FINORE MINING PROVIDES UPDATE ON CALIFORNIA CANNABIS PRODUCT OFFERINGS AND NAME CHANGE TO KUSHTOWN USA LLC
November 02 2016 - 8:00AM
InvestorsHub NewsWire
FINORE MINING PROVIDES UPDATE ON CALIFORNIA CANNABIS
PRODUCT OFFERINGS AND NAME CHANGE TO KUSHTOWN USA LLC
Vancouver, British Columbia -- November 2, 2016 -- InvestorsHub
NewsWire -- Finore Mining Inc.
(“Finore” or the "Company")
(CSE:
FIN;
OTC:FNREF) provides additional information in relation
to its news release dated October 27th, 2016
whereby the Company signed a letter agreement dated October 27,
2016 (the “Assignment Agreement”) with an arm’s
length private British Columbia company (the
“Assignor”), pursuant to which the Assignor has
assigned to the Company the rights and obligations of a letter
agreement dated October 25, 2016 (the “Letter
Agreement”) between the Assignor and Kushtown USA, LLC
(“Kushtown”) a private California limited
liability company,. Pursuant to the terms of the Letter
Agreement, the Company will acquire all of the issued and
outstanding securities of Kushtown (the
“Transaction”).
Kushtown USA Product Line Update (www.kushtownusa.com)
Kushtown USA LLC is a
California based leading liquid edibles company that specializes in
cannabis infused medicated water, sodas, hot sauces and barbecue
sauces. Since 2000, Kushtown has been one of the
leaders in marijuana beverages and edible products in California,
with sales to over 200 medical marijuana dispensaries.
Kushtown currently markets and distributes the following Cannabis
infused products:
Kushtown Sodas- Kushtown offers 20 different varieties of medicated
soda. Sodas/drinks come in varieties of carbonated and
non-carbonated beverages. Flavors like Cherry Cola,
lemonade, fruit punch, and lemon lime are infused with a THC
tincture.
Kushtown Water- The Kush water product is a healthy choice for a
liquid edible for those who can’t have sugary or carbonated drinks.
Medicated water can be substituted for use of coffee,
lemonade, tea, juice and soups.
Kushtown Hot Sauce- This sauce packs a punch with heat similar to a
Franks wing sauce mixed with Tabasco and is marijuana infused.
Packed with flavor and heat. Best with nachos, burritos, pizza,
eggs, soups and hot wings.
Kushtown barbeque sauce- A Smokey barbeque sauce with mild
heat and infused marijuana. It works with almost anything barbeque
sauces are made for. Best with burgers, ribs, chicken, steak, pizza
and wings.
Kushtown holds trademark rights to the
Kushtown line of products, and management plans to leverage the
established Kushtown brand name in California and aims to expand
the Kushtown brand into the recreational cannabis market across
North America, pending the November 8, 2016 vote in California and
other States to legalize recreational marijuana.
Planned Management Changes and Name Change Concurrent with
Kushtown Transaction
Concurrent with the closing of the Transaction, the Company will
apply to have its name changed to Kushtown USA LLC and its trading
symbol in Canada changed to KSH both to better reflect the change
of the Company business.
In connection with the Transaction the Company will restructure its
management team with a focus towards developing Kushtown USA
product lines into a national retail brand, similar to the what the
Company believes to be its competitors including, Red Bull Energy,
Monster Energy Drinks, and Rockstar Energy. The Company is
currently in the process of identifying and engaging industry
experts with demonstrated ability to build national brand names and
distribution channels similar to the above-mentioned corporations
in North America. The Company is identifying qualified candidates
with experience in retail product brand building across North
America. Management's objectives will be to build Kushtown USA
product lines into a North America wide Cannabis liquid edibles
brand name.
Peter Moret, founder of Kushtown USA will be an integral part of a
management team moving forward. Mr. Moret is a passionate Cannabis
industry entrepreneur who also has an extensive background in the
music industry. Mr. Moret has worked alongside notable artist such
as; Dr. Dre., Eminem, Eve and Xzibit. Mr. Moret is well connected
in the California music industry and is a recognized expert in
California's medicinal marijuana industry. Further management
announcements will follow.
Letter Agreement
Pursuant to the terms of the Letter Agreement, the Company will
make certain cash payments and advances and issue to Kushtown
shareholders an aggregate of 8,440,845 common shares in the capital
of the Company (the "Payment Shares") at a deemed price of CDN$0.15
per Payment Share for total share consideration of CDN$1,266,126.75
(US$950,000). The Payment Shares will be subject to escrow
conditions and/or resale restrictions as required by applicable
securities laws and the policies of the Canadian Securities
Exchange (the "CSE"). Pursuant to the terms of the Assignment
Agreement, the Company will, upon closing of the Transaction, issue
2,500,000 common shares to the Assignor at a deemed price of
CDN$0.15 per share and shall grant the Assignor a 2% net profits
interest royalty on all Kushtown branded products sold by the
Company.
The Transaction remains subject to certain closing conditions,
including, completion of due diligence, the negotiation and signing
of a definitive agreement and obtaining all necessary approvals,
including, approval of the respective boards, the approval of the
CSE, and if applicable, shareholders of the Company. There
can be no guarantees that the Transaction will be completed as
proposed or at all.
None of the Payment Shares to be issued pursuant to the Transaction
have been or will be registered under the U.S. Securities Act of
1933, as amended (the "U.S. Securities Act"), or any state
securities laws, and any Payment Shares issued pursuant to the
Transaction are anticipated to be issued in reliance upon available
exemptions from such registration requirements pursuant to Rule
506(b) of Regulation D and/or Section 4(a)(2) of the U.S.
Securities Act and applicable exemptions under state securities
laws. In addition, the Payment Shares to be issued pursuant to the
Transaction under an exemption from the registration requirements
of the U.S. Securities Act will be "restricted securities" as
defined under Rule 144(a)(3) of the U.S. Securities Act and will
contain the appropriate restrictive legend as required under the
U.S. Securities Act.
The CSE does not accept responsibility for the adequacy
or accuracy of this release.
Cautionary Statement
Regarding “Forward-Looking” Information
The forward-looking information
contained in this press release is made as of the date of this
press release and, except as required by applicable law, the
Company does not undertake any obligation to update publicly or to
revise any of the included forward-looking information, whether as
a result of new information, future events or otherwise, except as
may be required by law. By its very nature, such forward-looking
information requires the Company to make assumptions that may not
materialize or that may not be accurate. This forward-looking
information is subject to known and unknown risks and uncertainties
and other factors, which may cause actual results, levels of
activity and achievements to differ materially from those expressed
or implied by such information.
Listing: CSE -
Symbol: FIN,
OTC: FNREF
Investor Contact: info@finoremining.com