2. The uniqueness of Naturally Splendid® as a multi-
faceted investment vehicle revolves around the
fact that it encompasses the retail sales growth of
patented high quality, nutrient dense Omega foods
and hemp infused products, as well as efficacious
Cannabinoid (CBD) pharmaceutical biotechnology;
wrapped in impressive environmental sustainability.
Emerging as a leader in the massive plant-based
Omega Superfoods’ market in 2012, Naturally
Splendid is rapidly becoming a global innovator in
the burgeoning sector of hemp biotechnology.
Russ Crawford, President of the Canadian Hemp
Alliance (and a Director of Naturally Splendid)
clearly states the case:“Industrial hemp is a
premier source of superior nutritional products,
high quality, durable fibers and offers the
potential for significant value as a pharmaceutical
drug. No other plant offers so much. As hemp
overcomes the stigma(s) associated with
the narcotic member of the cannabis family
(marijuana) it will become one of the most
important crops grown in North America.”
Globally, the functional food market—foods or
dietary components that provide a health benefit
beyond basic nutrition--is expected to rise from
$24 billion in 2011 to $240 billion in 2014; markedly
outpacing the traditional processed food market.
The Omega-3 foods sector hit $34 billion in 2013.
US Medical Marijuana (MMJ) markets
are forecast to hit $10 billion by 2019.
Key to NSP’s growth is the longstanding business
relationship it enjoys with Boreal Technologies at
the world-renowned University of British Columbia.
The group has developed patent-pending
process technologies to produce scientifically
proven, superior functional ingredients. As well
as exclusive sales agreements with Boreal for
HempOmega™, H2Omega™, ChiaOmega™,
FlaxOmega™ and CanolaOmega™.The ongoing
research and development further extends to plant-
based Omega products for the pet industry, hemp
infused body products, and CBD infused pharma
and nutraceuticals.
Naturally Splendid has also received acceptance
into the Non-GMO Project Verification Program
and has approval to post the Non-GMO label on all
current products.
Own The Plant;The Compelling Case for Hemp Investment
Plant-based Omegas directly solve the issues of
bioavailability and sustainability versus marine-based
Omegas, which has a number of supply, environmental
and taste issues both in the retail and industrial markets.
3. Omega-Based Superfoods
Omega nutrition provides multiple health benefits,
including: appetite suppressant, increased
energy, lowered cholesterol and blood pressure,
faster recovery from disease or injury, reduced
inflammation and improvement in circulation and
immune system. Product testing for HempOmega™
has been carried out in conjunction with the
BC Cancer Research Agency.The initial study
confirmed that HempOmega™ displayed superior
“bio-availability” and stability to “control sample”
vegetable oils – which can often be degraded by
sunlight and oxygenation.
The Omega nutritional market is arguably the
largest supplement market category in terms
of dollars generated annually. Packaged Facts
puts the Omega-3 products market at about
$24.4 billion (€19 billion) in 2011. According to
Packaged Facts, a 2010 Gallup study of nutrient
knowledge and consumption found that in 2011,
34% of shoppers chose products because of their
Omega-3 content. Frost & Sullivan, a global growth-
consulting firm, believes the global Omega-3
ingredient market grew to $1.89 billion in 2011, up
from $1.68 billion in 2010.
Double-digit growth is forecast from 2012 to
2016. According to Euromonitor International, the
retail value sales of foods (including milk formula)
and drinks with added Omega fatty acids reached
$30 billion in 2012. Sales of foods/beverages
carrying an Omega-3 claim reached $1.8 billion in
U.S. supermarkets in 2011 (Nielsen,U.S.Healthy eating
trends: part 1.Jan.26.2011.)
In an Ipsos Reid survey conducted by
BioAccess, Canadian respondents showed
that 80% of Canadians are influenced to buy
a product if it contains Omega-3 fatty acids.
Hemp based Omega can be added to virtually any
food, either as a powder or aqueous solution or an
ingredient added to stand alone products, thereby
markedly enhancing the nutrient value and adding
a significant sales retail sales driver.
Since launching the NATERA™ product line in 2013,
Naturally Splendid has secured several significant
distribution deals for its Omega rich, hemp-
based Superfood products, representing 1000’s
of retail stores across Canada.Through partner
Sonray Sales, it has gained further Canadian retail
channels as well as in the USA and internationally,
including Costco,Target and Walmart. Sonray also
has customers in Asia, Russia and Switzerland.
Ongoing shareholder value will be attained
through the increase of NSP distribution of
Boreal Technologies. Also, the development of
proprietary and private label retail food, skin care
and pet products. Along with standalone products,
formulations and solutions will be developed for
the food and beverage industry, restaurant chains
and institutions.
4. Cannabinoid Technology
The potential value of the hemp crop for
medicinal purposes is virtually undiscovered.
Industrial hemp is known to be the best source of
cannabidiol – (CBD), which is known to provide
relief from symptoms such as anxiety, stress,
seizures, etc. It has been used to treat epilepsy,
convulsions and inflammation.
