Business
Verus International Issues Update on zc Top Apparel Manufacturing
Verus International Issues Update on zc Top Apparel Manufacturing.
About this update from Verus International, Inc.
[{"type":"text","content":"\n Gaithersburg, MD, Oct. 08, 2020 (GLOBE NEWSWIRE) -- Verus International, Inc. (“Verus” or the “Company”) (OTCQB: VRUS) reported that it issued a Repayment and Notice of Rescission of Transaction (the “Demand and Rescission Letter”) to ZC Top Apparel Manufacturing, Inc. (“TAM”), as a result of TAM’s failure of contractual performance and breach of contract. This Demand and Rescission Letter was issued due to TAM not registering the controlling interest of 51% in the name of the Company as required under the Binding Term Sheet dated April 3, 2020. Pursuant to the terms of the Demand and Rescission Letter, all obligations under the Binding Term Sheet are rescinded and a demand made for immediate return of the cash consideration of $100,000, paid by the Company, plus fees and costs to be determined, within ten (10) days from the date of the Demand and Rescission Letter. Further details on this transaction are available via a Form 8-K as filed on Edgar at the U.S. Securities and Exchange Commission’s website, www.sec.gov. “We approached the PPE business as a time-sensitive opportunity, with full knowledge that this might involve a narrow window and relatively short time frame for success,” said Verus CEO Anshu Bhatnagar. “We were glad to have some early success, which made this a modestly profitable effort. However, as we moved farther into this arrangement with TAM, the potential to extend this relationship into a long-term partnership became less desirable on multiple levels. One of the essential elements in any foreign-run operation is the importance of maintaining a solid and open working relationship, something that grew increasingly difficult. This business represented an attempt to be nimble and expeditious in capturing a market opportunity, but unfortunately, TAM did not meet our standards for a long-term partnership. Their breach of contract made continued engagement impossible.” Business Update Today’s news is part of a heightened strategic effort to focus more aggressively on Verus’ core consumer product businesses. The Company is currently re-analyzing its three main domestic business units and updating its complete roadmap for continued organic growth into 2021. As part of this process, management intends to provide analyst...