Under the Agreement, American Green will manage Nipton and associated projects for 5 years with a 5-year option. Delta will seek to acquire additional properties subsequent to the Nipton acquisition. Both parties intend for American Green to manage those properties as well. At closing, Delta will assume approximately $3.73 Million in American Green debt, and issue $4 Million in Delta Series A Secured Convertible Preferred Stock (“Series A Stock”), convertible to 160,000,000 shares of Delta Common Stock. The Series A Stock will pay a 5% annual dividend, in stock or cash and will be secured by a lien against the Nipton properties.
According to David Gwyther, American Green’s Chairman, “This transaction will relieve American Green of the on-going expense of improving Nipton. That responsibility will now fall upon Delta, giving Nipton the ability to access cheaper capital through a fully reporting company, including the ability to file registered offerings.”
“American Green can now expend less of its energy on capital raising, and focus on implementing the revenue-generating components of Nipton, and its other investments, along with many new, and exciting projects on the horizon,” Mr. Gwyther continued.
“I believe that this will be a win-win situation for American Green and our shareholders. After the Series A Stock is fully registered with the SEC, we plan to pay, as a dividend to qualifying American Green shareholders, a portion of the Series A Stock. Qualified shareholders would then be entitled to receive the 5% annual dividend attached to any Series A Stock shares that they acquire through the anticipated American Green dividend,” he concluded.
Delta is a current and fully reporting company listed on the OTCQB Exchange. (https://www.otcmarkets.com/stock/DLTZ/quote). Escrow is expected to close, with completion of all post-execution document deliveries, within the next 7-10 days. American Green shareholders should expect more news regarding the final deliveries shortly after the closing.
Nipton, established over 100 years ago (www.nipton.com), is one of many towns throughout the United States that has seen better days; maybe the mill or factory closed and took its production overseas, or perhaps the mineral mine went dry. It has been American Green’s vision (one embraced by Delta) to use Nipton, California as a revitalization model for other near-deserted small towns across America while retaining as much of the town’s and region’s natural charm, a directive that is paramount to American Green.
It should be noted here that while some of the initial news stories the Nipton purchase generated in the press indicated the purchaser’s intent to immediately begin leasing land to cannabis growers (or even growing cannabis itself,) that is not and never has been the company’s intent for the area. Only when, and if, American Green (as manager) and Delta (as owner) receive full approval from the relevant controlling authorities, would Nipton move, responsibly, into the cannabis product development sector. As the Nipton Project develops in the future, the company will continue to interact with all state, county, and, hopefully federal, agencies to ensure it is acting entirely within the requisite legal guidelines in this, and all other projects the company undertakes.
Be sure to visit the company’s website at www.americangreen.com and sign up for the company’s EMAIL ALERTS to stay current on news. In addition, shareholders and other interest holders are invited to join the conversation about American Green found here: https://otc.watch/groups/american-green-inc-erbb/forum/
Shareholders and interest holders may also stay current with American Green Updates:
Twitter: @American__Green (two underscores), or
MAPH Enterprises, LLC | (305) 414-0128 | 1501 Venera Ave, Coral Gables, FL 33146 | firstname.lastname@example.org