Life on Earth, Inc. Announces Update To Shareholders
March 18, 2020 at 07:00 AM EDT
New York, New York--(Newsfile Corp. - March 18, 2020) - Life on Earth, Inc. (OTCQB: LFER) CEO Fernando Leonzo Issues the following Shareholder Update:
Dear Fellow Shareholders:
We are providing this letter as an update to our shareholders now that we have filed our second quarter 2020 10-Q filing. As we disclosed in our November 6, 2019 Shareholders' Update Letter, the Company has faced challenges relating to the divestures of its poor performing assets consisting of two of its distribution subsidiaries. Those divestures, as well as the bulk of the charges for the impairments of our assets, is now fully reflected in our SEC filings. Fortunately, the remnants of those charges have been dealt with, so that the Company's Board of Directors and management can now focus on its plans to bring back value to our shareholders. The Company's Board, along with some of its largest stakeholders, have been working to refocus its business model towards a higher potential growth opportunity. That refocus is to look for opportunities within the Cannabis space in a direct to consumer (B2C) or acquire other hard assets that could potentially bring significant value. Though it seems that it has taken a considerable amount of time since our November 2019 update, it is important to understand that in divesting from our previous non-performing assets, it has enabled the Company to be relieved of nearly $1 Million Dollars in payables due to vendors from its distribution subsidiaries. This action alone helps the Company to operate in a much leaner fashion, while also seeking out opportunities that potentially will bring immediate revenues to the Company.
In our November Update we also made a clear declaration that "Creditability and legitimacy and improvement in the management team is the number one priority for Life On Earth. The Company's founders, its board, and its stakeholders all recognize that the Company needs a better team to steer it." Since then, the Company has brought to its Board, Sonia Luna, a highly regarded executive with extensive experience in accounting, auditing, and compliance, in particular within the cannabis industry in California.
Management and its Board realize and understand that true value must be brought back to our shareholders. We have determined that we would only seek out opportunities that come with real assets. Assets that are secured as well as opportunities that will generate immediate revenues and cash flow. In seeking a Business to Consumer (B2C) business model, the Company hopes to leverage its own brands, such as the Just Chill brand and use a B2C platform in order to focus on specific target audiences that market directly to them. The Company is (and has) looked at other assets that have proven track records of performing and can be securitized by hard assets such as real estate. But in many ways, that's where we believe the opportunity lies, because there is still an open window of opportunity that would allow a smaller and nimble company to stake a claim to the market and rapidly grow. As we move forward with opportunities and assets that would allow our Company to potentially generate substantial revenues commensurate with our expansion plans, the next question is how does the Company position itself in order to capture such opportunities? How will the Company be able to fund such expansion plans?
The Company has completed the final draft of its Registration A+ circular that will be submitted to the SEC for approval. The Registration will be a Tier 2 Reg. A+, which will allow the Company to register up to $50 Million USD from the offering. The Company's plans are to offer the largest equity round in its history for its expansion plans and to cure deficiencies from its balance sheets. The Company has identified possible assets that it will potentially be able to obtain with the proceeds from such offering. These assets would bring significant revenues and cash flow to the Company's balance sheet. These assets are already performing in their markets.
In the coming weeks we will be announcing more details of this plan as we get through the final hurdles.
In the meantime, we welcome inquiries as always and we also welcome our shareholders' comments directly on our firstname.lastname@example.org web portal. Once again, thank you kindly for your being a shareholder, and we look forward to the upcoming announcements regarding the future development of our company.
Life On Earth, Inc.
By: Fernando O. Leonzo
About Life On Earth, Inc.
Life on Earth, Inc. is a lifestyle company focused on growing its portfolio of brands within the cannabis industry. The Company sells its products throughout the United States with third-party distributors, wholesalers and retailers. The Company owns, markets and distributes proprietary brands. For more information, please visit our corporate website - www.lifeonearthinc.com Investors and corporate inquiries, please contact: email@example.com | (646) 844- 9897
All statements, other than statements of historical facts included herein, including without limitation, statements regarding financial position, business strategy, growth strategy and other plans and objectives for future operations, are forward-looking statements as such term is defined in the Private Securities Litigation Reform Act of 1995. The words "anticipate," "believe," "estimate," "expect," "intend," "plan," and similar expressions that may tend to suggest a future event or outcome are not guarantees of performance, which cannot be predicted or anticipated. These forward-looking statements are based largely on expectations and assumptions which are subject to a number of risks and uncertainties, many of which are beyond the control of the Company. Actual results could differ materially from these forward-looking statements.
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