IONIC Brands Corp. announced that it has signed an exclusive Heads of Agreement with Lifespot Health Limited to develop and distribute Lifespot's software and vaporizer technologies. Lifespot, via its subsidiaries, Seng Vital and Bodytel GmbH, will provide its Bluetooth-enabled vaporizers, which can be used for recreational cannabis consumption, and the Bluetooth Bodytel™ platform, which collects and manages consumer data in a compliant record keeping system that is beneficial to consumers and meets privacy regulations.

IONIC BRANDS and Lifespot, anticipate that a binding Joint Venture Agreement and Distribution Agreement will be completed within 60 days to formally implement the Joint Venture. The Joint Venture provides 12 months exclusive distribution of Lifespot vaporizers to Ionic in the United States and Canada and to the Ionic-owned brand, Astleys of London, in the United Kingdom. The Company may be granted additional territories over time as needed to meet market demand.

Under the Heads of Agreement, the Parties intend to collaborate in the development, production and distribution of integrated smart vaporizer products and systems for the recreational cannabis market. The implementation of the Joint Venture includes: the ongoing development, enhancement and improvement of cannabis vaporizer technologies and intellectual property for the recreational cannabis vaporizer market; the sale of vaporizers developed under the Joint Venture via IONIC BRANDS's comprehensive and growing distribution network; further development of the R&D and manufacturing facilities for products developed under the Joint Venture; and integrated quality management systems to ensure strategic and expeditious market entry of new products, and the establishment of a highly-scalable manufacturing footprint that will ensure high volume demand can be met with high quality manufacturing standards. A purchase order for an initial series of vaporizer and software technologies has been received and will be manufactured exclusively for IONIC BRANDS.

The Company is expected to commence shipping in third quarter of 2019.