https://www.sunsetislandgroup.com
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Latest News
https://www.otcmarkets.com/stock/SIGO/news
Pics and Info from Shareholder Tour On March 8, 2018
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=139247344
Share Structure
Market Value $8,390,294 a/o Mar 14, 2018
Authorized Common Shares 27,000,000 a/o Mar 14, 2018
Authorized Preferred A Shares 7,500,000 Mar 14, 2018
Outstanding Common Shares 5,746,777 a/o Feb 28, 2018
Unrestricted Common 4,871,761 a/o Feb 28, 2018
Outstanding Preferred A Shares 4,600,000 (Each Share=10 Common Shares)
Restricted Common 875,016 a/o Feb 28, 2018
Dividend (0.001) Sep 14, 2017 Sep 15, 2017 Sep 25, 2017
Fiscal Year Ends 10/31
Majority Owner: TJ Magallanes
President/Minority Owner: Valerie Baugher
Sunset Island Instagram
https://www.instagram.com/vbfbrands/
https://www.instagram.com/battlemountaingenetics/
Contact Info
Corporate PO Box 555 NORTH EL CAMINO REAL #A418 SAN CLEMENTE, CA 92672
Grow Site 20420 Spence Rd Salinas, CA 93908
Google Map: https://goo.gl/maps/4u1TyCiee292
Contact:
(424) 239-6230
info@sunsetislandgroup.com
info@vonbaronfarms.com
SEC Filings
Sunset Island Group, SIGO (OTCQB) has 5,371,771 Shares Outstanding
First Cannabis Revenues in August '17!!
Currently trading at .58 per share(11/20/17)...
...which equates to a very low market cap!!
One of the lowest if not THE lowest market caps among cannabis related stocks!
Projecting 152,000K square feet of greenhouse space minimum as phase one of expansion.
Company has projected $200.00 annually per square foot of grow space!
Projecting no more than 7,000,000 shares outstanding upon completion of first expansion.
Management has locked up their own preferred shares for 3 years from conversion date!
Currently 12K square feet of greenhouse space; 15K of which confirmed as grow space.
"Cannabis Grows Can Be Wildly Profitable When Done Correctly."
The company said in their initial PR to expect $200 per square foot, so that's what we've used here.
There's 16K confirmed square feet of grow space currently and the company will reach a minimum of
152K square feet after expansion. So what's a reasonable price per share? See below...
NOTE: As of today, the outstanding share count is 4,671,771, however,
as part of the expansion plan, that number will increase to a maximum of
7,000,000 shares with the expansion to 152,000 square feet.
I felt it necessary to share with you today specific, detailed information that's from the heart. Our company is poised for explosive growth. We are passionate about what we do and we are proud of our accomplishments to date. Our team has worked hard to get us to this point. We now have three options. 1. Continue to operate within the confines of our current 12K square feet. 2. Expand to an already pre-determined minimum of 152K square feet, or 3. Swing for the fences and expand quickly in phases to a total of 750,000K square feet. For us, option number one is off the table. It would be unfair to our operations team and unfair to our shareholders. Option number two is already in the works. Option number three is still on the table, so we need you to understand something clearly. We have a great plan of execution. It is laid out and ready to implement step by step and we would ask that shareholders trust us to execute our plan. The misconceptions today seemed to come mostly from how we presented the plan for the S-1 so let me lay that out for you step by step."
Mr. Magallanes went on to say, "Today at opening of business, our company has approximately 4,031,771 share outstanding. At close of business today, our company will have approximately 4,431,771 shares outstanding or an increase of 400,000 shares. In exchange, at close of business today, the company will have placed into our hands $340,000 in expansion capital. The particulars of the S-1 and how it will work, how we execute the strategy, the long term preferred share conversion, etc. are all irrelevant at this point. Again, we ask that you trust that we are doing what is in the best interest of the company and shareholders. What we are telling you is that with the first tranche, 400,000 shares will be added to the outstanding and $340,000 will be placed into our account. On a side note, we do not like debt of any kind and throughout the expansion, for the life of our business, we want to keep debt completely off the books or at least to a minimum. We currently have $300,000 in debt and that will be paid off in full immediately. That will leave us with $40,000.00 in expansion capital from the first tranche. Each subsequent tranche will also be negotiated in 400,000 share increments and we expect similar or better results with each."
