It will be right to assume that OSL Holdings Inc (OTCMKTS:OSLH)‘s plan on ‘Earth Day’ did not do the trick for investors. The company released a press note yesterday announcing the roll out of a Grow Light LED Retail Program. As per the program, the company signed an agreement with Independence LED (ILED) with respect to private labeling of ILED Grow Lights.
Further, the company announced a 90 day Pilot Program, which includes the display of Branded ILED Grow light at Go Green Hydroponics store located in Los Angeles, California. It should be noted that Go Green Hydroponics is a wholly holding company of OSL Holdings Inc (OTCMKTS:OSLH).
As per the agreement, ILED will provide a number of grow light for display purposes to Go Green, which in turn will demonstrate the former’s fixtures at its retail locations. As part of the arrangement, ILED will pay a 7.5% lead commission to Go Green for a certain number of purchase orders. Alongside this, ILED will also pay OSL Holdings Inc (OTCMKTS:OSLH)’s Go Green 20% share of the aggregate revenues generated through sales at the company’s retail stores.
One of the exciting features of the new LED grow lights is their ability to lessen the operating expenses on account of lower electricity consumption as against the conventional forms of LED. Also, these LED grow lights are helpful in assisting with the growth of plants, which is crucial for a business like OSL Holdings Inc (OTCMKTS:OSLH)’s Go Green. In this way, the company is exploring a potential vertical in the grow market space.
OSL Holdings Inc (OTCMKTS:OSLH)’s CEO Bob Rothenberg commented that the agreement between the two companies will help Go Green to stay ahead its competitors by providing commercial as well as private hydroponic cultivators and gardeners with best products on the market. However, the company’s announcement failed to move investors as its stock nosedived by nearly 24% to $0.0109. The total number of shared that changed hands on the day were 41.53 million.