In order to ensure a simple export process for our NZ based Approved Product Providers ("APP's") the Co-Op has put in place a corporate structure that meets the needs of both our APP's and our investors irrespective of whether they are based in NZ or the USA.
We set out below the Co-Op group companies that provide the export/import/retailing structure.
Incorporated in Colorado, NZ Resource Taonga Corp ("NZRT") is a shareholder of Mataatua Whenua Cooperative Ltd ("MWCL") in partnership with Mataatua Holdings Ltd, a Te Upokorehe hapu investment company. As a US company, NZRT shares can be sold pursuant to SEC Rule 144. A Series A Round of US$1M is scheduled to follow the current secondary share offer of 8M shares in MWCL held by NZRT. A P2P exchange listing is planned to enable share trading in NZRT to commence.
Incorporated in the USA, 177 East (USA) Inc is the importer of the Approved Products from Aotearoa/NZ. Participants in the NZRT pre-Series A secondary round of 8M CVS in MWCL will hold shares in both MWCL, the holding company of both the NZ exporting company, (177 East Ltd) and a 25% stakeholder in the US Approved Product importer and master franchisor, 177 East (USA) Inc.
Mataatua Manuka Cooperative Ltd ("MMCL") is registered as a Co-Op under the New Zealand Cooperative Companies Act 1996 with 11M Common Voting Shares (CVS) on issue. Currently, there is a Private Placement of 3.5M Capital Notes on offer by MMCL with a one year conversion option carrying a coupon of 7.25%PA. MMCL holds a 25% stake in the US distribution company, 177 East (USA) Inc, the operator of the product fulfillment centre and pilot "Pop-Up" retail shop that is to provide the template for a replicable retail operation in the USA