Bemax Inc. Signs Letter of Intent to Acquire Kona Gold, LLC

Strategic Acquisition to Strengthen Bemax's Consumer Packaged Goods Portfolio and Drive Market Growth

Dallas, Georgia--(Newsfile Corp. - August 6, 2024) - Bemax Inc. (OTC Pink: BMXC), a private label development company with a focus on disposable diapers and women's hygienic sanitary products, is pleased to announce the signing of a Letter of Intent to acquire Kona Gold, LLC from Kona Gold Beverage, Inc. (OTC Pink: KGKG). This strategic acquisition is set to expand Bemax's portfolio, aligning with their mission to diversify and strengthen their market presence in the CPG industry.

The acquisition of Kona Gold, LLC marks a significant milestone for Bemax, Inc. and is part of its broader strategy to enhance its product offerings and market footprint. Bemax aims to leverage Kona Gold's existing market presence and consumer loyalty to drive growth and innovation, while optimizing the acquired company's supply chain, enhancing product development, and expanding market reach.

"We are excited about the opportunity to bring Kona Gold into the Bemax family," said Taiwo Aimasiko, CEO of Bemax, Inc. "This acquisition is a testament to our ongoing efforts to diversify and strengthen our CPG offerings. Kona Gold's strong brand recognition and innovative products align perfectly with our strategic vision for growth."

The acquisition is subject to customary closing conditions and regulatory approvals. Bemax anticipates completing the transaction in the coming months, with integration efforts commencing immediately thereafter. This acquisition is expected to contribute positively to Bemax's revenue and market position, further enhancing shareholder value.

About Bemax Inc.

Bemax Inc. is a forward-thinking company dedicated to delivering top-quality disposable diapers and women's hygienic sanitary products. With a focus on innovation and customer satisfaction, Bemax continues to expand its product offerings and distribution network, aiming to exceed the expectations of its growing customer base.

About Kona Gold Beverage, Inc.

Kona Gold Beverage, Inc., operates as a holding company for innovative brands. Through its subsidiaries, Kona Gold LLC, Covert LLC, and Surge Distribution, LLC, it offers a diverse range of healthy energy drinks and other premium products and distribution services. Kona Gold's premium line of energy drinks caters to health-conscious consumers, alongside its innovative HighDrate D9 Drinks. Covert LLC, operating out of Charlotte, NC, specializes in high-quality products, including Delta-8, THCa, THC-P, and Kratom. Surge Distribution, LLC, operating out of Melbourne, FL, is a diverse distribution company offering beverage and CPG products to a variety of retail locations from big box grocery stores to small family-owned specialty shops. Headquartered in Melbourne, Florida, Kona Gold Beverage, Inc. is actively engaged in expanding its market presence through strategic acquisitions.

Safe Harbor Statement:

The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by use of the words "may," "will," "should," "plans," "expects," "anticipates," "continue," "estimate," "project," "intend," and similar expressions. The Company may also make written or oral forward-looking statements in its filings with the U.S. Securities and Exchange Commission, in press releases and other written materials, and in oral statements made by its officers, directors or employees to third parties. There can be no assurance that such statements will prove to be accurate. The Company cautions that these forward-looking statements are further qualified by other factors including, but not limited to, those set forth in the Company's Annual Reports on Form 10-K and its other filings with the Securities and Exchange Commission. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or anticipated. These risks and uncertainties include, but are not limited to, general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing various engineering and manufacturing programs, changes in customer order patterns, changes in product mix, continued success in technological advances and delivering technological innovations, shortages in components, production delays due to performance quality issues with outsourced components, and various other factors beyond the Company's control. The Company does not undertake any obligation to update publicly or to revise any statements in this release, whether as a result of new information, future events, or otherwise.

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