Zone Frontier completes sale of CleanCore legacy cleaning unit to director-controlled Sanzonate for $3.35M note

CleanCore Solutions, Inc.

Sold legacy aqueous ozone cleaning business, incl. Irish unit CleanCore Global Ltd and 100% of its €1 shares, to Sanzonate Holdings LLC, controlled by director/former CEO Clayton Adams.
Consideration: $3.35M secured 6% promissory note payable $300K at 6mo, $850K at 12mo, $2.2M at 18mo; first-priority IP lien; subordinated to Sanzonate institutional debt.
Up to $2.25M earnouts at $10M/$17.5M/$25M pre-money financings; 5% Sanzonate membership interest (526,316 units) at closing plus potential 2% more, with tag-along rights.
Newbridge fairness opinion valued the legacy business ex-cash at ~$1.72M; sale eliminates ~$3M/yr cash burn; unit lost ~$18M in FY26; ~$844K cash transferred to buyer.
Zone retains AI/data-center assets: 79% Minnesota JV, 99% West Texas JV, Cerebras colocation agreement; agreed to 3-year non-compete and to drop CleanCore name.

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