NetworkNewsBreaks – Youngevity International, Inc. (NASDAQ: YGYI) Subsidiaries Enter Joint Venture for Large Scale Processing Facility, 2,200 Acres to Grow Hemp in Nicaragua
Youngevity International (NASDAQ: YGYI), a multi-channel lifestyle company operating in three distinct business segments including a commercial coffee enterprise, commercial hemp enterprise and multi-channel lifestyle company, today announced that its wholly-owned subsidiaries, CLR Roasters LLC and Khrysos Industries, Inc. (the “US Partners”) have entered into an agreement with H&H Coffee Group Export Corp and The Nica Hemp Cooperative, Inc (the “Nicaragua Partners”) to acquire the 2,200 acre Chaguitillo Farms in Sebaco-Matagalpa, Nicaragua. The joint venture will utilize the property to erect a large-scale processing facility and to grow hemp on the land. Planned improvements to the property are anticipated to total approximately $30,000,000 dollars, with H&H contributing the 2,200-acre farm with an estimated value of about $10 million. All the capital toward the construction of the project, estimated at $20 million dollars, will be provided by The Nica Hemp Cooperative. Along with its expertise in the hemp business, the US Partners will initially contribute $3,000,000 of extraction equipment to the project. Additionally, the US Partners aim to issue 1.5 million shares of YGYI common stock to the Nica Hemp Cooperative in exchange for a 50% stake in the land and the improvements (having a $30,000,000 estimated value at completion). The US Partners will also issue 5 million warrants with a strike price $1.50 per share to the Nica Hemp Cooperative in exchange for a 75% controlling stake in the hemp grow and oil extraction business, subject to Nasdaq approval. The warrants will be issued when the project is completed and initiates its operations. “This is a very impressive partnership and collaboration between our Hemp Enterprise, our Coffee Enterprise and our very strong and growing strategic business relationship in Nicaragua. We feel that the value of YGYI’s 50% interest in the land and infrastructure at completion of the project along with the assumption that the warrants will be exercised represents a significant premium to our current trading price,” Youngevity president and CFO Dave Briskie stated in the news release.
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Youngevity International (NASDAQ: YGYI), a multi-channel lifestyle company operating in three distinct business segments including a commercial coffee enterprise, commercial hemp enterprise and multi-channel lifestyle company, today announced that its wholly-owned subsidiaries, CLR Roasters LLC and Khrysos Industries, Inc. (the “US Partners”) have entered into an agreement with H&H Coffee Group Export Corp and The Nica Hemp Cooperative, Inc (the “Nicaragua Partners”) to acquire the 2,200 acre Chaguitillo Farms in Sebaco-Matagalpa, Nicaragua. The joint venture will utilize the property to erect a large-scale processing facility and to grow hemp on the land. Planned improvements to the property are anticipated to total approximately $30,000,000 dollars, with H&H contributing the 2,200-acre farm with an estimated value of about $10 million. All the capital toward the construction of the project, estimated at $20 million dollars, will be provided by The Nica Hemp Cooperative. Along with its expertise in the hemp business, the US Partners will initially contribute $3,000,000 of extraction equipment to the project. Additionally, the US Partners aim to issue 1.5 million shares of YGYI common stock to the Nica Hemp Cooperative in exchange for a 50% stake in the land and the improvements (having a $30,000,000 estimated value at completion). The US Partners will also issue 5 million warrants with a strike price $1.50 per share to the Nica Hemp Cooperative in exchange for a 75% controlling stake in the hemp grow and oil extraction business, subject to Nasdaq approval. The warrants will be issued when the project is completed and initiates its operations. “This is a very impressive partnership and collaboration between our Hemp Enterprise, our Coffee Enterprise and our very strong and growing strategic business relationship in Nicaragua. We feel that the value of YGYI’s 50% interest in the land and infrastructure at completion of the project along with the assumption that the warrants will be exercised represents a significant premium to our current trading price,” Youngevity president and CFO Dave Briskie stated in the news release.
Please see full disclaimers on the NetworkNewsWire website applicable to all content provided by NNW, wherever published or re-published: http://NNW.fm/Disclaimer
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