MDBX $5 stock in my opinion. News from after the market yesterday. Currently at $2.17
Press Release: Medbox Founder Comments on Signing $15M Equity Deal
16 hours 32 minutes ago - DJNF
Medbox Founder Comments on Signing $15M Equity Deal
Founder Further Comments on Signing a Deal Transferring the Majority of His Shares to an Industry Player and Directing $5M of the Proceeds to Medbox Through Equity Purchase
LOS ANGELES, March 5, 2015 (GLOBE NEWSWIRE) -- P. Vincent Mehdizadeh, founder and current majority shareholder of Medbox, Inc. (OTCQB:MDBX) commented on executing a deal with Lizada Capital LLC, an investor in the field of legal cannabis products, that would result in the transfer of the majority of Mr. Mehdizadeh's shares of MDBX to that firm.
Under the agreement, which has six separate closings over 18 months, Lizada would purchase 22,160,000 shares, representing 2,000,000 preferred shares and 12,160,000 common shares of Medbox for upwards of $15 million. A total of $5 million of the funds have been designated for purchase of 2.5 million restricted shares of Medbox common stock, directly from Medbox, in the name of Mr. Mehdizadeh's holding company, PVM International, Inc.
"Prior to announcing the deal yesterday, the Medbox board of directors had approved the Lizada Capital LLC managing member to join the board of directors as my board appointment and also approved of that party making a substantial direct investment into the company for the purchase of restricted common stock," stated Vincent Mehdizadeh, founder and current majority shareholder of Medbox. "I also discussed the possibility of having Lizada step into my shoes as the majority shareholder of the company and shared the potential deal points with the Medbox board of directors and their attorneys weeks before a final agreement was reached with Lizada. While Medbox is not a direct party to this transaction, they have been in the loop and have been supportive in vetting Lizada's investment and its managing member's appointment to the Medbox board of directors. The next steps for the investment into Medbox will be signing subscription agreements with the company that will tie into each of the first 5 closings identified within the Lizada transaction. From what my attorneys and I can gather, the signing of subscription agreements with Medbox is simply a formality. I am happy to be bringing value to Medbox and its shareholders in this manner."
