Kraig Biocraft Laboratories and MtheMovement by Kings Group sign Exclusive Purchase and Sales Agreement for up to potentially $40 million
Kraig Labs and Kings Group to jointly own SpydaSilk apparel brand, Joint Venture is the first large-scale Spider Silk Commercialization Agreement
ANN ARBOR, Mich., Jan. 26, 2021 (GLOBE NEWSWIRE) -- Kraig Biocraft Laboratories, Inc. (OTCQB: KBLB) (“Company” or “Kraig Labs”), the biotechnology company focused on the development and
commercialization of spider silk, announces that it is forming a joint venture partnership with MtheMovement, an eco-friendly luxury streetwear apparel line, part of the Kings Group of Companies
and its affiliated companies (“Kings Group”).
The joint venture will develop and sell Kraig Labs’ spider silk fibers under the new innovative apparel and fashion brand, trade named SpydaSilk and potential other trademarks to be announced. All intellectual property related to SpydaSilk will be jointly owned by Kraig Labs and Kings Group. The deal combines Kraig Labs’ industry leading fibers with Kings Group’s business skills and regional enterprise expertise, creating what we believe will be a strong vertical integration for both companies.
Under the terms of this agreement, Kraig Labs granted the joint venture and the SpydaSilk brand an exclusive geographic license to all Kraig Lab technologies for the ASEAN region, in exchange for a 4 year firm commitment to purchase up to $32 million, with an additional projected purchase of $8 million, of Kraig Labs’ raw recombinant spider silk, with an initial payment of $250,000.
“SpydaSilk’s mission is to create high-impact products and technologies, so partnering with Kings Group, which we believe has strong product development expertise and intense understanding of ASEAN market, is a powerful combination that we believe will drive SpydaSilk’s sales and innovation,” said Kim Thompson, Kraig Labs’ founder and CEO. “Kraig Labs has always been proud to maintain our vanguard position in the spider silk space; this agreement strengthens our leadership role with a partner who shares our vision and places Kraig Labs and Kings Group on the best path for success. Spider silk is among the strongest fibers produced in nature, and the agreement represents the world's first large-scale commitment to purchase spider silk fibers”