The five-year deal between Level Brands and Isodiol was announced Monday and is still being negotiated. But, marketing materials for the endeavor were created in December and details of the partnership are expected to be finalized within the month, according to a press release from Level Brands.
Thus far it’s been agreed that “Level Brands will receive an initial US$2 million payment in the form of Isodiol shares and initial cash payments of US$62,500 due at execution of the licensing agreement and on June 30, 2018,” and that “During the term of the agreement Level will also receive US$750,000 per quarter in the form of Isodiol shares and a 3% royalty on all gross sales of branded products.”
CBD products will be launched under both the kathy ireland Health & Wellness brand and the I’M1 brand, which is Level Brands’ men’s lifestyle collection.
Despite progress in the CBD space, consumers, legislators, and beauty makers remain wary. So it stands to reason that education is part and parcel of the Level Brands initiative.
“One of the many responsibilities in this new venture is, for me personally, to serve as Educator in Chief about cannabidiol, and how it is used by Isodiol,” Kathy Ireland chairman emeritus and chief brand strategist for Level Brands, tells the press.
She goes on in the press release to explain that “this company is leading the strategy of appropriate uses of hemp derivatives, and Isodiol products are free of THC.”
“It’s ironic,” says Ireland “that people find controversy in the powerfully useful hemp plant. Without THC, hemp has many natural and important uses, which are beneficial in countless ways. We need people to please understand, that hemp, without THC, is similar to a grape without fermentation. What the Isodiol team has done is, bring the best qualities of hemp-derived CBD to the market without any psychotropic element, whatsoever.”
The kathy ireland Health & Wellness CBD skin care products will be the second collection of kathy ireland licensed products from Level Brands.
In this latest deal Isodiol is the CBD expert, Ireland herself is the product strategy expert, and Level Brands is the venture bringing it all together. And the partners are already thinking as a team. Ireland explains, “Isodiol’s…CBD products derived from hemp are 99%+ pure, bioactive and pharmaceutical grade. The products include body balm, tincture, skincare, nano-mist and functional beverages.”
While Marcos Agramont, president of Isodiol, tells the press, “We look forward to benefitting from Kathy Ireland’s proven track record in product strategy and marketing. Ms. Ireland has an uncanny sense of her consumers’ tastes and needs, which has led to their extraordinary loyalty and confidence in her products. Having brought over 17,000 diverse and popular products to market, she has captured the hearts and minds of millions of customers who actively and consistently support her brands. Ms. Ireland will bring tremendous energy into this burgeoning field, and we are eager to work with her and the incredible team assembled at Level Brands. ”
Deanna Utroske, CosmeticsDesign.com Editor, covers beauty business news in the Americas region and publishes the weekly Indie Beauty Profile column, showcasing the inspiring work of entrepreneurs and innovative brands.