DIP Financing, LLC entered into an asset purchase agreement to acquire all of the assets from NewAge, Inc. (NasdaqCM:NBEV), Morinda, Inc, Morinda Holdings, Inc. and Ariix LLC for $28 million on August 30, 2022. The consideration of $28 million would be satisfied in cash and with a “credit bid”. The asset purchase agreement provides for consideration to be paid by the purchaser in the form of assumption of specified liabilities relating to the assets, including certain trade payables and specified employee benefits.

The asset purchase agreement also provides for a termination fee and expense reimbursement payable to the purchaser upon the occurrence of certain events. The debtors' management team will continue to operate the business as “debtors in possession” under the jurisdiction and in accordance with the applicable provisions of and orders of the bankruptcy court. The consummation of the asset sale is subject to bankruptcy court approval and certain customary conditions precedent as specified in the asset purchase agreement.