Green Leaf Innovations CEO Robert Mederos Issues Letter to Shareholders and Provides Corporate Update Focusing on Long-Term Growth and Value Creation
PEMBROKE PINES, FL
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April 18, 2023 08:00 AM Eastern Daylight Time
McapMediaWire -- Green Leaf Innovations, Inc., (“Green Leaf” or the “Company”) (OTC: GRLF), an emerging growth company engaged in the manufacturing, marketing, and distribution of handmade premium cigars, today issued the following letter to its shareholders from Green Leaf Innovations CEO Robert Mederos:
Dear Fellow Green Leaf Innovations Shareholders,
I hope this letter finds you in good health and in high spirits. On behalf of our employees, partners, and other key stakeholders, I am delighted to have you as shareholders and valued members of our corporate family, and it is my pleasure to provide you with this update to share our vision for the future of our company.
Who We Are
For investors new to our company, our business focuses on marketing and distributing handmade premium cigars manufactured in Nicaragua. We strategically import and distribute premium cigar brands and private label brands to cigar lounges, smoke shops, convenience stores, and vape shops across the United States and in international markets. Additionally, we distribute packaged whole-leaf tobacco to other wholesale distributors of consumer tobacco products.
The Importance of Our Foundational Operations in Nicaragua
Nicaragua is a land rich with volcanic soil, which gives our tobacco its unique character. The fertile valleys of Jalapa and Estelí and the increasing tobacco cultivation in Condega and Ometepe have provided us with exquisite filler, binder, and wrapper leaves essential for our premium cigars. The importance of having a long-standing operation in Nicaragua cannot be understated. In fact, during the first eight months of 2022, Nicaragua-based cigar firms shipped 167 million cigars to the United States, an 8.9 percent increase over the same period in 2021.
Our partnership with a third-generation, family-owned Nicaraguan business has been instrumental in crafting high-quality boutique cigars. Their passion and attention to detail have allowed us to maintain consistency and deliver unique flavors to our customers.
Our production process, from greenhouse seedlings to fermentation and final product, is carefully managed to ensure the highest quality of cigars. We employ traditional techniques, such as row plowing with oxen and eucalyptus stick curing, alongside modern technology, like custom water filtration and drip irrigation systems, to balance tradition and innovation perfectly. Every cigar product I ship out reflects my commitment to delivering the best possible customer experience. I would even say I am obsessed with our quality control, rooted in being from a third-generation Cuban tobacco family. My cigars reflect the pride of my family, and I will never compromise quality for a quick buck.
A Growing Industry on the Rise
The global luxury cigar market was valued at USD 11.61 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 7.2% from 2021 to 2028. According to Cigar Aficionado Magazine, more than 307 million imported handmade, premium cigars were shipped to the United States in just the first eight months of 2022, an increase of 4.3 percent. Shipping 300 million cigars was once considered the benchmark for a good year in the cigar business: now, it’s just a starting point. In fact, according to the Cigar Association of America, imports through November 30, 2022 have continued an upward trend for premium cigar imports at a 2% year-over-year growth rate, while imports of popular price cigars are down 12% in the same period.
Key Growth Initiatives for Green Leaf
Looking ahead, we see significant growth potential in the premium cigar market. We will continue to strengthen our partnerships, expand our distribution network, and explore new domestic and international markets.
- We have discovered unattended markets ripe for growth, including targeting golf courses, hotels and resorts, sporting events, and business gatherings.
These markets have untapped potential, ignored by major brands and large industrial producers who continue to focus on traditional channels. Nearly 10% of all U.S. premium cigar sales occur on golf courses or in relation to golf. Yet, point-of-sale displays at golf clubs are generally ignored by major brands.
- We have the capabilities to deliver bespoke, white-label orders that meet the customer’s unique specifications for style, volume, and quality.
We have been approached by several large potential customers in the wine and liquor industry, along with retailers that are interested in pairing our cigars with complementary products. Our cigars can pair with other premium products for an all-encompassing customer experience.
