Generation Hemp Announces Execution of Conclusive Contracts to Get Halcyon Thruput, LLC for ~ $5.1 Million
DALLAS–( COMPANY WIRE)– Generation Hemp, Inc. (OTCPK: GENH), a Dallas-based Hemp business, announced today that it has participated in Definitive Agreements with Halcyon Thruput, LLC (” the Business”) to acquire 100%of the business’s assets. Halcyon Thruput is a leading emerging company active in the Hemp sector that provides post-harvest and midstream services to growers by drying and processing gathered hemp straight from the field and wet-baled at the Company’s 48,000 square foot center located in Hopkinsville, Kentucky. The drying services innovation considerably increases efficiency and capacity throughout harvest for farmers who require to quickly move collected hemp while protecting the cannabinoid potency by supplying scalable infrastructure essential to receive and process hemp with high wetness content (” damp”) quickly. Additionally, the Business provides safe storage services for processed hemp, which allows farmers to optimize strategic market timing. The Business’s midstream service is fee earnings, based upon a rate per pound of material managed, and for that reason is more protected from considerable commodity rate variations. The facility has the ability to process roughly 10,000 damp pounds per hour and in development are plans to scale as much as 20,000 damp pounds per hour in order to fulfill market needs as certified and gathered hemp acreage continues to considerably increase throughout Kentucky and Tennessee. The Company’s existing earnings forecasts for calendar year 2020 are roughly $10 Million.
- Generation Hemp, Inc., performs Conclusive Agreements to obtain 100 percent of the ownership interest in Halcyon Thruput, LLC.
- The purchase cost of the deal is around $5.1 million, payable in $2.5 countless limited common stock (valued at $0.50 per share) of Generation Hemp, Inc., limited from trading for one year and $2.6 million in money.
- As a condition of the arrangement to obtain the Company, Jack Sibley and Watt Stephens, co-founders of Halcyon Thruput, will remain as officers and workers of the Business under binding work arrangements for a minimum regard to 3 years and will also become officers of the moms and dad business, Generation Hemp.
- Extra possible future factor to consider is payable to OZC Farming Ky, LP, the moms and dad business of Halcyon, in years 2021, 2022, and 2023, based upon certain monetary performance procedures of Halcyon in future years.
Gary C. Evans, Chairman and CEO of Generation Hemp, Inc., said, “I am very delighted to announce conclusion of the conclusive arrangements to get Halcyon Thruput. This Company is one of the largest hemp processing facilities in the Southeast, centrally located in the heart of Southwest Kentucky “Hemp Country.” It is a leader in the midstream sector that supplies scalable drying services to ensure that their customer’s plant product is dealt with and processed in a manner created to optimize quality, reduce destruction, and improve the price received on behalf of the farmer. In addition, the company’s state-of-the-art cleansing and stripping innovation that removes stalks and stems, produces a constant, homogenized biomass that permits Halcyon to return their customers’ Hemp in a highly valuable, expedient time.”.
Evans continued, “Considering that early December, we have been incredibly active in the sector, after completing over 10 months of extensive due diligence on a number of companies across the U.S. Two days later, the House Treasure Finder’s name and ticker symbol was altered to Generation Hemp, Inc. (OTCPK: GENH). Our objective, as noted in previous statements, is to end up being a leading seed-to-sale pure-play Hemp business.
Jack Sibley, Chairman and Co-CEO of Halcyon Thruput, said, “Today’s statement marks a very essential advance for the future of our business. Generation Hemp will considerably enhance Halcyon’s mission to supply much required facilities to the hemp supply chain. By producing processing and supply centers throughout the U.S., Generation Hemp will even more secure the capability for farmers to get their product to market quicker and more dependably by supplying purchasers a constant, homogenized product with complete chain of custody. We anticipate settling this deal with Generation Hemp and dealing with Gary C. Evans and his management group to build a genuinely leading business within this new business sector.”.
Closing of this deal is based upon the fulfillment of particular terms and conditions included in the Conclusive Agreements, which are prepared for to be completed within the next 30-45 days.
Forward Looking Statements
These statements and all the forecasts in this press release are subject to dangers and unpredictabilities and are based on the beliefs and assumptions of management, and info currently offered to management. The identification in this press release of factors that may impact the business’s future performance and the accuracy of forward-looking statements is meant to be illustrative and by no ways exhaustive.