XXII - 22nd Century Group Offloads Hemp/Cannabis Franchise In $2.25M Deal Seeks To 'Reduce Cash And Operating Demands' | Benzinga
22nd Century Group, Inc. (NASDAQ: XXII) confirmed Tuesday it has reached an agreement to sell "substantially all" of its GVB Biopharma hemp/cannabis operations to Specialty Acquisition Corporation, a Nevada company. Specialty Acquisition Corporation is an entity affiliated with current GVB employees.
Under the deal, the buyer will have to pay $1 million to 22nd Century at the closing of the sale and a 12% secured promissory note for $1.25 million issued by the buyer and payable through six equal monthly installments of principal and accrued interest commencing the fourth calendar month after the closing.
22nd Century plans to use the proceeds from the sale to further deleverage its balance sheet.
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