Looking to diversify into new revenue streams outside of its core competency as an energy company, Black Stallion Oil and Gas, Inc. (OTCPK:BLKG) has been working on deals for about a year now. In December, the Los Angeles-based company acquired some assets and intellectual property (IP) utilized in big data microservices.
Nothing has been said about that purchase, but the company did sign a letter of intent about two weeks ago with Active Laboratories related to license the rights to Active Labs' IP.
That LOI was exectued as disclosed Wednesday morning, but not exactly as the LOI seemed to be spelled out. Per the final deal, Black Stallion entered into a licensing and distribution agreement for various products in the Active Lab portfolio.
Black Stallion will provide the marketing and sales platforms, along with some administrative functions, for Active Lab to expand sales channels for its existing products. This includes CitrusDefence and Synapset, a flagship and new product, respectively, for the nutraceutical and alternative medicines company.
The CitrusDefence brand is a line of household and personal care products. Synapset, a cognizant enhancer, has received a green light from Health Canada to make the marketing claim that clinical studies show positive attributes in people with Attention Deficit Disorder and Attention Deficit Hyperactivity Disorder.
Studies are ongoing to validate other claims and Active Lab intends to seek approval from the U.S. FDA in the future as well.
According to Black Stallion CEO Ira Morris, his company intends to follow the strategy to diversify against the backdrop of a difficult energy market where partners, like Active Lab, will receive a royalty for the licensing and distribution.
Market participants still apparently aren't sold on the developments with the nanocap company (market cap ~$150,000) only eking ahead to $0.0006 from $0.0005 in Wednesday trading.
