Public company Elixinol Global Limited (ASX: EXL; OTCQX: ELLXF), a prominent producer of industrial hemp derived CBD products announced yesterday that its wholly-owned subsidiary, EXL International Holdings, will increase its ownership in its Japanese CBD product company, Elixinol Japan, to 50.5% in exchange for A$2.2 million dollars.
The investment made into their Japanese joint venture project will be used by Elixinol Japan as working capital in order to able to meet the expected demand for CBD tinctures, topicals, and capsule based products.
Earlier this year, Elixinol launched the first ever ad campaign in Japan for hemp CBD products at the famous Tokyo Omotesando train station. The company was the first company in Japanese history allowed to promote and market CBD based products.
Elixinol currently has operations located in the United States, Australia, and Japan.
Makoto Matsumaru, CEO of Elixinol Japan said, “Using innovative marketing and working with important opinion leaders, we have been building the Elixinol and Hemp Foods ranges into well respected brands in Japan. We have established distribution into the best Japanese supermarkets and outlets, and are now focused on growing our market and sales. This investment from EXL will enable us to further grow the market and retain our reputation as the number one hemp-derived product supplier in the Japanese marketplace.”