ML Capital Group Inc (OTCMKTS:MLCG) To Provide Specifics Of Spanish Peaks Acquisition Next Week
ML Capital Group Inc (OTCMKTS:MLCG) has announced that it is all set to acquire Spanish Peaks ScrumpDelicacies, through an equity purchase agreement, which would close on February 22, 2017. The company has also stated that this would be followed by the issuance of a dividend, amongst shareholders. Moreover, MLCG also plans to release a short presentation for shareholders, providing them specific details of the acquisition and its future plans.
Spanish Peaks has been co-acquired by MLCG and Puration Inc (OTCMKTS:PURA), with the intent of introducing an MLCG Cannabis Tourism Offering. The two companies have entered into a partnership for the offering and are planning to initially target the market in Colorado. The tourism industry here is expected to function much like the wine tourism industry in Napa Valley, showing tourists how cannabis beverages are produced, in the region. Under the agreement, Puration would be the sole source of cannabis extract, for all Spanish Peaks’ products.
In addition to this, it has been revealed that the two companies are modeling the acquisition after the North American Cannabis Holdings (OTCMKTS:USMJ) model, which is known to provide direct benefits to shareholders. As such, it is expected that Spanish Peaks would pursue getting listed on a stock exchange, while a portion of its shares would be distributed as dividend amongst the shareholders of MLCG and PURA.
Earlier, ML Capital had decided to acquire Spanish Peaks on its own, but after Puration expressed its interest to join the agreement, the two formed a joint equity purchase agreement. Although the move would significantly ease the burden on MLCG, the exact pricing of the agreement is yet to be revealed. It should be noted here that the tourism industry in Colorado alone is worth $19 billion and can serve as a platform for global expansion, for the cannabis tourism business.
ML Capital Group Inc (OTCMKTS:MLCG) recorded a trade volume of 352.08 million and gained 14.29% in terms of its share value, during the February 16 trading session, to reach a close at $0.0008 per share.© Copyright 2016 OTC News Magazine. All rights reserved.