Pineapple, Inc. entered into a stock purchase agreement to acquire 50% stake in Capital Growth Investments, Inc. from Pineapple Ventures, Inc. for $1 million.
August 15, 2021
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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.
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.
Pineapple, Inc. entered into a stock purchase agreement to acquire 50% stake in Capital Growth Investments, Inc. from Pineapple Ventures, Inc. for $1 million.