Company: SNBH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001731122-25-000760
Chunk: 20

Company: SENTIENT BRANDS HOLDINGS INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 20
---
 payment as of March 31, 2025. Subsequent
to March 31, 2025, the consultant was issued 2,000,000 shares of the Company’s common stock in full settlement of the agreement.

NOTE 8. SUBSEQUENT EVENTS

The Company has evaluated subsequent events for recognition
and disclosure through May 15, 2025, which is the date the financial statements were available to be issued.

    14

Entry into Material Contracts

On April 10, 2025, the Company, through its wholly-owned subsidiary AIG
F&B, a Nevada corporation (AIGFB) closed the Exchange Agreement (the “Exchange Agreement”) with American Industrial Group,
a Florida corporation (“AIG”), which is owned and controlled by its shareholders, and which owns and controls several assets
and lines of business of interest to the Company, through its subsidiary, pursuant to which AIGFB will acquire many of those assets and
rights of AIG in exchange for acquisition credits, to be ultimately paid by the exchange of those credits for shares of common stock of
SNBH (the “Acquisition Credits”). These Acquisition Credits will be issued by SNBH to AIG shareholders and/or their designees
in accordance with an Earnout Schedule that was set forth in the Exchange Agreement, as filed with the SEC on April 11, 2025, as an exhibit
(10.16) to the Form 8K/A5. Prior to the Closing, certain parties to the Exchange Agreement and large shareholders of the Company (collectively,
the “Lockup Parties”) entered into lock-up leak-out agreements, which govern the manner in which such Lockup Parties may sell,
transfer or dispose of their shares of common stock during the 21-month period following the Closing.

Changes to Management

Concurrently with the Closing of the Exchange Agreement, Dante Jones resigned
as an executive officer and director of the Company; George Furlan was appointed as chief executive officer, president and chief financial
officer of the Company, and as a non-independent director of the company. Eric Bruns and Dionne Pendelton were appointed as independent
directors of the Company. The contracting parties agreed to indemnify each other for any losses that may be incurred by them as a result
of their breach of any of their representations, warranties and covenants contained in the Exchange Agreement.

On April 2, 2025, the Company issued 247,250 shares
of its common stock to