Zoetic (ZOE)  said on Wednesday that its progress in the US and the UK continues.

The CBD manufacturer and wholesaler said its chew pouches were the best selling product by volume, and that multiple distributors taking interest in the US. 

The AATAC, a US national association comprised of smaller buying groups, and New Age Beverages Corporation, a Nasdaq listed distributor of healthy, natural products, have both expressed interest in Zoetic’s chew pouches and smokables.. 

Brands that AATAC represent include Gulf, BP, Sunoco, Circle K and Chevron. New Age Beverages supplies a number of well recognised brands including Nestea, Xing, Marley, Volvic and Coco Libre.

Nick Tulloch, Chief Executive of Zoetic, said: "In both the US and Europe, our Chill and Zoetic brands are consistently well received and the fact that we now have interest in our range of Chill products from partners such as AATAC and New Age Beverages evidences the scale of the opportunity.”

Shares in Zoetic were trading 10% higher at 7.4p on Wednesday

Zoetic said that it is progressing trials to contract additional manufacturing capacity in order to move forward with the distributors. 

"The onus is now on us to deliver our products at high volumes and with no compromise on quality.  We believe our switch to outsourced manufacturing will achieve this and our trials will be completed in the coming weeks following which our distribution contracts will get underway.” said Mr. Tulloch.

In the UK, Zoetic’s CBD gummies has generated most interest in recent weeks from certain retail chains, and its website will be upgraded in coming weeks and relaunched, as it continues to expand its presence in the UK buying community. 

The company also reported successful production of feminised seeds, and has registered as a seed distributor in five US states. 

“Volume is important in this part of the industry and we will wait to produce greater numbers before formally launching our sales programme, but preparations are well underway and shareholders can look forward to further news shortly.” says Mr. Tulloch. 

At the company’s legacy East Denver project, Zoetic told investors that revenues still continue, and that it will only sell the assets off at a compelling price due to the fact that it still remains profitable. 

Allenby Capital was also newly appointed as Zoetic’s financial advisor and broker on Wednesday. 

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