Sunset Island Group
Provides Clarity On Expansion Plans
San Clemente, CA -- August 24, 2017 -- InvestorsHub
NewsWire -- SUNSET ISLAND GROUP, INC. (OTCQB:
SIGO) announced specifics today concerning the companys plans
for expansion.
CEO T.J. Magallanes stated, "We received a lot of feedback
yesterday on the 8K that we filed and most of the comments were due
to a misunderstanding or misinterpretation of the information
provided. I felt it necessary to share with you today specific,
detailed information thats from the heart. Our company is poised
for explosive growth. We are passionate about what we do and we are
proud of our accomplishments to date. Our team has worked hard to
get us to this point. We now have three options. 1. Continue to
operate within the confines of our current 22K square feet. 2.
Expand to an already pre-determined minimum of 152K square feet, or
3. Swing for the fences and expand quickly in phases to a total of
750,000K square feet. For us, option number one is off the table.
It would be unfair to our operations team and unfair to our
shareholders. Option number two is already in the works. Option
number three is still on the table, so we need you to understand
something clearly. We have a great plan of execution. It is laid
out and ready to implement step by step and we would ask that
shareholders trust us to execute our plan. The misconceptions today
seemed to come mostly from how we presented the plan for the S-1 so
let me lay that out for you step by step.
Mr. Magallanes went on to say, Today at opening of business, our
company has approximately 4,031,771 share outstanding. At close of
business today, our company will have approximately 4,431,771
shares outstanding or an increase of 400,000 shares. In exchange,
at close of business today, the company will have placed into our
hands $340,000 in expansion capital. The particulars of the S-1 and
how it will work, how we execute the strategy, the long term
preferred share conversion, etc. are all irrelevant at this point.
Again, we ask that you trust that we are doing what is in the best
interest of the company and shareholders. What we are telling you
is that with the first tranche, 400,000 shares will be added to the
outstanding and $340,000 will be placed into our account. On a side
note, we do not like debt of any kind and throughout the expansion,
for the life of our business, we want to keep debt completely off
the books or at least to a minimum. We currently have $300,000 in
debt and that will be paid off in full immediately. That will leave
us with $40,000.00 in expansion capital from the first tranche.
Each subsequent tranche will also be negotiated in 400,000 share
increments and we expect similar or better results with each.
He continued with, We currently have 22K square feet of space
and to expand to the pre-determined minimum of 152K square feet, we
will need to raise approximately $1,560,000.00 in expansion
dollars. Using the same or similar results to the first tranche,
that would require us to add a little under 2,000,000 additional
shares to the outstanding share count. So to expand to 152K square
feet that will generate approximately $200.00 annually per square
foot of grow space, we project the need to have approximately
6,267,000 shares outstanding and no more than 7,000,000. To keep
this release from getting too lengthy, suffice it to say that to
determine a projected share count, revenue projection and
equivalent expansion capital raised to max out 750,000 square feet,
the same calculations are applicable.
Mr. Magallanes finished up with, What we are telling you as
clearly as possible is we have a unique and effective way to raise
funds in place, a plan to keep the outstanding share count to a
minimum, a way to create explosive revenue growth without the
creation of any substantial debt, much less toxic debt and at the
same time doing so without the payment of any salaries to officers
of the company, only monthly dividends; the exact same dividends
received by our shareholders. Now Im not familiar enough with all
of the various places where people congregate online to discuss our
stock, but apparently like all other topics these days, theres
ample opportunity and multiple locations where people take the
opportunity to share false or misleading information about our
company. What Ive covered with you here are the facts and they are
indisputable. As Ive stated before, I spend the majority of my time
focused on the operations and Id like each of you to see it in
person if possible, so let me personally invite any and all that
still have questions about our business, our expansion plans or
just questions about the cannabis business in general to consider
joining us on September 16th. We would love to meet you in person,
wed be glad to show you our current grow facility and the expansion
square footage as well. On a final note, I hope that this clears up
any confusion and makes it crystal clear where our company is
headed and we ask for your continued support.
The Company has decided to hold an additional shareholder event
on September 16, 2017. This is due to the overwhelming requests
from shareholders. The Company will pick up those that have
reserved a spot for the tour at 10:30am at the Courtyard by
Marriott Salinas Monterey (located at 17225 El Rancho Way, Salinas,
CA 93907) and drive them to the farm. On this visit to our
current operations, we will also take the time to visit the
proposed 750,000 square foot expansion facility which is all
interconnected and all located on the same property.
Notice Regarding Forward-Looking Statements in this press
release which are not purely historical are forward-looking
statements and include any statements regarding beliefs, plans,
expectations or intentions regarding the future. Actual results
could differ from those projected in any forward-looking statements
due to numerous factors. These forward-looking statements are made
as of the date of this news release, and we assume no obligation to
update the forward-looking statements, or to update the reasons why
actual results could differ from those projected in the
forward-looking statements. Although we believe that any beliefs,
plans, expectations and intentions contained in this press release
are reasonable, there can be no assurance that any such beliefs,
plans, expectations or intentions will prove to be accurate.