He continued with, "We currently have 12K square feet of space and to expand to the pre-determined minimum of 152K square feet, we will need to raise approximately $1,560,000.00 in expansion dollars. Using the same or similar results to the first tranche, that would require us to add a little under 2,000,000 additional shares to the outstanding share count. So to expand to 152K square feet that will generate approximately $200.00 annually per square foot of grow space, we project the need to have approximately 6,267,000 shares outstanding and no more than 7,000,000. To keep this release from getting too lengthy, suffice it to say that to determine a projected share count, revenue projection and equivalent expansion capital raised to max out 750,000 square feet, the same calculations are applicable. What we are telling you as clearly as possible is we have a unique and effective way to raise funds in place, a plan to keep the outstanding share count to a minimum, a way to create explosive revenue growth without the creation of any substantial debt, much less toxic debt and at the same time doing so without the payment of any salaries to officers of the company, only dividends; the exact same dividends received by our shareholders.
"The Company’s goal is to become one of the largest cultivation entities in California
with the ultimate objective of becoming an acquisition target." 8K August 18th
Sunset Island Group is a cannabis grow facility located in San Clemente, California. See images below.
The Company began initial planting in April, 2017. They harvest year round and their first harvest took place
in late July, early August. They currently operate in 15,000 square feet of green house space and
expect to increase that amount in the near future to a minimum of 152K square feet. The company has
projected a very conservative $200.00 per square foot in annual revenue.
Neither of the officers in the company take a salary! The company recently announced a dividend for all
shareholders which will be paid quarterly and officer compensation will be through this dividend only.
https://www.otcmarkets.com/stock/SIGO/news/Sunset-Island-Group-To-Implement-Monthly-Dividend-For-Shareholders?id=166492&b=y
Sunset Island Group Provides Clarity On Expansion Plans
To date the company has accomplished the following items as part of the retrofit:
| | 1. | Completed rewiring the greenhouse to provide the additional power needs for the retrofit. This was completed on January 20, 2018. |
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| | 2. | Installed 90 LED lights in our grow bays with 120 lights to be installed by February 28, 2018. |
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| | 3. | Installed 8 “Sensor Push” atmospheric sensors in the greenhouse. The sensors provide wireless thermometer / hygrometer readings with alerts. The sensors allow the company to monitor the Sensor Push sensors remotely and with the cloud service we can receive current conditions, alerts and the full data history of each grow bay. |
| | | |
| | 4. | Converted the clone room and operations to a Coco Coir and hydroponics system. |
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| | 5. | Begun planting 2 bays with Coco Coir. |
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| | 6. | Increase the number of plants in each bay to 1,150 (up from 480 plants). |
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| | 7. | Built out new dry rooms. |
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| | 8. | Built out new trim rooms. |
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| | 9. | Installed 12 cameras in the greenhouse and dry/trim rooms. |
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| | 10. | Begun build out of manufacturing room. |
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| | 11. | Begun build out of distribution room. |
The Company’s current greenhouse operations are conducted with 12,000 square feet greenhouse, 1,000 square foot warehouse and approximately 9,000 square feet of bare land that the Company currently has temporary buildings on for administration purposes.
The goal of the retro fit for Phase 1 is to increase the growable space in the current greenhouse to approximately 22,000 (with a vertical grow) with approximately 85% being canopy space (or approximately 19,000 square feet). The Company’s goal is to yield 0.08-0.10 pounds per growable space and to have 5 harvests.
For Phase Two, the Company would ideally begin to retro fit another greenhouse currently located on the property. In September 2017, the Company agreed to take over a greenhouse located on the property that is 32,000 square feet. The current leaseholder is finishing his grow operations in the space. The Company would ideally retro fit that space in similar manner to the reto fit being completed within our current greenhouse. We expect the budget for the that retro fit to be between $1,800,000 and $2,000,000. This would increase our growable canopy space by an additional 50,000 square feet (with a vertical grow). Thereby, giving the Company 72,000 square feet of available canopy space. However, the Company wants to complete the current reto fit within the 12,000 square foot greenhouse and have completed the investment needed to retro fit the 32,000 square feet prior to absorbing the costs associated with the 32,000 square feet greenhouse. Additionally, the Company has been given permission from the land owner to build a new greenhouse on the 9,000 square feet of bare land that it currently leases. The Company ideally would like to build the new greenhouse as Phase 3 and add additional canoby space to its operations.
The company expects the total retro fit for Phase 1 (the current greenhouse) to cost approximately $600,000-$900,000.