On November 21st, NSP’s wholly owned US
Subsidiary, Naturally Splendid USA, entered into
a Novation Agreement with Ireland-based Full
Spectrum Laboratories Limited (“FSL”), Boreal
Technologies, Inc. (“Boreal”) and Naturally
Splendid whereby Boreal has agreed to assign,
and Naturally Splendid USA has agreed to assume,
all rights, title and interest in and to a Restated
and Amended License Agreement between FSL
and Boreal.
One of the major challenges to the advancement
in the use of therapeutic pharmaceutical and
nutraceutical development for MMJ has been the
ability to regulate dosage. As dosage is a function
of water solubility, this is an unprecedented and
revolutionary step in advancing revenue growth
from the Medical Marijuana field, both from a
proprietary and licensing perspective.
This transaction is a major milestone for Naturally
Splendid to capitalize on the continued global
growth trend in products and technologies related
to cannabis sativa, which includes industrial hemp
and marijuana. In this regard, the technologies
secured under this agreement allow Naturally
Splendid to develop, market and distribute
functional foods and ingredients related to oil and
protein extraction.
As well, there is increasing demand for
cannabinoid formulation technology that allows
for more measurable, efficacious products as
market trends indicate patients are looking
for alternative ways to consume their medical
marijuana prescriptions other than smoking.To
address this growing trend, Naturally Splendid
will develop, market and distribute water-
soluble cannabinoid products and technologies
in jurisdictions where these products are legal,
beginning with the US market.
Naturally Splendid USA’s products will be
manufactured in the United States specifically
for the American market where hemp-extracted
cannabinoid based products are already allowed.
Initially, products will be distributed using a direct
to consumer model via an online virtual storefront
that is currently under construction.
Products that will be introduced to the American
market early next year will utilize FSL’s patented
water-soluble cannabinoid formulation technology.
It is important to point out that none of the
hemp-based cannabinoid products will contain
tetrahydrocannabinol (“THC”).The product
development focuses primarily on utilizing
water-soluble cannabidiols (CBD’s) because of
the health properties associated with this hemp-
extracted cannabinoid.
Forming a US subsidiary in Colorado allows
NSP to expand distribution of its existing 100%
NATERA™ Superfood brand to US retailers, as well
as penetrate US markets more efficiently for the
plant-based Omega products and technologies that
we have secured with Boreal Technologies. Just as
importantly, it is the first step in commercializing
the cannabinoid technologies through the recently
announced Novation Agreement.
5. Investment Drivers
Naturally Splendid brings exceptional assets to
shareholders. Unlike its peers, the Company’s
relationship with Boreal has given it a
provenance that puts its R&D and product
development years ahead of any real or
perceived competition. For investors, that
means that alongside the ongoing growth of the
rapidly growing plant-based Omega food and
hemp infused natural products market, it has the
Medical Marijuana biotechnologies that not only
allow proprietary development, but a compelling
revenue stream through licensing.
There have been many large numbers thrown
around about the size and growth of the MMJ market,
which at the moment are both speculative and
suspect.What is not in doubt, is the growth potential
of hemp in that market and in many, many others,
both established and potential.
For investors who want quality hemp exposure
that includes a cutting edge MMJ component, the
smart play would be to bypass the ‘me-too’ MMJ
companies for the well-established Industrial hemp
players—such as Naturally Splendid—that have the
expertise and the distribution network to not only
maintain leadership in the space but bring much
more revenue potential to bear than simple growers
or the consolidators of growers.
Critical to NSP’s previous and future success is
the exceptional management team. Along with
CEO Craig Goodwin, who brings decades of high-
level sales and marketing experience, including
extensive Venture Capital raising, is VP Operations
Bryan Carson. For the past four years, Bryan has
overseen the operations of Naturally Splendid®
including establishing supply channels, packaging
and product development. Bryan’s insight and
vision has proved invaluable as part of the
management team.
The Board boasts decades of direct and relevant
experience including Russ Crawford, with over 40
years of experience in commodity marketing and
risk management strategies as well as providing
operations and technology solutions serving the
Western Canadian agricultural marketplace.
Charles Brink brings more than 30 years of
organizational and operational management and
is Director, COO and General Counsel of Mona
Vie Inc, a global food and beverage company with
sales approaching $1 billion.
Guan Lim is President and Director of Boreal
Technologies. Guan is former CEO of Harmonic
Health Singapore Private Ltd. and the VP of Field
Development of Monarch Health Sciences.
6. NSP:TSXV | NSPDF | 50N.F
Share Price (Nov. 25, 2014) $0.24
Average Volume (90 Days) 68,789
52-Week Range 0.17 - 0.38
Fully Diluted Shares Outstanding 45,555,803
Market Cap $8.58 million
Naturally Splendid Enterprises Ltd.
Corporate Offices
Suite 605 – 1166 Alberni Street
Vancouver, BC V6E 3Z3
Phone: 604-673-9573
info@naturallysplendid.com
Fax: 604-570-0932
www.NaturallySplendid.com | www.NateraLife.com
