Company To Complete OTCQB Listing and Register $5,000,000 Equity Line Financing Agreement
LOS ANGELES, CA, March 24, 2020 (GLOBE NEWSWIRE) — via NEWMEDIAWIRE — Agritek Holdings, Inc. (AGTK) www.AgritekHoldings.com, a fully integrated, active real estate investor and white label provider for popular hemp brands, announced today that the Company’s Institutional accredited investor, Oasis Capital (“Oasis”), has executed an agreement to acquire all outstanding convertible notes, in excess of $500,000 with PowerUp Lending Group of Great Neck, New York. The first payment of $100,000 has been paid by the Oasis, which will consolidate all existing convertible promissory notes, including all interest and other payments due thereon with PowerUp Lending. The initial Notes were originally issued in April, May and December of 2019, and upon full completion the Agreement with Oasis Capital, PowerUp Lending will no longer be a creditor of the company with all convertible debt held by PowerUp being acquired by Oasis.
The outstanding amounts due under the Company’s convertible note obligations were convertible into common stock of Agritek Holdings, Inc. at a specified discount. The Oasis purchase of all of its convertible debt obligations with PowerUp means there are no longer any convertible debt instruments held in the Company which are eligible to convert into common stock of Agritek Holdings, except by Oasis, thus limiting the potential influx of deeply discounted shares into the market.
“Agritek Holdings Inc. is pleased to have our institutional investor and banking arm, Oasis, acquire PowerUp’s convertible debt. Of course we do appreciate PowerUp and their team, and are very thankful for their financial assistance over the last year and for providing the Company access to working capital to allow us to get through our short-term liquidity issues,” stated B. Michael Friedman, CEO of Agritek Holdings Inc. “Now that we have completed our acquisition of Full Spectrum Biosciences, and revenues increase, as the newly appointed CEO, I will remain focused on our plan to build shareholder value through further the elimination of convertible debt and the implementation of a more favorable corporate financing, in an effort to restore the Company’s stock price back to more attractive levels,” Friedman added.
Additionally, the Company has executed an agreement with Oasis to register a $5,000,000 equity facility on behalf of the Company to secure a long-term equity commitment. The Company will seek to use this commitment to discontinue its reliance on convertible debentures, as a far more favorable corporate financing for the Company and its shareholders. Further, the Company is presently completing the process of its application to return to the OTCQB.
About Agritek Holdings, Inc.
Agritek Holdings, Inc. (www.AgritekHoldings.com), is a fully integrated, active real estate investor and advisor of white label brands in the legal cannabis sector. Specifically, Agritek Holdings provides strategic capital and functional expertise to accelerate the commercialization of its diversified portfolio of cannabis related real estate holdings. The hemp based raw material and products produced at facilities owned by Agritek Holdings and leased back to licensed operators are then used for retail branded CBD, CBG and Hemp oil extract products sold around the world. Agritek Holdings Inc. does not directly grow, harvest, or distribute or sell cannabis or any substances that violate or contravene United States law or the Controlled Substances Act.
This press release may contain certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Agritek Holdings, Inc. to be materially different from the statements made herein.
Agritek Holdings, Inc.
Original Source and Content: https://www.globenewswire.com/news-release/2020/03/24/2005504/0/en/Agritek-Holdings-Inc-Announces-Consolidation-Of-Over-500-000-In-Convertible-Notes-And-Debt-By-Institutional-Investor-Of-The-Company.html