Sugarmade, Inc. entered into a binding letter of intent to acquire real estate assets and businesses of Victorville Treasure Holdings, LLC and Treasure Mountain Holdings, LLC.
February 22, 2023
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Sugarmade, Inc. (OTCPK:SGMD) entered into a binding letter of intent to acquire real estate assets and businesses of Victorville Treasure Holdings, LLC and Treasure Mountain Holdings, LLC for $70 million on February 21, 2023. The purchase price would aggregate to $70 million, payable in cash, the assumption of existing mortgages and issuance of equity. The result of the proposed transactions would be the creation of a legacy OTC company engaged in legal cannabis activities and a new, potentially NASDAQ listed company involved in hospitality, entertainment, and multimedia flex-makerspace operations, not associated with cannabis.
Completion of the proposed transaction is subject to a number of conditions and contingencies outlined in the LOI, including but not limited to, the completion of mutually satisfactory 60-day due diligence period and execution of a definitive agreement. The transaction would be subject to board and equity holder approval of both companies, regulatory approvals, and other customary conditions.
Sugarmade, Inc. is a product and branding marketing company. The Company operates through two segments: paper and paper-based products and cannabis products delivery. The paper and paper-based products segment focuses on supply of disposable products to the quick-service restaurant and as an importer and distributor of non-medical personal protection equipment to business and consumers, via its Carry Out Supplies subsidiary. Carry Out Supplies is a producer and wholesaler of custom printed and generic supplies. The primary products are plastic cold cups, paper coffee cups, yogurt cups, ice cream cups, cup lids, cup sleeves, edible packaging, food containers, soup containers, plastic spoons, and similar products. The Company also focuses on investing in cannabis real estate, cultivation, and wholesale sectors vs. cannabis retail operations. It is also engaged in selected cannabis and hemp projects. Its subsidiaries include SWC Group, Inc., NUG Avenue, Inc., and Lemon Glow Company, Inc.
Sugarmade, Inc. entered into a binding letter of intent to acquire real estate assets and businesses of Victorville Treasure Holdings, LLC and Treasure Mountain Holdings, LLC.
SUGARMADE, INC. 
