GGB stock is reacting positively this morning after Green Growth Brands (CSE:GGB) (OTCQB:GGBXF) announced the company's CBD products will be sold at Abercrombie & Fitch's 160 retail stores.
Big Boost for Green Growth Brands Shareholders
Abercrombie & Fitch (NYSE:ANF), which is known globally for being a leading retailer of apparels for teenagers, has decided to expand its CBD offerings in a big way. Last month, the company decided to do a trial run at 10 of its stores through a tie-up with cannabis company Green Growth Brands. and now the retailer is going to expand the whole thing to more stores.
In a new development, Abercrombie announced today that Green Growth Brands’ CBD products are going to be retailed at as many as 160 out of its 250 stores in the United States. The products in question belong to the Seventh Sense line of CBD products made by Green Growth Brands.
The CBD products that are going to be sold following this expansion are CBD-infused sugar balms, body care items, and lip balms. Needless to say, it is a major coup for Ohio-based Green Growth Brands, as well as GGB stock. Considering its products are going to be retailed by a brand like Abercrombie & Fitch, this association could lead to more such partnerships.
Green Growth Brands stock is trading higher by 3% at $2.10 on the OTC market. On the Canadian side, GGB stock is up 2.90% and now trading at $2.73.
Green Growth Brands has been slowly but surely making a major push in the CBD-infused products to market with a range of key tie-ups that could lead the company to a position of dominance in the years to come. Its retail presence is going to get a major push this year, after the company announced on June 10 that it has agreed to establish 70 new shops at malls owned by Brookfield Properties. This will increase the company’s footprint considerably, and more importantly, Green Growth has projected that it will have 280 retail locations in place by the end of 2019.
The company’s recent performance on the financial front has also been strong if the Q1 2019 results are anything to go by. Green Growth Brands generated revenues to the tune of $5.5 million, which reflected a massive 77% jump from the $3.14 million in revenues it generated in the prior-year quarter.
However, the year-on-year net loss widened to $15.1 million from $12.83 million. The losses per share for the period stood at $0.07, as opposed to losses per share of $.08 for the prior year period. Green Growth reported that it had a cash stockpile of $33.6 million.
GGB stock has soared almost 278% from its 52-week low.
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