NOHO Inc (OTCMKTS:DRNK) shares advanced 14.29% to $0.00040 on Monday and were flat in after-hours trading. The company has a market cap of $2.87 million at 656.04 million shares outstanding. Share prices have been trading in a 52-week range of $0.00 to $0.00.
In a press release, NOHO Inc shared that it has reached an agreement in principle with its 95% majority convertible note holder for a moratorium on conversions, relating to notes issued after March 7, 2015 as well as maintain its ability to retire the outstanding notes in cash.
Under this agreement, NOHO Inc will be forming a financial services division wherein a percentage of top line revenues will be allocated toward funding the debt repurchase plan and the details will be announced before the end of May. If the notes subject to the freeze are not repurchased by NOHO Inc, the parties have agreed to a restriction of stock sales, subject to a lockdown and leakout agreement, which is currently being finalized.
“We have come to terms with our majority note holder to freeze conversions, which puts NOHO in a very strong position moving forward with significant developments underway. This is a strong signal of our majority debt holder’s confidence in the long term vision we have for the Company. This agreement is also a big win for our shareholders, as we continue to make changes to reduce the outstanding shares and avoid dilution as a priority moving forward,” said NOHO Inc CEO David Mersky.
Just before this, NOHO Inc signed a deal for national sales and distribution of its NOHO 2oz Shot with BNG Enterprises, Inc. This provides BNG the exclusive rights to sell the beverage throughout its nationwide retail stores as well as online sales through Amazon. The company believes that this will put them on track to national distribution in all major markets with concentration in California, New York and Florida.
NOHO Inc is formerly Real Estate Pathways, Inc. It develops, markets, sells and distributes a beverage category product named NOHO – The Hangover Defense (NOHO). The Company has also launched NOHO Gold, which is a premium lifestyle beverage.
Its flagship product NOHO is a dietary supplement, which is taken before and after the consumption of alcohol that helps to prevent the symptoms associated with a hangover. NOHO is formulated by a Doctor of Pharmacy and comes in a 2 ounce shot. It is recommended that the 2 ounce shot be taken before and after drinking any alcoholic beverages. NOHO has a flavor, which contains no caffeine or stimulants.
Its product NOHO Gold Premium Lifestyle Beverage is developed and marketed as a healthy beverage. NOHO Gold is offered to and sold in premier nightclubs On Premise bar and club venues in the United States including the Fontainebleau Hotel, LIV nightclub, Story nightclub, Day Light, Light, The Opium Group properties, and others.