secwatch.observer — SEC 8-K summary
======================================

Issuer:     22nd Century Group, Inc. (XXII)
CIK:        0001347858
Form:       8-K
Filed at:   2023-11-27T23:59:59+00:00
Accession:  0001104659-23-121273
Event type: m_and_a
Sentiment:  neutral
Materiality: 0.75
Item codes: 1.01, 7.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

22nd Century Group agrees to sell hemp/cannabis business for $2.25M cash and note
--------------------------------------------------------------------------------

- Purchase price: $1M cash at closing plus $1.25M 12% secured promissory note payable over six months.
- Buyer is Specialty Acquisition Corp., affiliated with current GVB employees; closing expected early December 2023.
- Transaction subject to conditions: Board approval, fairness opinion, Buyer obtaining $3M financing, senior lender consent.
- Company expects immediate reduction in operating costs beyond previously announced $15M annual savings; plans to deleverage balance sheet.
- Company retains insurance proceeds from Grass Valley fire (approx $9M damages sought), part to offset Buyer's liability share.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1347858/000110465923121273/0001104659-23-121273-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1347858/000110465923121273/tm2331538d1_8k.htm
  HTML page:      https://secwatch.observer/filing/0001104659-23-121273

License: Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer