1606 CORP. 8-K

What Happened
1606 CORP. (CBDW) filed an 8-K on April 16, 2026 announcing a First Amendment to its Purchase and Sale Agreement with Jefferson Enterprise Energy, LLC. The amendment (to the March 12, 2026 Agreement) moves the closing date for the purchase of certain real property and related assets in Angelina County, Texas from April 15, 2026 to May 22, 2026. The total purchase price remains $11,168,864. As consideration for the extension, the $250,000 earnest money previously deposited by the Company is now fully earned by the Seller as a non‑refundable extension fee and will not be credited toward the purchase price regardless of whether the transaction closes or the agreement is terminated. From April 13, 2026 through closing, the Company must, upon the Seller’s written request, provide financial verification (term sheets, commitment letters, or evidence of available funds).

Key Details

• Closing date extended from April 15, 2026 to May 22, 2026.
• Purchase price unchanged at $11,168,864.
• $250,000 earnest money becomes a non‑refundable extension fee and will not be applied to the purchase price.
• Company must supply financial proof of its ability to close upon Seller’s written request (from April 13, 2026 through closing).

Why It Matters
For investors, the amendment represents a delay in the planned acquisition and a guaranteed $250,000 cash outflow for 1606 CORP. because the deposit is forfeited to the Seller as an extension fee. The requirement to provide financing documentation suggests the Seller is seeking assurance that the Company can complete the transaction. This change affects the transaction timeline and the Company’s near-term cash position, and should be considered when evaluating the timing and risk of the pending acquisition.