SinglePoint Inc. Signs LOI to Sell GreenStar to Havana Holdings, Inc. for $1.4m in Stock
SEATTLE, WA -- (Marketwired) -- 06/05/15 -- SinglePoint Inc. (OTC: SING) announces that it has signed a Letter of Intent with VT Business Products, Inc. which will immediately change its name to Havana Holdings Inc. ("Havana") to acquire the assets of and brand collateral for GreenStar Payment Solutions, Inc., a company founded to create value-added payment solutions in the Cannabis Industry ("GreenStar"). SinglePoint recently redirected the brand to focus on development and distribution of vape pens and e-cigarettes.
In accordance with the LOI, Havana will acquire GreenStar for $1.4m. This payment to SinglePoint will be satisfied with Havana common shares. After all the transactions required by the LOI, SinglePoint will hold just under 75% of the Company's common stock. The Companies will work as strategic partners to garner multiple revenue streams from the brand given the existing industry relationships Havana is acquiring, particularly in the international tobacco industry.
SinglePoint CEO Greg Lambrecht states, "We are very pleased with the opportunity. Upon execution, SinglePoint will improve its balance sheet and bottom line while allowing us continued participation in GreenStar growth given our unified efforts with Havana Holdings, Inc. to bring new and innovative products to market in the ever-growing E-CIGARETTE and traditional tobacco market segments."
Lambrecht is moving forward confidently to ensure success for the endeavor and already secured two distribution partnership agreements and has started the process of visiting manufacturers in Cuba to build the relationships for importing Cuban cigars should the trade embargo be lifted.
Previous success in this realm is evidenced by Lambrecht's formation of Can-AM in 1994, where he serviced mass merchandisers in Canada before expanding Can-AM into Premium Cigars International (PCI). Mr. Lambrecht successfully developed and grew the PCI's cigar distribution program to 20,000 accounts. Thereafter, he served as VP of Sales for Single-Stick, a retail tobacco company, in which he was responsible for an increase in sales from $300,000 USD per year to $10 Million per year.
Lambrecht adds that the Havana deal "...also gives our team at SinglePoint increased bandwidth, resources and opportunity to focus on the Company's development and delivery of our state of the art mobile payment application, Oomy which has recently partnered with Glympse®, a revolutionary location sharing platform for mobile devices, to market dynamic capabilities to Small and Medium sized businesses (SMB)."
Havana and SinglePoint are motivated to have the agreement finalized by the end of next week.
SinglePoint is a full-service mobile technology and marketing provider. We provide solutions that allow our clients to conduct business transactions, accept donations, and engage in targeted communication through mobile devices. Our products connect small to mid-size companies to their target markets by providing innovative mobile technology at reasonable rates. www.singlepoint.com
About the Havana
After the transaction closes, Havana expects to have approximately 18% of its shares "free trading" and expects to file for trading. The Company's fiscal year is August 31 but if the Closing is prior to June the Company will change its year-end to June and audit its then financial condition in anticipation of raising additional funds. The Company's office is located at 9830 S. 51st St., Suite A-128 Phoenix, AZ 85044.
Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Technical complications, which may arise, could prevent the prompt implementation of any strategically significant plan(s) outlined above. The Company undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
Source: SinglePoint, Inc.
Released June 5, 2015