Youngevity International (NASDAQ: YGYI), a multi-channel
lifestyle company operating in three distinct business segments including a
commercial coffee enterprise, commercial hemp enterprise and multi-channel
lifestyle company, today announced that its wholly-owned subsidiaries, CLR
Roasters LLC and Khrysos Industries, Inc. (the “US Partners”) have entered into
an agreement with H&H Coffee Group Export Corp and The Nica Hemp
Cooperative, Inc (the “Nicaragua Partners”) to acquire the 2,200 acre
Chaguitillo Farms in Sebaco-Matagalpa, Nicaragua. The joint venture will
utilize the property to erect a large-scale processing facility and to grow
hemp on the land. Planned improvements to the property are anticipated to total
approximately $30,000,000 dollars, with H&H contributing the 2,200-acre
farm with an estimated value of about $10 million. All the capital toward the
construction of the project, estimated at $20 million dollars, will be provided
by The Nica Hemp Cooperative. Along with its expertise in the hemp business,
the US Partners will initially contribute $3,000,000 of extraction equipment to
the project. Additionally, the US Partners aim to issue 1.5 million shares of
YGYI common stock to the Nica Hemp Cooperative in exchange for a 50% stake in
the land and the improvements (having a $30,000,000 estimated value at
completion). The US Partners will also issue 5 million warrants with a strike
price $1.50 per share to the Nica Hemp Cooperative in exchange for a 75%
controlling stake in the hemp grow and oil extraction business, subject to
Nasdaq approval. The warrants will be issued when the project is completed and
initiates its operations. “This is a very impressive partnership and
collaboration between our Hemp Enterprise, our Coffee Enterprise and our very
strong and growing strategic business relationship in Nicaragua. We feel that
the value of YGYI’s 50% interest in the land and infrastructure at completion
of the project along with the assumption that the warrants will be exercised
represents a significant premium to our current trading price,” Youngevity
president and CFO Dave Briskie stated in the news release.
To view the full press release, visit http://ibn.fm/uZnR2
About Youngevity International, Inc.
Youngevity International, Inc. is a multi-channel lifestyle
company operating in three distinct business segments including a commercial
coffee enterprise, a commercial hemp enterprise, and a multi-vertical omni
direct selling enterprise. The company features a multi country selling network
and has assembled a virtual Main Street of products and services under one
corporate entity. YGYI offers products from the six top selling retail
categories: health/nutrition, home/family, food/beverage (including coffee),
spa/beauty, apparel/jewelry, as well as innovative services. For more
information, please visit www.YGYI.com.
NOTE TO INVESTORS: The latest news and updates
relating to YGYI are available in the company’s newsroom at http://ibn.fm/YGYI
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