New Endexx Corp. Subsidiary HYLA Targets Eight New
Acquisition of HYLA Significantly Improves Endexx’s Balance Sheet, Eliminating Excess Through Reduction in Pledge Bonds and Cancellation
CAVE CREEK, AZ, Sept. 13, 2022 (GLOBE NEWSWIRE) — via NewMediaWire – Endexx Corporation (OTCBB:EDXC), a provider of innovative, plant-based, and sustainable skin care and health products, today announces Today its newly acquired subsidiary, HYLA US Holdco Limited, a producer and marketer of organic, guarana-based, all-natural, nicotine-free vaping products, launched marketing approvals in eight new national markets, including Germany, Italy, Israel, Egypt, Slovenia, Romania and Iran. and Bahrain.
These markets will be in addition to HYLA’s currently active markets, the United States, where HYLA formulations are produced, Canada, Czech Republic, Georgia, Russia, Slovakia, South Africa, Switzerland, United Arab Emirates, United Kingdom and Uzbekistan. . HYLA’s unique products do not contain nicotine, but rather guarana, which the company believes will provide an attractive alternative in a market that continues to express strong demand for vaping products.
Introduced in October 2021, Hyla’s initial inventory of 140,000 devices sold out within the first month of availability. Proprietary formulations are manufactured in Los Angeles to protect intellectual property before entering international markets for final manufacturing and distribution. Hyla vape products carry Underwriters Laboratories global safety certification and are CE approved.
Named after the Guarani tribe in the Amazon, the guarana plant has its origins in the green forests of Brazil. According to Brazilian mythology, the first Guarana plant was cultivated by a king who planted the eye of a village child. Guarana seed, a natural ‘nootropic’, has a multitude of uses, the most common being as a coffee substitute. It has also been commonly used topically and as an anti-aging serum with antidepressant effects, cardiovascular support, libido enhancement, neuroprotection, longevity promotion, and weight loss, all reported anecdotally. Guarana contains caffeine, theobromine, theophylline, tannins and flavonoids.
HYLA CEO Nick Mehdi said, “We continue to see increased demand for our nicotine-free and guarana-based vaping products, with sales and territories increasing quarter over quarter, despite the current inability to sell the product online in the United States. With over 1,000 stores selling the product in the United States and the potential to expand our market penetration to 19 countries by the end of 2022, we are excited to add our product line to the already strong presence of ‘Endex.
Following the completion of the acquisition of a majority stake in Hyla, Endexx has also strengthened its balance sheet. Endexx has entered into settlement, lock-up and run-off agreements with its historical investors, in which each historical investor has agreed to exchange its promissory note and pre-acquisition warrants for a replacement single promissory note. This new incumbent replacement note has removed convertible debt and warrants, replaced by a simple non-convertible debt facility with an 18-month term.
“The acquisition of HYLA continues to be an important step for Endexx as it not only provided additional revenue – which we expect to experience immediately – and new international distribution for our CBD Unlimited and Blesswell™ product lines, but it also significantly eliminates overhang. of our balance sheet. This consolidation and simplification of our debt structure will allow us to finance our operations more easily and create future growth, without being burdened with complex and potentially toxic debt.
For more information regarding the acquisition of Hyla and the financial restructuring of Endexx, please see the company’s Form 8-K, which was filed with the United States Securities and Exchange Commission on September 7, 2022. .
About Endexx Corporation
Endexx Corporation develops and distributes all natural herbal topical skincare products. Its products range from balms, creams, lotions, butters, masks, scrubs and oils, all with the common goal of healthy skin and wellness. The science behind these products involves a decade of clinical field research and lab work to deliver a functional formulation with ingredients for optimal absorption and skin health support.
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