---
schema_version: "secwatch.filing_event.v1"
accession: "0001437749-25-012214"
form_type: "8-K"
ticker: "CHUC"
cik: "0001134765"
company_name: "Charlie's Holdings, Inc."
filed_at: "2025-04-17T23:59:59+00:00"
generated_at: "2026-05-23T11:31:45.042306+00:00"
event_type: "m_and_a"
sentiment: "positive"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# Charlie's Holdings sells PACHA synthetic vape assets to R.J. Reynolds for $5M + up to $4.2M contingent

## Summary
- Asset sale includes twelve PACHA synthetic product SKUs and related PMTA filings to R.J. Reynolds Vapor Company.
- Upfront cash payment of $5.0M less $318,839.47 note payoff to Chemular; plus contingent payment up to $4.2M based on 12-month post-commercialization sales.
- Concurrent payoff of Seller Note with principal of $370,000 issued January 2025.
- Transaction closed on April 16, 2025; Buyer assumes only specified liabilities and licenses back listed IP.

## SEC filing metadata
- accession: 0001437749-25-012214
- form_type: 8-K
- ticker: CHUC
- cik: 0001134765
- company_name: Charlie's Holdings, Inc.
- filed_at: 2025-04-17T23:59:59+00:00
- event_type: m_and_a
- sentiment: positive
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 1.01, 2.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1134765/000143774925012214/0001437749-25-012214-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1134765/000143774925012214/chuc20250416_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001437749-25-012214
- JSON: https://secwatch.observer/filing/0001437749-25-012214.json
- Plain text: https://secwatch.observer/filing/0001437749-25-012214.txt

## Key facts
- M&A Transactions
  Charlie's Holdings, Inc. completed a disposition involving R. J. Reynolds Vapor Company for $5.0 million paid at closing, plus a contingent one-time payment of up to $4.2 million (closed 2025-04-16).
  - Action: disposition
  - Counterparty: R. J. Reynolds Vapor Company
  - Consideration: $5.0 million paid at closing, plus a contingent one-time payment of up to $4.2 million
  - Closing: 2025-04-16
  source text: and related assets (the “Assets”) that are covered by a premarket tobacco application (“PMTA”) first submitted by the Company in 2022. The purchase price for the Assets was $5.0 million paid at closing, plus a contingent one-time payment of up to $4.2 million based on product sold by the Buyer during the one year following the first day of commercialization of
  evidence_url: https://www.sec.gov/Archives/edgar/data/1134765/000143774925012214/0001437749-25-012214-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.