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4. INVESTMENT IN KANNALIFE SCIENCES, INC.
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9 Months Ended |
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Sep. 30, 2013
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| Investment In Kannalife Sciences Inc. | |
| Investment in Kannalife Sciences, Inc. |
On March 4, 2013, April 11, 2013, August 29, 2013, and October 30, 2013, pursuant to a Stock and Warrant Purchase Agreement (the “Purchase Agreement”), the Company acquired a total of 3,059,439 shares of the Series A Preferred Stock of KannaLife, 15,615,000 shares of KannaLife’s common stock and warrants to purchase additional shares of common stock in KannaLife. KannaLife is a Delaware corporation and phyto-medical company specializing in the research and development of pharmacological products derived from plants. These share holdings constituted a 24.98% share of the issued and outstanding Series A Preferred Stock and issued and outstanding common stock of KannaLife as of November 14, 2013. The shares were acquired through two payments of $250,000 each, one payment of $150,000 and one payment of $100,000. These payments included the exercise of a portion of the Company’s common stock warrant. The Purchase Agreement also contemplates one additional closing of $250,000 which was due on October 1, 2013, but is still outstanding pending discussion with KannaLife’s management on the progress of their programs. Upon consummating the final closing, the Company would own 32.9% of the issued and outstanding Series A Preferred Stock and issued and outstanding common stock of KannaLife. |