ML Capital Group, Inc. (OTC Pink: MLCG) is engaged as an investment holding company, which has recently turned its primary focus to the U.S. cannabis market. Shares of the cannabis investment company are diving 16.67%, through afternoon trading on Tuesday, February 21, 2017. Over the past month, ML Capital Group, Inc. has seen average daily volume of 312.68 million shares exchange hands. However, volume of 402.75 million shares or dollar volume of $322,200, has already exchanged hands through afternoon trading on Tuesday.
Shares of ML Capital Group, Inc. are declining Tuesday, despite recently announcing that its equity purchase agreement is scheduled to close this week. The equity purchase agreement is part of an overall joint equity acquisition partnership that ML Capital Group, Inc. has with Puration, Inc. (OTC Pink: PURA). The acquisition target is Spanish Peaks, which offers a variety of cannabis-based edibles and beverages. This acquisition comes as the joint equity acquisition team plans to expand cannabis tourism within Colorado. Here is the full press release detailing of the recent equity purchase agreement:
ML Capital Group, Inc. Press Release:
MIAMI, February 16, 2017 /PRNewswire/ –ML Capital Group, Inc. (USOTC: MLCG) today announced that it has scheduled to close an equity purchase of Spanish Peaks ScrumpDelicacies next week on February 22, 2017. Management plans to release on an online presentation the following day, on February 23, 2017, detailing the acquisition to included highlights of the planned dividend distribution to MLCG shareholders of Spanish Peaks common stock.
MLCG and Puration, Inc. (USOTC: PURA) recently announced reaching an agreement where both companies will contribute to an equity purchase of Spanish Peaks ScrumpDelicacies. The joint equity acquisition announcement followed the two companies initially entering into a partnership around MLCG’s independent plan to acquire Spanish Peaks. The updated MLCG and PURA planned equity purchase of Spanish Peaks is part of a strategic plan to introduce a MLCG Cannabis Tourism Offering into Colorado’s $19 billion tourism industry that features Spanish Peaks Cannabis Beverage production the way Napa Valley tours feature wine production. PURA is to be the exclusive Cannabis Extract Source for all Spanish Peaks beverage and edible production.
Spanish Peaks, MLCG and PURA are in part modeling the acquisition and planned dividend after the North American Cannabis Holdings, Inc. (USOTC: USMJ) model were deals are structured to share the potential benefit of the transaction directly with shareholders. USMJ spun-off its cannabis extraction business into PURA and issued a PURA stock to its shareholders in a dividend distribution last year.
The architecture of the MLCG and PURA acquisition of Spanish Peaks stock includes a plan where a portion of the Spanish Peaks stock acquired will be issued to the shareholders of MLCG and PURA in a dividend distribution. Spanish Peaks is currently a private company but plans to list public in conjunction with the planned transaction with MLCG and PURA.
The PURA portion of the equity acquisition of Spanish Peaks is anticipated to close within the next 30 days.
MLCG and PURA have published an online and on demand presentation detailing plans for the Global Cannabis Tour Business:
Safe Harbor: This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approval for anticipated actions.