DENVER, Oct. 12, 2017 /PRNewswire/ -- MassRoots, Inc. (OTCQB:MSRT), one of the leading technology platforms for the cannabis industry, announced today that CannaRegs, Inc. has secured multiple government contracts in California. As previously reported, MassRoots recently entered into definitive agreements to acquire CannaRegs, Inc. (for more information, including the conditions to closing the acquisition, please refer to MassRoots' Current Report on Form 8-K filed with the U.S. Securities and Exchange Commission on August 24, 2017, as amended on August 28, 2017).
CannaRegs, which provides users with up-to-date access to all cannabis-related rules and regulations from municipal, county, state and federal sources has added Sonoma County, Mendocino County, Yolo County and San Joaquin County to its subscriber base in the last 60 days. This brings CannaRegs up to a dozen government contracts that include the likes of Los Angeles County and the City of Sacramento.
"We are extremely pleased to announce these new contracts, which significantly expand our operations throughout the rapidly-emerging California marketplace," stated Mrs. Amanda Ostrowitz, Co-founder of CannaRegs. "These agreements allow us to enhance our market presence within California's $5 billion legal cannabis industry and we expect to generate significant revenues as we execute on these contracts. Going forward, we expect to leverage these new government relationships and our best-in-class technology to capture additional market share and significantly increase revenues."
In November 2016, California passed Proposition 64 allowing for the full legalization of marijuana. The implementation of this new law has brought with it significant regulatory issues. Oversight relating to water usage, licensing, background checks and safety and education training are just some of the rules in which retailers will need to familiarize themselves.
"These contracts provide strong validation that our planned acquisition of CannaRegs is both timely and valuable," said Mr. Isaac Dietrich, CEO of MassRoots Inc. "California's voter-approved Proposition 64, will require new rules and standards for marijuana testing facilities and CannaRegs is positioned to establish itself as a market leader within this developing industry. Management expects CannaRegs to secure similar contracts in the near future."
MassRoots, Inc. is one of the leading technology platforms for the regulated cannabis industry. Powered by more than one million registered users, the Company's mobile apps empower consumers to make educated cannabis purchasing decisions through community-driven reviews. Its compliance and point-of-sale system, MassRoots Retail, enables cannabis-related businesses to streamline their retail operations and manage compliance reporting to state regulators. With a significant market share of medical cannabis patients in certain markets and more than 25,000 shareholders, the Company believes it is uniquely positioned to best serve the needs of the cannabis industry. For more information, please visit MassRoots.com/Investors and MassRoots, Inc.'s filings with the U.S. Securities and Exchange Commission.
Certain matters discussed in this announcement contain statements, estimates and projections about the growth of MassRoots, Inc.'s business, partnerships, new features, acquisitions, user growth and related business strategy. Such statements, estimates and projections may constitute forward-looking statements within the meaning of the federal securities laws. Factors or events that could cause our actual results to differ may emerge from time to time. MassRoots undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The recipient of this information is cautioned not to place undue reliance on forward-looking statements. For more information, please refer to MassRoots, Inc.'s filings with the U.S. Securities and Exchange Commission.
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SOURCE MassRoots, Inc.