Vext Science, Inc. entered into agreement to acquire Appalachian Pharm Processing, LLC for $12.5 million.
December 14, 2022
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Vext Science, Inc. (CNSX:VEXT) entered into agreement to acquire Appalachian Pharm Processing, LLC for $12.5 million on December 15, 2022. Consideration an aggregate of $750,000 in cash paid upon execution of the Purchase Agreements, an aggregate of $3.0 million principal amount of unsecured promissory notes, an aggregate of approximately $6 million principal amount of unsecured promissory notes to be issued by Vapen Ohio on the earlier of (i) closing of the Proposed APP Acquisitions and (ii) January 1, 2023, an aggregate of 8,999,989 Common Shares, at a deemed price of $0.156 per share, issued upon execution of the Purchase Agreements subject to certain customary adjustments. The Proposed APP Acquisition is subject to regulatory approvals and other customary conditions precedent. Proposed Transaction are expected to close by the end of the second quarter of 2023. Eight Capital acted as financial advisor to Vext and its board of directors. McMillan LLP acted as legal counsel to Vext and Bianchi & Brandt acted as legal counsel to Vext. Gordon Bibart, LLC acted as legal counsel to APP. Eight Capital acted as Fairness Opinion Provider to Vext.
Vext Science, Inc. is a cannabis operator. The Companyâs expertise spans from cultivation through to retail operations in markets of Arizona and Ohio. It manufactures THC cartridges, concentrates, edibles and accessories under the Vapen brand, and hemp-based products under the Pure Touch Botanicals brand as well as the Vapen CBD and Herbal Wellness brands. It has THC concentrates, edibles, and distillate cartridge brands sold in various states dispensaries. It owns and operates cultivation facilities, fully built-out manufacturing facilities as well as dispensaries in both Arizona and Ohio. Additionally, it provides management, advisory, cultivation, and dispensary services to entities in the cannabis field through joint operations agreements. It also sells CBD products and branded merchandise. Vapen Brands product is the wholesale product and sold in its dispensaries. Vapen Brand is an edible and concentrate brand. The Company also owns cannabis dispensary in Columbus, Ohio.