Company: TCRG
Filing Date: 2025-09-09
Form Type: 10-Q
Source: 0001185185-25-001156
Chunk: 25

Company: Cannaisseur Group Inc.
Filing Date: 2025-09-09
Form: 10-Q
Item: Item 1
Chunk 25
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 Company forfeited all deposits, totaling $9,084, and settled the outstanding balance of $47,511,
of past due rent and other charges, for $18,000, to be paid in monthly installments of $1,500 for 12 months. The Company recorded a gain
on settlement in the amount of $18,968 during the year ended December 31, 2023.

During
the three and six months ended June 30, 2025, the Company made payments of $0 on the rental settlement. During the three and six months
ended June 30, 2024, the Company made payments of $2,500 and $5,500, respectively, on the rental settlement. As of June 30, 2025 and
December 31, 2024, the amount due under the settlement payable was $9,501.

12.
Subsequent Events

On
July 14, 2025, the Company issued 1,645,444 shares of common stock for the conversion of accrued salaries.

On
July 25, 2025, the Company issued 4,000,000 shares of common stock as compensation for the Board of Directors.

On
July 31, 2025, the Company issued 3,910,123 shares of common stock for the conversion of convertible notes payable.

On
August 14, 2025, the Company issued 757,500 shares of common stock for the conversion of investments made in Atlanta CBD.

On
August 17, 2025, the Company issued 380,000 shares of common stock for the conversion of accounts payable.

On
August 28, 2025, the Company announced the closing of an asset purchase agreement with Sense Technologies, Inc. and Richard Bell. Pursuant
to this agreement, the Company acquired (i) real estate, equipment, and IP supporting soy processing, human nutrition, and agricultural
manufacturing; (ii) Radar, camera, and vehicle-based sensor systems applicable to agricultural, industrial, and automotive settings;
and (iii) IP portfolios, manufacturing systems, and related goodwill. Consideration for the acquired assets consists primarily of (i)
$965,000 in cash or a one-year term note at an interest rate of 10%; an aggregate of 18,017,500 shares of a new issue of Series A convertible
preferred stock; and the assumption of $500,000 of existing debt.

17

Item
2. Management’s Discussion and