Note 14 - Subsequent Events

Legal Proceedings

Please refer to Note 11 for further discussion.

Appointment of CEO and Director

Effective as of July 17, 2023, the Company appointed Richard Proud as Chief Executive Officer and Director on the Board. Effective immediately upon the appointment of Mr. Proud as Chief Executive Officer, Robert Galvin's tenure as the Company's Interim Chief

Executive Officer concluded. Mr. Galvin will continue in his position as the Company's Interim Chief Operating Officer. Mr. Proud's control of the Company's Massachusetts subsidiaries is subject to the approval of the Massachusetts Cannabis Control Commission, which remains pending.

Commencement of Maryland Adult-Use Operations

On July 1, 2023, ICH's wholly-owned and/or controlled subsidiaries, GreenMart of Maryland, LLC ("GMMD"), LMS Wellness, Benefit LLC ("LMS"), Budding Rose, Inc. ("Budding Rose") and Rosebud Organics, Inc. ("Rosebud") commenced adult-use operations in Maryland. GMMD, LMS and Budding Rose each holds a license to operate a co-located medical and adult-use dispensary and Rosebud holds a license to operate a co-located medical and adult-use processing facility.

Sale of Nevada Assets

On August 8, 2023, ICH's wholly-owned subsidiary, GreenMart of Nevada NLV, LLC ("GMNV") entered into an Asset Purchase Agreement (the "NV Purchase Agreement") with Phoenix Group Reno, LLC, Phoenix Group Henderson, LLC, Phoenix Group LV, LLC and Hash House Brands, LLC (collectively, the "Buyer"), pursuant to which, GMNV agreed to sell substantially all of the assets of GMNV to the Buyer. GMNV currently operates a co-located medical and adult-use cultivation and production facility in North Las Vegas, Nevada and an adult-use dispensary in Las Vegas, Nevada and holds two conditional adult-use dispensary licenses to be located in Henderson and Reno, Nevada (the "Business"). The aggregate proceeds to be received from the sale are $4 million (the "Purchase Price"), subject to adjustments to be determined on the date of approval of the NV Management Agreement (as defined below). The closing of the NV Purchase Agreement is subject to, among other customary conditions, receipt of approval of the Nevada Cannabis Compliance Board (the "NV CCB"). On August 8, 2023, GMNV also entered into a Management Agreement (the "NV Management Agreement"), pursuant to which, the Buyer's affiliated entity, KaiZen Group, LLC (the "Manager"), will assume full operational and managerial control of the Business, subject to the approval of the NV CCB, which remains pending. Of the total Purchase Price, $3.5 million is paid in cash and the remaining balance of the Purchase Price is paid on a monthly basis, beginning ninety (90) days after receipt of approval by the NV CCB of the NV Management Agreement, pursuant to a Promissory Note dated August 8, 2023.