Below is the section of 8K concerning loan with Fife. As you can see they have 6 months to pay by cash which would be August 20, 2018. From all the marijuana they have already grown plus the additional they will be growing between now and around August 20 they should easily be able to pay off this loan with cash.
8.01 Other Information
1.
On February 20, 2018, Auctus Fund was repaid for the loan and as such it is no longer outstanding and has been retired. The Company had the right to prepay the note at 135% nut negotiated the rate down to 125% plus 15,000 shares of restricted stock. The repayment amount was $276,627.40 plus 15,000 shares of restricted stock.
2. 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 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%.
3. The company’s auditor is Benjamin & Young, LLP. The company had retained Malone Bailey to replace Benjamin & Young, LLP but we never terminated the previous auditor. After discussions with Benjamin & Young, we decided to keep Benjamin & Young as our auditors. Our new accounting team at PubCo will be working with Benjamin & Young to complete the audit on the 10-K as quickly as possible.
