SinglePoint, Inc. Signs LOI to Invest $800K in Jacksam Corp., Creator of Revolutionary Cannabis Technology
SEATTLE, WA / ACCESSWIRE / January 31, 2017 / SinglePoint, Inc. (OTC PINK: SING), a full-service mobile technology and marketing provider, is entering an exciting niche of the cannabis industry through a Letter of Intent ("LOI") to acquire an interest in Jacksam Corp., dba Convectium, a profitable California-based provider of equipment, branding, and packaging solutions for the cannabis industry.
Convectium is the creator of the world's first oil filling machine focused on the cannabis industry that is capable of filling cartridges or disposable vape pens for wholesale distribution to dispensaries. The company's 710Shark and 710Seal system can fill and package up 100+ cartridges or disposable vape pens in 30 seconds, making it the fastest filling and sealing system of its kind.
Convectium operates a B2B equipment division in addition to its legacy B2C products. The proprietary equipment is solely distributed by EquipCanna.com, the Convectium B2B brand. Based on its market position and increasing demand for its products and services, Convectium forecasts revenues for 2017 at $3.5 million, an increase of 150% compared to revenue of $1.4 million for 2016.
Convectium ships its consumer brands to over 52 countries. The company's line of B2C brands include BlackoutX as well as HazeSticks, inspired by the Jimi Hendrix Cannabis Collection.
"To say we are excited about this opportunity is an understatement," states SinglePoint CEO, Greg Lambrecht. "Convectium's 710Shark and 710Seal system is incredible, and its capabilities are unmatched. After looking at hundreds of cannabis companies, finding an acquisition opportunity like we have found in Convecitum adds a new dynamic to our endeavors and the cannabis industry as a whole."
Per the LOI, SinglePoint will pay Jacksam a stock and cash consideration totaling $800,000. The transaction is expected to accelerate SinglePoint's existing presence in the cannabis industry - established by its SingleSeed subsidiary - while creating another avenue of participation in the "Green Rush" of the multi-billion dollar cannabis industry.
"We are excited to enter into an agreement with SinglePoint, one of the leading and most visionary publicly traded cannabis companies in the market. Paired with our proprietary technology and commitment to the future of the infrastructure of the cannabis industry, Convectium and SinglePoint are creating a unique business dynamic with incredible potential," says Danny Davis, managing partner at Convectium.
A definitive agreement on the announced transaction is expected no later than May 24, 2017, subject to certain terms and conditions, the completion of due-diligence and obtaining the required consents and regulatory approvals. Upon closing the transaction Convectium will become a subsidiary of Singlepoint.
About SinglePoint, Inc.
SinglePoint, Inc. is a full-service mobile technology and marketing provider. The company provides solutions that allow its clients to conduct business transactions, accept donations, and engage in targeted communication through mobile devices. SinglePoint products connect small to mid-size companies to their target markets by providing innovative mobile technology at reasonable rates. SinglePoint recognized the strength in acquiring interest in undervalued subsidiaries in other markets, such as Daily Fantasy Sports, to create a diversified holding base.
For more information visit www.SinglePoint.com.
About Jacksam Corp. dba Convectium
Convectium was founded in October of 2013 and based in South Orange County, California. Convecitum does not touch plants; its branding, packaging and equipment solutions help grow the companies that do. With the industry's first and only oil filling system, proprietary packaging systems and innovative devices, Convectium represents a commitment to the future of infrastructure in the cannabis industry.
See the 710Shark at work here: https://vimeo.com/169612830
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 January 31, 2017