Xtraction Services Ends Year Strong with Record Number of Deals Closed and Extensive Pipeline for 2019
LOS ANGELES--(BUSINESS WIRE)--Jan 3, 2019--Xtraction Services (“XS”), an equipment leasing and extraction solutions company providing state-of-the-art extraction equipment and service expertise to a global network of cannabis and hemp manufacturers, announced it will end the year with a record number of financing deals. XS also reported a series of new deals worth more than $12 million over the lifetime of the contracts.
The company’s expert approach to the growing legal cannabis and hemp industries has attracted new deals from around the country, ranging from the West Coast to middle America. The financing firm’s pipeline suggests even further geographic reach, with expansion into new regions – domestically and internationally – in 2019.
“Xtraction Services is wrapping up a banner year where we have been fortunate to craft partnerships with some of the top manufacturers in the cannabis and hemp extraction business,” said David Kivitz, CEO of Xtraction Services. “We continue to receive substantial interest and attention from customers around the country because of our exclusive position, approach and product offering. Furthermore, we are pleased to provide businesses who are often unable to tap the broader capital markets with the opportunity to expand, scale and finance their equipment purchases.”
XS provides high-volume manufacturers access to the large-scale industrial equipment necessary to extract oil from cannabis and hemp plants. By offering a range of financing options, paired with XS’s first-class support services and technological expertise, the company offers cannabis entrepreneurs the ability to be more strategic with their resources.
In Kentucky alone, XS has executed several royalty deals, covering an estimated production of 5.4 million grams of cannabidiol (CBD) oil in the coming year. Particularly notable among these deals, a Kentucky hemp processor will produce CBD oil, which will be used for consumer goods, representing hundreds of millions of dollars in revenue for the business.
“Working with Xtraction Services and their excellent team has allowed our company to significantly expand our facility, as well as our capabilities to produce reliable hemp-extracts,” said the COO of a Kentucky-based hemp processing company. “Without the financing options provided by Xtraction Services, we would not have been able to scale our business in this way. We look forward to an exciting 2019 as the extraction marketplace continues to blossom.”
In addition to Kentucky, XS announced two cash deals with extraction companies in Arizona and California representing an additional $1.1 million in sales for XS as it closes out the year.
Having closed transactions with a robust set of manufacturers and brands month, XS will end its 2018 fiscal year with an impressive lineup of customers, and the firm’s pipeline portends an even stronger year to come in 2019.
About Xtraction Services
Xtraction Services is an equipment leasing company providing turn-key extraction solutions including state-of-the-art extraction equipment, service, and expertise that reduces waste and improves production yields to a global network of cannabis and hemp manufacturers. For more information, visit www.XtractNow.com.
View source version on businesswire.com:https://www.businesswire.com/news/home/20190103005412/en/
Daniella Alkobi, Marino
KEYWORD: UNITED STATES NORTH AMERICA CALIFORNIA
INDUSTRY KEYWORD: SUPPLY CHAIN MANAGEMENT MANUFACTURING ENGINEERING OTHER MANUFACTURING NATURAL RESOURCES AGRICULTURE PROFESSIONAL SERVICES FINANCE RETAIL
SOURCE: Xtraction Services
Copyright Business Wire 2019.
PUB: 01/03/2019 09:50 AM/DISC: 01/03/2019 09:50 AM