Agrify Corporation Enters Asset Purchase Agreement with CP Acquisitions, LLC

On December 31, 2024, Agrify Corporation (NASDAQ: AGFY) disclosed the signing of an Asset Purchase Agreement with CP Acquisitions, LLC (“CP”), an entity associated with Raymond Chang, the company’s former Chairman and Chief Executive Officer.

Under the terms of the Purchase Agreement, CP acquired assets related to Agrify’s Vertical Farming Units (“VFUs”), including the Agrify total-turnkey (“TTK”) solution assets and Agrify Insights TM software solutions, constituting the Cultivation Business. The sale took place on December 31, 2024.

As part of the agreement, CP assumed Agrify’s existing secured indebtedness amounting to approximately $7 million, along with certain other liabilities linked to the Cultivation Business. The Purchase Agreement encompasses standard representations, warranties, and covenants by both parties. It also outlines indemnification arrangements between Agrify and CP for losses associated with breaches and liabilities.

While the filing provides details about the Purchase Agreement, it emphasizes that the terms are solely for the benefit of the involved parties and may be subject to certain limitations and changes post the agreement date.

Additionally, Agrify issued a press release on January 6, 2025, announcing the sale of the Cultivation Business. The press release, along with other information provided, is not classified as part of the company’s formal filings under the Securities Exchange Act of 1934.

The document also includes unaudited pro forma financial information reflecting the impact of the Cultivation Business sale on Agrify’s financials, including balance sheets and operational statements for different periods.

It should be noted that these unaudited pro forma financials are for informational purposes only and do not guarantee the actual financial position or future performance of Agrify post the asset disposition.

The filing also lists various exhibits, such as the Asset Purchase Agreement, the press release concerning the Cultivation Business sale, and unaudited pro forma condensed consolidated financial statements.

Overall, Agrify’s recent transaction with CP marks a significant development in its operational structure, emphasizing a strategic shift in its business focus moving forward.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Agrify’s 8K filing here.

About Agrify

Agrify Corporation offers hardware and software cultivation and extraction solutions for the cannabis and hemp industry in the United States. It offers vertical farming units and Agrify Insights Software-as-a-Service software; integrated grow racks and LED grow lights; and non-proprietary products designed, engineered, and manufactured by third parties, such as air cleaning systems and pesticide-free surface protection products.