Cypress Hill co-founder DJ Muggs is swapping his iconic bucket hat for a new corporate beanie.
The west coast hip hop producer will work as the chief brand strategist for Bhang Inc. (CSE: BHNG and OTCQX: BHNGF), the company announced Wednesday.
Muggs will be responsible for Bhang’s creative direction and strategy, according to a press release.
“My life’s work has been about bringing the culture to the forefront and creating uncompromising art,” Muggs said in a statement, adding that he’s looking forward to making Bhang a household name.
There’s little doubt Muggs, born Lawrence Muggerud, is up for the challenge. As a producer he’s worked with acts like U2, Die Antwoord, Van Halen, Pearl Jam, Snoop Dog, Queen and more.
Musically, he’s got the Midas touch.
“Muggs has been a trend setter in mainstream and underground art and music circles as well as a vocal cannabis user and legalization supporter,” Bhang president and CEO Jamie Pearson said in a statement. “He identifies and guides trends and talent and we are excited to watch his vision and creativity influence Bhang’s culture and direction.”
But how much creative licence Bhang will hand over to Muggs remains to be seen.
Bhang’s website features wholesome, highly saturated videos of tanned Californians bounding through golden sunlight, and butter-yellow Volkswagens yanked from the ’50s.
On the spectrum of cannabis marketing, it falls on the post-legalization side, where weed is re-marketed towards hikers, surfers, and people who throw beach picnics for their dogs. It’s an aesthetic slightly at odds with Muggs and Cypress Hill’s head shop vibes.
Cypress Hill Bhang joint venture
This isn’t the fist time Cypress Hill and Bhang have partnered up. Back in September 2018 Cypress Hill Bhang was announced as a joint venture to sell weed memorabilia. Fans could buy a tin shaped like a tape deck and a jar shaped like a skull wearing a bucket hat for US$65 or US$125, respectively, which came stocked with six pre rolls or seven grams of weed.
In Wednesday’s press release Bhang announced it was buying Cypress Hill out of the joint venture.
In exchange for its half of CHB, the hip hop group accepted payment in the form of 536,016 shares of Bhang. That’s around one per cent of the available publicly traded shares on the CSE.
The shares are locked in until May 23, 2020, at which point they will be able to be sold for US$205,321.22, according to the press release.
That’s a value of $0.50 per share, which is considerably higher than today’s listed price of $0.15 per share. The transaction is a vote of confidence from Cypress Hill in how under-valued Bhang’s stock is, a company spokesperson told Mugglehead.
If Mugg’s new role in the company doesn’t bring Bhang’s stock up, the hip hop group will have been bought out for $80,400 at its current valuation — or even less if the company’s stock continues its slow decline since the summer of 2019.
Regardless of stock price, Cypress Hill will continue to collect 2.5 per cent of all CHB sales in royalties for using the group’s name, according to the press release.
Cover photo Cypress Hill by Mika Photography via Wikimedia Commons.