HOUSTON--(BUSINESS WIRE)--Genufood Energy Enzymes Corp. (OTCBB: GFOO), an exporter and distributor of nutraceutical enzyme products, announced that it has entered into a $3 million common stock purchase agreement with Kodiak Capital Group, LLC, a Newport Beach-based institutional investor. The Company has agreed to file a registration statement with the U.S. Securities & Exchange Commission (“SEC”) covering the shares that may be issued to Kodiak under the terms of the common stock purchase agreement. After the SEC has declared the registration statement related to the transaction effective, the Company has the right at its sole discretion over a period of one year to sell up to $3 million of its common stock to Kodiak under the terms set forth in the agreement. Proceeds from this transaction will be used to fund the company’s distribution networks and for general corporate purposes. On August 8, 2013 the SEC declared effective the registration statement.
“Oliver and his team have built an innovative product in the nutraceutical industry. We look forward to bringing Genufood our experience in supporting successful Asian-Pacific entrepreneurs and are delighted to be part of the next important stage of global expansion for their human and animal enzyme products.”
“We’re very thankful to Kodiak for this recognition,” commented Oliver Lin, Chief Executive Officer, of Genufood. “Kodiak recognizes that Genufood products offer high quality new generation of nutraceutical range of enzyme products with significant benefit for human consumption. With the continued distribution of our products, we believe we can create as many as 10 high quality jobs in the United States over the next few years. This agreement strengthens our balance sheet allowing us to focus on advancing our distribution network, namely retail chain store concept in the Republic of Singapore, pursuing strategic partnerships, and other long-term objectives.”
Under the terms of the agreement, there are no upper limits to the price that Kodiak may pay to purchase the Company’s common stock and this transaction in no way impedes or changes the Company’s goal of completing a national listing. The Company plans to continue pursuing its stated corporate milestones of achieving a national listing and pursuing the optimal corporate partnerships for its programs. The Kodiak financing commitment simply strengthens the Company’s balance sheet and makes available an additional source of funding. Under the terms of the agreement, Kodiak has covenanted not to cause or engage in any manner whatsoever, any direct or indirect short selling or hedging of the Company’s shares of common stock.
Colin Manners, Director of Kodiak, said, “Oliver and his team have built an innovative product in the nutraceutical industry. We look forward to bringing Genufood our experience in supporting successful Asian-Pacific entrepreneurs and are delighted to be part of the next important stage of global expansion for their human and animal enzyme products.”
Additional details regarding the financing are included in a Current Report on Form 8-K filed on July 19, 2013 by the Company with the Securities and Exchange Commission.
About Genufood Energy Enzymes Corp.
Genufood Energy Enzymes Corp., is a leading true enzyme distributor and exporter. For more information, visit www.geecenzymes.com.
About Kodiak Capital Group, LLC
Kodiak is an institutional investor headquartered in Newport Beach, CA. Kodiak makes private investments in public and private entities utilizing proprietary equity and debt instruments. These investments provide long-term strategic capital offering companies certainty, flexibility and consistency. Kodiak's investments are in a wide range of industries emphasizing alternative energy, consumer products, life sciences, natural resources, and social media technology. For more information, visit www.kodiak-capital.us.