SIGNAL BAY, INC. (OTCMKTS:SGBY) previously reported that it finalized a Letter of Intent to buy a majority interest in a functional medical marijuana testing and research labs to look after statewide requirements. The compliance and technical science team that have been associated with the facility since 2014 will be retained. The letter of intent was supposed to be closed by May 31, 2015.

The update

Signal Bay received various queries related to the acquisition and considered it wise to file an 8-K to answer all shareholders. When asked about the status of the acquisition of the laboratory, the management reported that they have completed due diligence of the testing and research lab and have mutually given consent to a target closure date of June 30, 2015.

Signal Bay management said that the testing and research lab is based in Oregon as medical marijuana has been legalized in the state since 1998. The recreational marijuana also got approval by voters on Measure 91 last year with an effective date of July 1.

The other highlights

When asked Signal Bay since how long the lab has been operational, the management said that the lab commenced over a year ago. Since then it has been offering testing and compliance expert services for licensed Medical pot Dispensaries as per the guidelines of the Oregon Health Authority.

William Waldrop, the CEO of SIGNAL BAY, INC. (OTCMKTS:SGBY) said that as growing legalized marijuana industry research offers practical assessment and research income openings, the company is confident of the planned measures in future. The company through its wholly owned subsidiary firms Signal Bay Services, Inc. and Signal Bay Research, Inc. offers research, analysis, operating and advisory services to the medical marijuana industry.

In last trading session, the stock price of SGBY declined more than 18% to close the trading session at $0.0237 on share volume of 77,741.