YZi Labs Refutes “Secret Side Agreement” Claims by BNC and Confirms SSA Termination
YZi Labs has officially terminated its Strategic Services Agreement (SSA) with BNC, clarifying that the termination was fully disclosed and known to BNC's Board and legal counsel. The company refutes claims from BNC suggesting that it was blocking amendments through a secret agreement, emphasizing transparency in their dealings. This situation highlights ongoing tensions between YZi Labs and BNC, but also underscores YZi Labs' commitment to clear communication and legal compliance.
TLDR: YZi Labs formally terminated the SSA on Dec 11, 2025, with full notice to BNC Board. The SSA was publicly disclosed in Schedule 13D and consent solicitation filings. YZi Labs repeatedly offered to waive all fees to support AMA amendments. No agreement involving YZi Labs currently blocks any changes to the Asset Management Agreement. YZi Labs, a major stockholder of CEA Industries Inc. (NASDAQ: BNC), issued a statement responding to claims made in BNC’s February 4, 2026 press release. The company rejected assertions that it blocked amendments to 10X Capital’s Asset Management Agreement (AMA) through a secret agreement. YZi Labs emphasized that the Strategic Services Agreement (SSA) was formally terminated on December 11, 2025, and disclosed in multiple filings, ensuring full transparency to BNC’s Board, management, and stockholders. Strategic Services Agreement Was Fully Disclosed YZi Labs clarified that the SSA was negotiated and executed with full awareness of BNC, its Board, and legal counsel. Hans Thomas, CEO of 10X Capital and BNC director, along with Alexander Monje, Chief Legal Officer of 10X Capital, directly participated in negotiating the SSA. Two additional individuals with connections to both 10X Capital and BNC management—Russell Read and David Namdar—were fully aware of the agreement’s terms. YZi Labs stated, “It is appalling for BNC to now suggest that the SSA was undisclosed or secretive.” The company highlighted that legal counsel, including Winston & Strawn LLP, advised 10X Capital regarding the SSA, confirming procedural compliance. YZi Labs issued a statement today responding to misinformation in BNC’s latest press release. Claim: YZi Labs is blocking amendments via a "secret" agreement. Fact: YZi Labs formally terminated the Strategic Services Agreement (with BNC's full knowledge) via written… — YZi Labs (@yzilabs) February 5, 2026 The SSA was publicly disclosed by YZi Labs in its Schedule 13D filing on November 26, 2025, with a copy of ...
Comments
Log in to comment