Burnsville, MN, June 26, 2018 (GLOBE NEWSWIRE) -- County Line Energy Corp. (“County Line” or the “Company”) (OTC PINK: CYLC), today announced that the Company has entered into a non-binding Memorandum of Understanding (the “MOU”) with Daniel Serruya, Eric Dena, and Vince Andreula (the “Parties”) pertaining to the acquisition of the assets of Grow Box 5000, a self contained, automated, and expandable hydroponics system for use in growing plants, vegetables, and cannabis (the “Grow Box 5000 Assets”).
As contemplated in the MOU, County Line will acquire all Grow Box 5000 Assets from owner Eric Dena. Grow Box 5000 Assets include all intellectual property related to the technology, all existing prototypes, and an initial potential customer list with 50 pre-orders. The Parties agree to finalize the terms of the asset purchase in conjunction with the finalization of the Definitive Agreements proposed in the MOU. The Company has also agreed to finance the newly formed Grow Box subsidiary with debt financing of up to $1,000,000 within one year of the execution of the Definitive Agreements.
In conjunction with the execution of the MOU’s proposed Definitive Agreements (i) the CEO of County Line, Daniel Serruya, and Eric Dena agree to enter into a Stock Purchase Agreement whereby Serruya will sell 70,000,000 restricted shares of CYLC common stock to Dena, and ii) Serruya and Vince Andreula also agree to enter into a Stock Purchase Agreement whereby Serruya will sell 28,500,000 shares of CYLC common stock to Andreula. The Company anticipates exchanging all or part of the 28,500,000 shares of CYLC common stock that will be owned by Andreula for Preferred Shares, which will provide him additional voting rights.
Upon execution of the Definitive Agreements, Daniel Serruya has agreed to resign as the sole officer of the Company and Eric Dena will be appointed as the sole officer of the Company.
Daniel Serruya, CEO of County Line, commented, “I am extremely pleased to have entered into this agreement for County Line to acquire all the assets of Grow Box 5000, a self contained, automated, and expandable hydroponics plant and vegetable grow system. Closing this acquisition should immediately position the Company with a potentially high-demand consumer product line in the rapidly expanding regulated and legalized cannabis and medical marijuana marketplace. All the Parties look forward to completing the outlined transactions and executing Definitive Agreements as soon as possible over the next 7-10 days.”
The closing of the transaction proposed in the MOU is subject to several customary terms and conditions, including but not limited to, completion of satisfactory due diligence and execution of a Definitive Agreements between the parties. There can be no assurances that the Company will complete the transaction as contemplated or at all.
Additional information regarding Grow Box 5000 can be found at www.gb5k.com.
Cautionary Note Regarding Forward-Looking Statements
This release by County Line Energy Corp. (“County Line”) may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by words such as “expects,” “plan,” “believes,” “will,” “achieve,” “anticipate,” “would,” “should,” “subject to,” or words of similar meaning, and by the fact that they do not relate strictly to historical or current facts. Although County Line management believes that such forward-looking statements are reasonable, it cannot guarantee that such expectations are, or will be, correct. These forward-looking statements involve several risks and uncertainties, which could cause the Company's future results to differ materially from those anticipated. Potential risks and uncertainties include, among others, general economic conditions and conditions affecting the industries in which the Company operates; the uncertainty of regulatory requirements and approvals; and the ability to obtain necessary financing on acceptable terms or at all. Known risks and uncertainties include those identified from time to time in the reports filed by County Line with OTC Markets. County Line assumes no obligation to update publicly any forward-looking statements contained in this press release.