Future Farm Technologies Inc. (CSE:FFT) (OTCQX:FFRMF) has flipped a ten percent stake in YLK Partners NV, a medical marijuana processing, and cultivation company, to Solis Tek (OTCQB:SLTK), for 500,000 shares of Solis.
On May 8th, a Canadian marijuana company, Future Farm closed on a purchase a ten percent stake in YLK Partners for $500,000, and on May 10 closed on a sale to Solis, which is a marijuana cultivation and technology firm, according to a statement. In the flip, Future Farm received stock warrants for 500,000 shares of Solis Tek, exercisable at the nominal price of $0.01 a share, thereby giving Future Farms equity in Solis. If the stock of Solis has reached just $1 a share when Future Farms decides to exercise its warrant, Future Farms will have recouped its investment and acquired a sizable share of Solis, not accounting for inflation.
YLK Partners is an American marijuana firm which manages and operates a licensed medical marijuana facility in Arizona. Future Farms is a Canadian marijuana company, with holdings throughout North America. With its acquisition of YLK, Solis “plans to develop the 70,000 square foot Arizona Facility into one of the most technologically advanced cultivation and processing facilities in Arizona.” according to a press release.
"We are thrilled to have this investment in Arizona quickly become an opportunity to obtain a significant ownership position in Solis Tek," says Bill Gildea, Future Farm's Chairman and CEO. "We have come to know Alan Lien and his team at Solis Tek well over the past months. They are impressive developers and operators of cannabis cultivation and production facilities. We look forward to working with them in Arizona and on other opportunities in the future."
As of this writing, there’s good news for Future Farms. Solis Tek’s stock price is at USD $1.10. Depending on how long Future Farms waits before exercising its warrant, this could mean huge profits for the company.