- Our B2B customers in the market are increasingly launching e-commerce websites in large, lucrative markets owing to the rising internet penetration and increasing propensity for mobile shopping among consumers.
Our cigars can pair with other premium products for an all-encompassing customer experience.
Corporate Updates
It is fair to say that up to this point, we have not made any public comments or addressed investors, only making our regulatory filings and issuing occasional press releases. Going forward, Green Leaf will be more transparent in our investor communications. As we announced earlier this month, I have hired an investor relations agency to address investor concerns, answer questions, and help bring new investors to our company. Running this operation between our offices in Florida and our factory in Nicaragua, I’ve had to wear many different hats, and regretfully I couldn’t keep up with all the investor inquiries. This will no longer be the case, and I urge everyone to contact our investor relations agency with their questions.
I invite everyone to subscribe to our distribution list to stay informed on upcoming developments. Please visit: https://greenleafinnovations.co/subscribe-for-free-newsletter/.
In the coming weeks, we will update everyone on the progress we’ve made in growing our business. We intend on actively marketing our company, putting more resources into social media and popular online investor forums to generate greater awareness of our story. We are working on updating our investor presentation and website. We will inform everyone of these updates in a timely manner.
- Regarding our tier 1 Regulation A Offering, we recently filed an amended Offering Circular where we amended the final pricing of the offering to a price of $0.08 per share of Series B Preferred Stock (from $0.10) for a total aggregate offering amount of $8,000,000.
The cigar manufacturing and distribution business is capital-intensive, from raw materials and equipment to SG&A (and being a public company). We need growth capital to fulfill purchase orders and scale our business through the growth initiatives I’ve described. I don’t take stock dilution lightly and will only look to raise capital to grow our business and deliver value to shareholders.
Going Forward
Our commitment to providing exceptional cigars remains unwavering, and we are confident that our products will continue to delight cigar enthusiasts around the world.
In closing, I would like to express my gratitude for your ongoing support and investment in Green Leaf Innovations, Inc. Our success is a testament to your belief in our vision, and I remain committed to delivering outstanding returns for our shareholders while preserving the rich tradition of hand-crafted, premium cigars.
Sincerely,
Robert Mederos
Chief Executive Officer
Green Leaf Innovations, Inc.
About Green Leaf Innovations, Inc.
Green Leaf Innovations, Inc., a Florida corporation, is an emerging growth company engaged in the marketing and distribution of handmade premium cigars. The Company strategically imports and exclusively distributes some of the best-known premium cigar brands in the marketplace. The Company was created by the Mederos family, a third generation Cigar maker with Robert Mederos at the helm, who has owned and operated handmade cigar operations in Nicaragua and the U.S. for over 20 years with a rich family history in the craft dating back to the 1800s in Cuba. Green Leaf features brands such as CUBANACAN, MEDEROS, and TABACALERA SERRANO. The Company also distributes packaged whole leaf Tobacco to cigar lounges, smoke shops, C-stores, and vape shops across the United States and soon in international markets.
Additional information can be found on our website, www.greenleafinnovations.co, or follow us on Twitter @otcgrlf.
Safe Harbor Statement
Certain statements, other than purely historical information, including estimates, projections, statements relating to our business plans, objectives, and expected operating results, and the assumptions upon which those statements are based, are forward-looking statements. These forward-looking statements generally are identified by the words believes, project, expects, anticipates, estimates, intends, strategy, plan, may, will, would, will be, will continue, will likely result, and similar expressions. Forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties which may cause actual results to differ materially from the forward-looking statements. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on our operations and future prospects on a consolidated basis include, but are not limited to: changes in economic conditions, legislative/regulatory changes, availability of capital, interest rates, competition, and generally accepted accounting principles. These risks and uncertainties should also be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements.
Company Contact:
Investor Relations Contact:
Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 800-303-6268 x4
Email: matthew@greenleafinnovations.co
Contact Details
Green Leaf Innovations, Inc.
