June 9, 2021 -- InvestorsHub NewsWire -- via DigitalJournal/PAOG
PAO Group, Inc.’s (OTC
Pink: PAOG) strategy of seeking accretive partnership
opportunities is about to pay off in a major way.
Last week, PAOG emphasized the significance of the latest update
from its business partner Alkame Holdings, Inc. (OTC
Pink: ALKM), which indicated that its new production
facility is nearing operational status. The new production facility
boasts state-of-the-art equipment and is equipped with five loading
docks as opposed to two at the original facility, and is said to
effectively double the manufacturing capabilities of the company.
PAOG intends to use ALKM as a copacker and North American Cannabis
Holdings, Inc. (OTC
Pink: USMJ) as a distributor to produce and market its CBD
nutraceuticals. Access to the new facility could be
transformational in bringing a stronger brand presence for PAOG in
stores nationwide.
Building a Portfolio Targeting Innovative CBD
Applications
PAOG recently provided an update on the development of its
unique line of CBD Nutraceuticals. PAOG expects income from these
products as soon as this year, as the business continues to explore
further applications for its CBD-based pharmaceuticals.
PAOG’s first product to enter the market will be CBD RELAX-RX,
which is formulated to treat symptoms of depression and anxiety.
The anxiety and depression treatment market was estimated at $15
billion in 2015, with CBD-based options rapidly becoming an area of
great interest for consumers worldwide. The overlap between these
two markets is significant for PAOG, who is working to provide an
effective solution that targets an area of huge demand.
The second CBD Nutraceutical released by PAOG will be derived
from the company’s ongoing research on COPD, or chronic obstructive
pulmonary disease. A 2015 study showed that CBD could potentially
help in opening the bronchial passages, and PAOG believes that the
offering could become a preferred alternative from pharmaceutical
options in the management of COPD-related side effects.
The company’s third CBD Nutraceutical is currently being
developed in collaboration with Puration, Inc. (OTC Pink: PURA) and
its EVERx CBD Sports Water Brand, targeting the sports nutrition
industry that has been shifting to market toward an increasingly
health-conscious consumer base. The EVERx CBD Sports Water line has
enjoyed a strong market performance, leading the team to introduce
a sugar-free variety and continue working on new formulations and
flavors. The company’s access to ALKM’s new facility will allow
them to significantly increase the number of drinks produced and
sold, creating a strong opportunity to rapidly increase its brand
presence and revenues.
Finally, PAOG has identified an area of long-term development
involving RespRx, its CBD-based pharmaceutical product intended to
support the treatment of chronic obstructive pulmonary disease.
This product is derived from a proprietary method of extracting
cannabidiol – U.S. Patent No. 9,199,960 entitled “METHOD AND
APPARATUS FOR PROCESSING HERBACEOUS PLANT MATERIALS INCLUDING THE
CANNABIS PLANT.” According to industry analysts, the patented
extraction process utilized by PAOG produces a high-quality extract
that is close in form to that of a leading player in the industry,
GW Pharma. This creates a great opportunity for PAOG to monetize
the asset through licensing agreements, which would allow the
company to generate significant profits from licensing out the
extraction process with no additional work on their end. The RespRX
platform is one of the key focuses of PAOG, and any positive news
on its development is sure to raise the company’s share price.
PAOG Can Bring Near-Term Returns, Long-term
Opportunity
The potential rewards offered by a long-term investment into
PAOG may be worth your time and investigation right now. The
company will be ready to commercialize the first product from its
CBD Nutraceutical Development Program by the end of the year, and
will be able to benefit from the upgraded logistical and delivery
infrastructure offered by its partnership with Alkame Holdings,
Inc. and North American Cannabis Holdings, Inc.
As a result of easing cannabis and hemp related regulations in
the US, PAOG will be able to continue its ongoing CBD
Pharmaceutical Development Program and potentially expand into
previously unreachable sectors. The loosening of restrictions will
expedite the process of bringing its nutraceuticals to market, as
well as attract potential business partners that may have been wary
to work in the sector earlier on. PAOG’s strategy of seeking out
potentially lucrative business collaboration opportunities has
already proven successful, and as the US continues to inch toward
federal decriminalization, the company is sure to encounter new
accretive partnerships to support its expansion.
Despite the pandemic’s impact, PAOG is still positioned for
massive growth in 2021. One of the company’s most notable
advancements this year include its securing of a partnership with
Veristat, a contract research company (CRO) dedicated to the
scientific advancement of therapies and treatments through
regulatory approval. This partnership will prove instrumental in
validating the underlying research for RespRX, helping to bring an
effective product to market and begin generating revenues as
quickly as possible. This is great news that could bring
significant returns to investors in the near-term, as headlines
featuring the product have historically sent the stock valuation
soaring intraday.
With two new therapeutics in the works and an expansion of its
research projects on the horizon, PAOG is in great shape to raise
its share price in the coming months. Its robust pipeline and
ability to target a fast-growing, billion-dollar market make it a
great choice for investors at its current valuation. Its
partnership with a CRO, its openness to new acquisitions and
collaborations, and its long-term development strategy all combine
to create a compelling investment thesis. PAOG has been gearing up
for a strong 2021, and if the second half of the year continues
going according to plan, 2022 and beyond could bring unprecedented
gains for the company.
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SOURCE: https://www.digitaljournal.com/pr/access-to-new-production-facility-expected-to-accelerate-pao-group-inc-s-entry-into-the-5-billion-cbd-market-paog
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