Pablo Gortazar, Kingman Distributions, S.A. DE C.V and Investors including management of Flexo Universal signed a non-binding letter of intent to acquire Flexo Universal, S.A. De C.V. from CTI Industries Corporation (NasdaqCM:CTIB) for $4.2 million on December 4, 2019. On July 30, 2021, Pablo Gortazar, Kingman Distributions, S.A. DE C.V and Investors including management of Flexo Universal entered into an agreement to acquire Flexo Universal, S.A. De C.V. from CTI Industries Corporation. Buyers would acquire the shares on Flexo on a cash-free and debt-free basis, subject to normalized level of working capital and subject to buyers and CTI securing financing from NewBridge Global Sourcing. Under the term of the consideration of the transaction, $3.9 million will be paid in cash at closing and CTI shall transfer the Foil Balloon Converting Machine, having purchase price allocation of $0.3 million. As per the article of August 10, 2021, Kingman Distributions agreed to pay Yunhong CTI $500,000, of which $100,000 will be paid at closing and the remainder will be paid in installments over twelve months following closing. Installment obligations are to be secured by a pledge of the assets of Flexo, as well as by guaranties provided by Kingman Distributions and Pablo Gortazar, an individual with an ownership interest in Flexo, pursuant to a guaranty and security agreement to be entered into among Yunhong CTI, Kingman Distributions, Flexo and Pablo Gortazar at the closing. Cash consideration will be funded by a combination of $1 million cash from commercializadora Diez and $2.9 million from NewBridge. The $2 million will be funded by proceeds of the loans from NewBridge and $1.2 million from differential banks and less $0.3 million to be used by Buyer for operational and other expenses. The NewBridge will submit the letter of interest and the commitment letter for a $2 million loan on or before December 16, 2019 and December 23, 2019. The differential banks will submit the letter of interest for $1.2 million term loan on or before December 23, 2019. The transaction will terminate, if the closing shall not happen on or before December 31, 2019. Buyers will pay all the expenses, including the fees and expenses of investment bankers and other advisors, incurred in connection with the proposed transaction. The closing of the transaction is expected to occur on October 10, 2021. The transaction is subject to several contingencies, including a financing contingency and lender approval, Definitive agreement, obtaining financing, approval of CIT Board of Directors and government regulatory approvals or third-party approvals. The closing is conditioned on, among other things, Yunhong CTI being released from all obligations in connection with its guaranty of the real property lease for Flexo's facility, and Yunhong CTI repaying its obligations in full to PNC Bank, National Association. With this transaction, there will be reduction in revolving credit facility, and will improve business fundamentals, we head into 2022 on a sounder financial foundation to support our growth objectives. Harold Israel of Levenfeld Pearlstein, LLC acted as a legal advisor to CTI Industries and Antonio Rodr?guez of Antonio Rodr?guez / Abogados acted as a legal advisor to Flexo Universal. Pablo Gortazar, Kingman Distributions, S.A. DE C.V and Investors including management of Flexo Universal acquired Flexo Universal, S.A. De C.V. from CTI Industries Corporation (NasdaqCM:CTIB) on October 28, 2021. The consideration of $0.1 million was paid on closing and the remain will be paid in installments over twelve months following the date of closing.