Kaya finds partner in Silo for magic mushroom retreats
Published:Wednesday | August 9, 2023 | 12:06 AM
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Cannabis company Kaya Group and Silo Wellness, which deals in psilocybin mushrooms, have entered into a share-swap agreement to facilitate offering magical wellness retreats on the island. Kaya said the partnership combines its three herb houses...
Cannabis company Kaya Group and Silo Wellness, which deals in psilocybin mushrooms, have entered into a share-swap agreement to facilitate offering magical wellness retreats on the island.
Kaya said the partnership combines its three herb houses that are retailers of medical marijuana and its Gap Café wellness centre with Silo’s expertise in managing psilocybin wellness retreats.
Kaya also sells psilocybin mushrooms, and Silo Wellness intends to incorporate Kaya’s products at the wellness retreats.
This will enable participants to explore “alternative healing and mental health treatments that harness the potential synergies between cannabis and psilocybin,” the company said in a joint release on the partnership.
Under the agreement, Silo Wellness received 25 million shares of NUGL, the listed company which holds Kaya’s assets. The shares currently trade at US$0.012 and are valued at some US$300,000. In return, Silo issued 15.29 million shares valued at about US$152,000, or US$0.01 per unit, to Kaya. The terms prohibit the transfer or sale of purchased shares for a minimum period of 12 months.
“Jamaica is a perfect market for psilocybin offerings, and together with Silo Wellness, we will contribute to the evolving conversation around the potential benefits of these natural compounds,” said Bali Vaswani, CEO of NUGL and founder of Kaya.
“Our collaboration with Kaya is a monumental stride in realizing our vision to offer holistic treatments that combine the best of and broaden our international footprint. We’re committed to providing transformative plant medicine wellness experiences,” added Mike Arnold, founder and CEO of Silo Wellness.
The global psychedelic drug market is expected to grow from US$3.7 billion in 2021 to US$5.7 billion in 2027, according to Psychedelic Drugs Global Market Report 2023, published by Research & Markets, a leading data provider.
Kaya was the first company in Jamaica to enter the medical marijuana trade, when it opened its first herb house in Ocho Rios in March 2018. A second herb housed followed in February 2019 in Falmouth, and a third in Kingston in December 2019.
Its most recent investment was a wellness centre at The Gap Café, located in the Jamaican Blue Mountains, which opened for business in December of last year.
Kaya’s sales for 2022 amounted to US$2.2 million, a 22 per cent improvement on the prior year. One-off costs, however, led it to post a US$2.7-million net loss.
In April 2022, Kaya merged with marijuana search engine and marketing company NUGL, which resulted in its listing on the penny stock, or over-the-counter, exchange in the United States. Vaswani now holds 23 per cent of the company.