Pineapple, Inc. cancelled the acquisition of 50% stake in Capital Growth Investments, Inc. from Pineapple Ventures, Inc.
August 21, 2022
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Pineapple, Inc. (OTCPK:PNPL) entered into a stock purchase agreement to acquire 50% stake in Capital Growth Investments, Inc. from Pineapple Ventures, Inc. for $1 million on August 7, 2021. Pineapple, Inc. will acquire 0.05 million shares of Capital Growth Investments at an offer per share of $20. Out of $1 million, $0.1 million was paid in multiple tranches which were completed on August 12, 2021 in exchange for 5% of the shares of Capital Growth Investments. Within 60 days of execution of the agreement, the remaining balance of $0.9 million shall be paid in exchange for 45% of the shares of Capital Growth Investments. Contemporaneously with the execution of the agreement, the parties entered into a shareholder agreement for Capital Growth Investments, Inc. (the Shareholder Agreement). Pursuant to the shareholder agreement, Pineapple, Inc. was granted certain anti-dilution rights, as well certain monthly distributions of net cash from the operations of Capital Growth Investments, along with other voting and indemnification rights. Pineapple funded an aggregate amount of $0.1 million as of September 30, 2021. Pineapple must fund the remaining $0.9 million before March 31, 2022. Should Pineapple be unable to fund the balance of $0.8 million by June 30, 2022, the transaction will be cancelled, and all deposits would be returned to Pineapple. As of March 2022, the parties mutually agreed to extend the closing date to June 30, 2022. CGI and PVI mutually agreed to extend the closing date of the Agreement to August 5, 2022.
Pineapple, Inc. (OTCPK:PNPL) cancelled the acquisition of 50% stake in Capital Growth Investments, Inc. from Pineapple Ventures, Inc. on August 22, 2022.
Pineapple, Inc. procures and leases properties to licensed cannabis operators. The Company, through its wholly owned subsidiary, Pineapple Wellness, inc., provides nationwide hemp-derived cannabidiol (CBD) sales through online (Pineapplewellness.com) and in-store transactions. Its hemp CBD products are organically grown, non-GMO, donât contain heavy metals or toxins and contain no heavy solvents. From plant to bottle, it offers lab-tested, quality CBD products that are natural and potent and contain less than 0.3% Tetrahydrocannabinol (THC). Through its other subsidiary, Pineapple Express Consulting Inc., it also offers cannabis business licensing and consulting services.