Redux Holdings, Inc. (OTCPK:RDXH) entered into a memorandum of understanding to acquire 20% stake in Priority 1 Signs Inc on July 8, 2015. Redux Holdings will issue stock as consideration and enter into a manufacturing agreement between with Priority 1. Redux Holdings, Inc executed a contract to purchase 20% stake in Priority 1 Signs on July 13, 2015. As per the terms of the contract, Redux Holdings will issue common stock to Priority 1 at $0.10 per share and certain warrant rights to Priority 1 to purchase additional common stock of RDXH at $0.25 per share and $0.5 per share. RDXH will also have to retain Priority 1 as its manufacturer with initial contemplated purchase orders valued at $0.5 million and provides Redux with the right to increase its ownership in Priority 1 by way of a further investment of $0.5 million at Redux's option. If Redux does not provide at least $0.5 million in qualified manufacturing purchase orders payments to Priority 1 or otherwise invest $0.5 million within eighteen months from the date of the contract to purchase, Redux's ownership in Priority 1 may be reduced from 20% to not less than 10% of Priority 1's total issued and outstanding shares as of the date of the contract to purchase.

Redux Holdings, Inc. (OTCPK:RDXH) cancelled the acquisition of 20% stake in Priority 1 Signs Inc on October 25, 2015.