TGGI to enter the marijuana market
Baron outlines plans for its three blank check shell companies
Coconut Creek, FL -- October 13, 2016 -- InvestorsHub NewsWire -- Baron Capital Enterprises, Inc. (OTCPK: BCAP) is pleased to announce that its subsidiary Trans Global Group Inc. (OTCPK: TGGI) is entering the growing marijuana business.
TGGI is filing a Tier 1 Reg A offering to raise funds to enter the marijuana sector. Tier 1 Reg A offerings allow companies to raise up to $20 million in a twelve-month period. Funds raised will be used to invest in operating facilities, as well as the purchase of existing locations and licenses.
There are multiple revenue streams within the marijuana sector that range from growing marijuana, to warehousing, to financial services. The objective is to invest capital into several companies that work within the marijuana space. Investments would range from a minimum of 25% up to 100% equity acquisition, or joint ventures with existing companies, with current management staying in place. Over time certain investments will be spun off through a distribution to the shareholders of the Company.
Over the course of the next 45 days a name and ticker change will take place, along with the filing of the Tier 1 Reg A offering, and the launch of a new website. During the Reg A funding process, capital will be raised in $500,000 increments to limit dilution of the company, so as to maintain a higher share price.
BLANK CHECK SHELL COMPANIES
Baron Capital owns three blank check shell companies that were created in 1998. Each of the companies has a minimum of 46 shareholders allowing them to become public traded corporations as conditions permit. A blank check company is a development stage company that has no specific business plan or purpose or has indicated its business plan is to engage in a merger or acquisition with an unidentified company or companies, other entity, or person.
Baron will bring each blank check shell company public as a holding company. Each company will have its own business plan and will focus on a different market sector.
White Financial will be the first company brought public through an S-1 registration as a development stage company in the Oil & Gas sector. The company will raise funds to be used to buy into re-work wells that produce a minimum of 10 bpd and have an extraction cost of between $8 - $15 per barrel. White Financial will be renamed prior to the S-1 being filed. Since the company has never had operations the audit process will take very little time to prepare.
The White Financial S-1 will be filed before the end of the current calendar year. Shareholders of Baron will be offered an opportunity to exchange all or part of their shares of Baron for shares of White. Those shares will be registered as part of the S-1. The conversion ratio will be determined at the time of the S-1 filing and will be based on the then-current market price of Baron.
Baron intends to cultivate its own client network through its blank check companies. Deals will be signed with the intention of bringing the client companies public. This strategy will allow Baron to earn fees, as well as increasing Baron’s balance sheet through its holdings in each client company.
Baron business model works when its clients pay on time and each client works to enhance their shareholders value. This is evidenced via the growth of Baron’s assets and can be seen on Baron’s recently filed financial statements.
Baron has been working to address the DTC chill issue and accumulated deficit. After speaking with Counsel through a series of filings which will include a domicile change, both the DTC issue and accumulated deficit will be addressed by the end of the current fiscal year.
The foregoing press announcement contains forward-looking statements that can be identified by such terminology such as “believes,” “expects,” “potential,” “plans,” “suggests,” “may,” “should,” “could,” “intends,” or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from any future results, performance or achievements expressed or implied by such statements. In particular, management's expectations could be affected by among other things, uncertainties relating to our success in completing acquisitions, financing our operations, entering into strategic partnerships, engaging management and other matters disclosed by us in our public filings from time to time. Forward-looking statements speak only as to the date they are made. The Company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.