The company announced the execution of an agreement with an arm’s length service provider to convert $1.44 Million of debt into 4,520,000 common shares of the Company (“Shares”), currently equal to $180,800 based on the current market price of the Shares. 4,000,000 Shares are being issued at a price of $0.355 per Share and 520,000 Shares are being issued at a price of $0.04 per Share. The Company, with the service provider’s consent, is determined to satisfy the indebtedness of these one-time go-public related fees with Shares in order to preserve the Company’s cash for working capital.
Monica Ruffo, founder and CEO of Well Told, stated, “We are pleased to have come to an agreement that will serve to lighten our balance sheet and preserve our cash and enable us to move on from these one-time go-public fees without putting pressure on our cash flow”.
The transaction is subject to the approval of the directors of the Company and regulatory approval from the TSX Venture Exchange (the “Exchange”). In addition, all of the Shares issuable pursuant to the transaction will be subject to a four-month hold period following which 4,000,000 Shares will be released from lock-up every four months for a one-year period.
