Industrial Hemp and Cannabidiol (“CBD”) Sugarmade is expanding to the booming industrial hemp and CBD industry and recently launched this corporate initiative with a commitment to provide investment capital up to $1 million over a 12-month period in Hempistry, Inc., a privately held Nevada corpo- ration. Hempistry is focusing on the cultivation of an ultra-high CBD industrial hemp strain that contains less than 0.3 percent of THC, the psychoactive ingredient found in cannabis. The company has begun planting of the new strain on an option Hempistry holds on 23,000 acres of prime Kentucky farmland. Demand for industrial hemp and hemp-derived products is soaring, with rapid growth expected to continue. According to the Hemp Business Journal, the industry in the U.S. alone is projected to reach well over $1 billion in revenues in 2018, and increase at a compound annual growth rate of 14 percent through 2022. The company is taking advantage of tremendous opportunity in entering this fast-growing sector. Its investment into the high-CBD hemp market is expected to benefit shareholders in the following ways: D D Sugarmade will provide its investment in the form of common stocks, allowing shareholders the potential to benefit from any future initial public offering of Hempistry. D D Sugarmade intends to enter into a cultivation supply agreement with Hempistry, opening additional corporate revenue opportunity.