Chill Brands Regulatory News (CHLL)

5 June 2023

Chill Brands Group plc

("Chill Brands" or the "Company")

Update on Shipping of Vapour Products

Chill Brands Group, the international consumer packaged goods company, is pleased to provide an update on arrangements for the planned sale of its nicotine-free vapour products to US consumers via the Chill.com e-commerce website. 

The Company has now secured relationships with specialist carriers and fulfillment providers that will facilitate the home delivery of its products to customers in all 50 US states.

As referenced in the Company's announcement of 31 March 2023, the 2019 US Preventing All Cigarette Trafficking (PACT) Act prevents the United States Postal Service (USPS) from shipping vapour products regardless of their nicotine content. Similar restrictions have also been implemented by other major carriers. These shipping arrangements are therefore an important piece of the Company's infrastructure, as these regulatory constraints have prevented many competitor brands from making online direct-to-consumer sales.

Chill Brands' nicotine-free vapour products will become available for purchase on the age-gated Chill.com website by US consumers in all 50 states during June 2023.

Callum Sommerton, Chief Executive Officer of Chill Brands, commented:

"This is an important milestone for Chill Brands as we seek to grow our share of the extremely buoyant US vapour market. While we are committed to delivering a satisfying and convenient customer experience, we also prioritise safety and regulatory compliance.

Our dynamic network of shipping and fulfillment providers will enable us to deploy age-verification protocols and ensure that our vapour products are only sold to adult consumers. We take this responsibility very seriously and view the regulatory environment not as a barrier to growth, but as a catalyst for essential positive change in our industry.

We are excited to be commencing online vapour sales, and look forward to introducing our brand to more adult consumers across the United States."

-ENDS-

About Chill Brands Group

Chill Brands Group plc (LSE: CHLL, OTCQB: CHBRF) is focused on the development, marketing and distribution of wellness and recreational products containing natural, functional ingredients. The Company's proprietary product range is distributed by some of the most recognisable convenience retail outlets in the US and includes nicotine-free disposable vapour products that cater to the rapidly growing market for tobacco alternatives. Chill Brands also operates the chill.com e-commerce website, on which it is building a marketplace of products from third-party brands.

Publication on website

A copy of this announcement is also available on the Group's website at http://www.chillbrandsgroup.com

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