StateHouse and Stinson Brands, Inc. Enter Into Strategic Sales Agency Agreement

StateHouse to begin selling a portfolio of Kikoko branded products through its in-house sales team and Harborside and Urbn Leaf dispensaries in California

SAN DIEGO and TORONTO, Oct. 02, 2023 (GLOBE NEWSWIRE) -- StateHouse Holdings Inc. ("StateHouse" or the "Company") (CSE: STHZ) (OTCQX: STHZF), a California-focused, vertically integrated cannabis enterprise, today announced that it has entered into a sales agency agreement with Stinson Brands, Inc., a management company that consults, and holds IP, for the development premium food and beverage brands with an emphasis on fine herbal tea blends.

Under the terms of the strategic sales agency agreement, StateHouse will begin selling Stinson Brands products through its sales team and in its Harborside and Urbn Leaf dispensaries across California. StateHouse will work with its valued distribution partner, Nabis, to develop this new line of business, and expects to expand into new product categories while growing Stinson’s well-known portfolio of brands including Kikoko, a cannabis botanical wellness company focused on offering women plant-based, scientifically proven alternatives to pharmaceuticals and alcohol, to new levels of success.

“Kikoko is a top-selling California brand that continues to innovate its product offerings across multiple categories,” said Ed Schmults, CEO of StateHouse. “StateHouse welcomes Kikoko to its roster of brands and believes this partnership will catapult Kikoko to new levels of visibility in the market while simultaneously fulfilling our promise to our patients and customers to provide the highest-quality cannabis products.”

“We could not be more thrilled to join StateHouse in this partnership,” said Jennifer Chapin, CEO of Kikoko. “Our brand is poised for growth and we are confident that StateHouse and Nabis will guide us in the right direction as we continue to develop new products and champion our best-selling offerings.”

Option and RSU Grant

The Company granted a total of 4,600,000 options to purchase common shares of StateHouse to certain directors, officers and employees pursuant to the Company's Stock Option Plan. The options vest in equal annual installments over a period of four years from the date of grant and expire 5 years from the date of grant. In addition, the Company has issued a total of 784,000 restricted share units ("RSUs") to certain directors, officers and employees of the Company in accordance with the Company's Restricted Share Unit Plan. Each RSU represents the right to receive one common share of the Company or the equivalent cash value thereof, at the Company's discretion.