As part of the retro fit, the Company intends to add the following items:
| (1) | 240 LED lights to provide supplemental lighting (20 lights per bay), |
| | |
| (2) | moving from a soil cultivation to coco coir system, |
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| (3) | increase plants in grow to 1,400-1,600, |
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| (4) | raising the height of the greenhouse by 5-10 feet to allow a vertical grow system (the company is testing a vertical grow method that wouldn’t require raising the height of the greenhouse) |
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| (5) | replacing the polyethylene sheet panels with more efficient polycarbonate panels, |
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| (6) | including additional atmosphere controls, |
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| (7) | cameras that can be accessed remotely, |
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| (8) | building out a new dry and trim room, |
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| (9) | building out new area for manufacturing and distribution, |
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| (10) | adding a CO2 system, and |
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| (11) | build a new greenhouse (which would give us 2 greenhouses) on our current leased bare land. |
On February 14, 2018, the Company has executed an agreement with St George Investments for $4,245,000 with the initial tranche being $850,000. The Company received the funds on February 20, 2018. As part of the initial tranche the Company repaid Auctus Fund. The Company moved forward with St. George because of how St. George is paid back. Instead of issuing shares the Company has the option to repaying the redemption amount in cash. Unlike other lenders where the Company has no option to repay in cash once the prepayment period has expired. St George Investments, starting six (6) months from Closing, may elect to redeem any portion of the outstanding balance in one or more redemptions. The redemption(s) may be satisfied in cash or stock ($1.70 Conversion Price) at the sole election of the Company. If the Company chooses to satisfy a redemption in cash, the redemption amount shall be multiplied by 110%.
https://www.sec.gov/Archives/edgar/data/1689066/000147793218000962/sigo_8k.htm
The goal of the retro fit for Phase 1 is to increase the growable space in the current greenhouse to approximately 22,000 (with a vertical grow) with approximately 85% being canopy space (or approximately 19,000 square feet). The Company’s goal is to yield 0.08-0.10 pounds per growable space per harvest. The Company’s goal is to have 5 harvests per bay per year.
On February 7, 2018, the Company has received a letter of understanding (intent) with REI Extracts to build out its manufacturing and distribution divisions. Under the intended terms, REI will pay for the build out of the manufacturing facility including all equipment and overhead associated to its ongoing operations. The Company will contribute its licensing and biomass from the cultivation operations. The Company will receive all proceeds from the sales under the joint venture and will pay REI 75-80% for managing and financing the operations. Essentially the company will receive 20-25% without any out of pocket expenses related to the manufacturing division. Thereby, allowing the Company to use its capital for its cultivation operations and allowing experienced extractors finance, run and manage the manufacturing division. Additionally, REI will assist the Company to expand into the Los Angeles and Southern California market through REI’s established distribution network. Nothing would limit the company from also manufacturing products under its own brand of “VBF Brands.”
https://www.sec.gov/Archives/edgar/data/1689066/000147793218000686/sigo_8k.htm
VBF Brands, Inc. Receives Distribution, Manufacturing and Cultivation Licenses for up to 15,000 sq/ft of Cultivation
Click Pics for License Look Up
County= Monterey
City= Salinas
Manufacturing License
CDPH-T00000244 VBF Brands, Inc. Von Baron Farms A-Type 6 Salinas Monterey 5/1/2018 Nonvolatile solvent or mechanical extraction (Can also do infusions and packaging/labeling) A=Adult Use
CDPH-T00000243 VBF Brands, Inc. Von Baron Farms M-Type 6 Salinas Monterey 5/1/2018 Nonvolatile solvent or mechanical extraction (Can also do infusions and packaging/labeling) M=Medicinal
https://www.cdph.ca.gov/Programs/CEH/DFDCS/MCSB/Pages/LicenseeLookup.aspx
Cultivation License
Max Cultivation License 15,000 sq. feet
TAL17-0000526 Adult-Use Temporary Cannabis Cultivation License VBF Brands, Inc. Specialty Mixed-Light Tier 2 01/17/2018 05/17/2018 Active 2,501 to 5,000 sq ft Monterey County
TML17-0000527 Medical Temporary Cannabis Cultivation License VBF Brands, Inc. Small Mixed-Light Tier 2 01/17/2018 05/17/2018 Active 5,001-10,000 sq ft
https://aca6.accela.com/CALCANNABIS/Cap/CapHome.aspx?module=Licenses
Distributor License
M11-18-0000157-TEMP Medicinal - Distributor Temporary License VBF Brands, Inc.
A11-18-0000115-TEMP Adult Use - Distributor Temporary License VBF Brands, Inc.
https://aca5.accela.com/bcc/Cap/CapHome.aspx?module=Licenses&ShowMyPermitList=N Use Salinas as the City
https://www.otcmarkets.com/stock/SIGO/overview