$CBGL the Company announced the successful conclusion of debt settlement negotiations with two debtholders, eliminating approximately $813,000 of long-term debt from the Company’s balance sheet. In April of 2022, the Company entered into a cannabis cultivation joint venture where Cannabis Global issued a note as payment for specific tasks to be completed by the joint venture. Due to rapidly falling prices for cannabis biomass, the cultivation effort never materialized. The parties to the joint venture agreed on terms of the note cancellation to benefit both entities.
“We continue to restructure our balance sheet to create additional value for our shareholders,” commented Edward Manolos, CEO of Cannabis Global. “There is undoubtedly tremendous turmoil in the California cannabis markets, but we continue our commitment to the cannabis marketplace and fully expect to emerge as a more vital organization. This additional $421,000 cancellation will allow us to present a stronger balance sheet to the marketplace and meaningfully further our restructuring program.”
The Company believes that these debt restructurings and settlements will go a long way to demonstrate to its investors and potential financiers, Cannabis Global’s potential in the California cannabis sector and provide a better position for what the Company’s executives believe, will soon be a true nationwide market for our products and services. These debt reductions will also help reduce future market dilution and help support a healthier market cap and enterprise value.
The Company indicates it has entered into additional debt settlement negotiations aimed at further reducing the Company’s debt burden, which it anticipates will be completed over the next fiscal quarter.
About Cannabis Global, Inc.
Cannabis Global, Inc. is a Los Angeles-based, fully audited and reporting Company with the U.S. Securities & Exchange Commission, trading under the stock symbol CBGL. We are an emerging force in the cannabis marketplace with a growing product and proprietary intellectual property portfolio. We are marketing and producing Comply Bag™, an innovative solution for cannabis storage, transport and tracking. Our subsidiary, Natural Plant Extract (NPE), is a Southern California licensed cannabis manufacturer and distributor which licenses our technologies to produce edibles for the cannabis marketplace. Cannabis Global has filed three non-provisional and multiple provisional patents for cannabis infusion and nanoparticle technologies and continues an active research & development program.
