(via TheNewswire)
Debentures Restructuring
ZeU has entered into amending agreements with debenture holders to amend the terms of
These Original Debentures have a floor conversion price of
Today's announcement covers all but one of the Canadian debenture holders. Based on the on-going discussions with the last remaining Canadian entity, Management expects to have the agreement formalized within the coming days. Management is also in communication with the Chinese debenture holders. As of today,none of these investors have entered into the new agreement, and
New Debentures Terms
Under the terms of the amended debentures (the "Amended Debentures"), the maturity date has been extended two years from
(i)the floor conversion price of the principal amount of the Debentures has been reduced from
$1.00 to$0.25 per common share;(ii)the interest has beenraised from 10% to 12%;
(iii)the Amended Debentures now rank inpriority of all unsecured debts; and
(iv)the Company issued2 years,
$0.30 common share purchase warrantsof ZeU for every tranche of$0.25 of Original Debenture principal amount amended. The proceeds of the warrants will be used to buy back the debentures if it has not been repaid or converted at the time of the warrants exercise.
The Company is also agreed to assign 30% of all net private placement proceeds, minus the insiders' subscriptions, and 60% of its future profits to repay the debentures in priority until the debt is settled in full.
The amendments are subject to approval by the CSE.
Equity Financing
Management has determined that a bridge financing is needed as the Company is still months away from profitability. In the coming week, the Company will offer an equity financing for a minimum of 1,000,000 units up to 3,000,000 units at a price of
Debt Settlement, Shares for Debt
The company plans to offer certain creditors the opportunity to be paid in shares and plans to issue shares for debt for up to
St-Georges Eco-Mining Debt
A secured note of
Annual and Special Meeting of Shareholders: New Date
The easing of the governmental restrictions in regard to the Covid-19 pandemic is now allowing the Company to conduct its Annual Meeting in a more traditional venue. However, due to the interest from shareholders to attend virtually, the Company will provide an economical alternative to attend to the meeting via the
Teleconference access set forth hereinbelow, for the following purposes:
1. to receive and consider the audited financial statements of the Corporation for the financial year ended
2. to set the number of directors of the Corporation at six (6) for the ensuing year;
3. to elect the Board of Directors of the Corporation for the ensuing year;
4. to appoint the auditor of the Corporation for the ensuing year and to authorize the Board of Directors to fix the auditor's remuneration;
5. to consider and, if deemed advisable, to pass, with or without variation, a special resolution, approving a change of name of the Corporation to "
6. to transact such other business as may be properly brought before the meeting or any adjournment thereof.
Teleconference access:
Canada Toll:+1-416-915-8942
Canada Toll Free:+1-855-244-8680
Attendee access code:863 410 05
Having trouble dialing in? Try these backup numbers:
US Toll free:+1-855-797-9485
US Toll:+1-415-655-0002
Global call-in numbers: https://mcmillanllp.webex.com/mcmillanllp/globalcallin.php?MTID=m0baffba864cda22811b141026f0da7ee
Toll-free dialing restrictions: https://www.webex.com/pdf/tollfree_restrictions.pdf
IN LIGHT OF THE RAPIDLY EVOLVING PUBLIC HEALTH GUIDELINES RELATED TO COVID-19, THE CORPORATION ENCOURAGES THAT ALL SHAREHOLDERS VOTE THEIR SHARES BY PROXY AND ATTEND THE MEETING VIA TELECONFERENCE AND NOT IN PERSON.
A Q&A period open to the public will follow the meeting on Reddit and Agoracom platform.
ON BEHALF OF THE BOARD OF DIRECTORS
"Frank Dumas"
President & CEO
About ZeU
ZeU is a forward-thinking Canadian technology company that has developed a state-of-the-art blockchain protocol, providing the foundation for the next-generation of encrypted and distributed networks. Thanks to its high level of sophistication, ZeU's technology maximizes transparency, security and scalability as well as big data management. ZeU's strategy is to monetize blockchain transactions in diverse sectorssuch as payment, gaming, data, and healthcare.
The Canadian Securities Exchange (CSE) has not reviewed and does not accept responsibility for the adequacy or the accuracy of the contents of this release.
Copyright (c) 2020 TheNewswire - All rights reserved.
Copyright (c) 2020 TheNewswire - All rights reserved., source