NOHO Inc (OTCMKTS:DRNK)
NOHO Inc (OTCMKTS:DRNK) has entered into a memorandum of understanding (MOU) with Greenfield Farms Food Inc. for the formation of an insurance syndication. The insurance syndication will allow companies grappling with net operating losses to offer insurance coverage to their mid-level and lower level employees. The two also seek to make it easy for the companies to pay for their employee’s premiums for up to two years.
NOHO Insurance Syndication
Under the terms of the agreement, NOHO Inc (OTCMKTS:DRNK) through its newly formed financial services division is to match interested parties with suitable insurers. Employers will, in this case, be able to use their accumulated operating losses to offset tax liabilities.
“It’s a great value for these employees which will provide them coverage for two years while we take advantage of the operating losses to earn tax-free profits on the commissions. It’s ironic, but the bigger the loss the company has, the greater the income opportunity. It’s a win-win for all parties, “said the company’s CEO, David Mersky.
NOHO Inc (OTCMKTS:DRNK) has since formed Cherry Hill Financial, LLC in which Greenfield Farm will buy 100% membership interest. The company will also have to divest its restaurant assets among other current operations as it moves to bring in new staff to facilitate enrollments.
Mersky expects the new partnership and new business venture to further diversify the company’s revenue base and lead to further profits. NOHO is already planning to acquire stock in some of the target companies should they fit the bill in terms of guaranteeing long-term value.
NOHO Reduces Authorized Shares
Separately, NOHO Inc (OTCMKTS:DRNK) has executed a standstill agreement with one of its largest note holders, Carbourn Capital, LP. The agreement allows the company to freeze all notes issued to the investor after March 2015 with the option of negotiating a leak-out agreement to restrict further sales in future. NOHO has also reduced the number of its authorized shares from 65 billion to 25 billion.
Noho recently signed a letter of intent with DMR Biologic, LLC for the acquisition of rights to market and sell an FDA approved homeopathic OTC drug. Taken sublingually, the product is designed to offer fast and effective relief from hangover pain as well as headaches.
Under the terms of agreement, NOHO will be able to market the drug through its new distributor, BNG Enterprises. Mersky says the deal further underscores the company’s commitment to pursue undervalued assets with the potential of generating shareholders value.
NOHO Inc (OTCMKTS:DRNK) ended at $0.00010 in Friday trading session.
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About the author: Jane started her Wall St career out of graduate school, working for a mid-size investment bank as an analyst covering commodities. After several years working with global mining firms, she began her own investment relations business and sold it in 2007. Jane is now retired and lives in New England but enjoys researching new companies and trends.