuswaterlentils.com.
On behalf of the Board of Directors
Connor Yuen, CEO
Pontus Protein Ltd.
For more information, please contact:
Connor Yuen Chief
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Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future, including but not limited to, the anticipated use of proceeds of the Offering, Including those from the Second Tranche, by the Company and Pontus’ ability to revolutionize the plant based sector and enable millions to rethink their food choices. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including risks related to factors beyond the control of the Company. These risks include, but are not limited to, the following: the unknown magnitude and duration of the effects of the COVID-19 pandemic, the failure of Pontus to receive TSX Venture Exchange approval for the closing of the remainder of the Offering, Pontus’ inability to close further tranches of the Offering, the failure of Pontus to receive the necessary approvals from the Canadian Food Inspection Agency for its products and facilities, the inability to complete Pontus’ Surrey Facility, as well as other general business, economic, or market related risks beyond the director control of the Company and which may affect the Company’s business, operations, or products. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. The Company undertakes no obligation to update forward-looking information if circumstances or management’s estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.