Clarity on the USD 2.4
million Debenture conversion and outstanding
interest
/NOT FOR DISTRIBUTION IN THE UNITED
STATES OR TO U.S. NEWSWIRE SERVICES/
VANCOUVER, BC, March 18, 2021 /CNW/ - H-Source Holdings
Ltd. ("H-Source" or the "Company") (TSXV: HSI)
(OTCQB: HSCHF), an innovative leader in the AI & SAAS based
technology platform, and seeking to revolutionize the Global
Healthcare procurement, logistics & distribution supply chain,
today is providing further clarity on the Press Release issued on
March 4, 2021, which announced plans
to issue common shares to satisfy the approximately USD
$2.4 million outstanding principal
amount and the outstanding interest amount of the 12% unsecured
convertible debentures issued in 2019 (the "2019
Debentures"). The Company proposes to issue common shares
to settle the accrued and unpaid interest ("Shares for Debt
Settlement") on the 2019 Debentures through March 17, 2021 in the amount of USD $492,110 (CAD $644,811). The pricing of the shares to be
issued in this transaction is subject to TSX Venture Exchange
policy and will be based on the market price at the time of
settlement. The Shares for Debt Settlement is subject to the
approval of the TSX Venture Exchange. The common shares
issued pursuant to the Shares for Debt Settlement will be subject
to a four month hold period from the date of issuance.
The accrued and unpaid interest on debentures held by two
insiders of the Company is included in this transaction. Such
participation constituted a "related party transaction" within
Multilateral Instrument 61-101 – Protection of Minority Security
Holders in Special Transactions ("MI 61-101"). The
issuance to the insiders is exempt from the formal valuation and
minority shareholder approval requirements of the MI 61-101 as the
securities will not represent more than 25% of the Company's market
capitalization, as determined in accordance with MI 61-101.
The Shares for Debt Settlement has been approved by the directors
of the Company.
John Kupice (CEO of H-Source)
stated: "All of the debenture holders who have agreed for the
conversion, are delighted at the additional interest accrued, and
to be paid in shares of the Company. We are very pleased with
the support of our partners and welcome the ownership stake".
John Kupice further comments:
"These conversions will significantly improve our balance sheet and
support enhanced access to capital financing. As the management
continues to execute on its growth plans and build shareholder
value, we believe it is important to show the strength in its
financial position. We look forward to continuing to aggressively
pursue our growth strategy in both the United States and globally".
About H-Source Holdings
Ltd.
H-Source Holdings Ltd. is a proprietary, patented
technology company operating within the healthcare industry through
its wholly-owned subsidiary, H-Source, Inc. The Company has
developed an advanced technology solutions stack that provides
participating members a private, secure, Software As A Service
("SAAS") platform to engage in the buy, sell, track, and
transfer of medical supplies, pharmaceuticals, capital equipment,
and medical devices. Integrating advanced Artificial Intelligence
("AI") and Business Intelligence ("BI") enhance the data analytics
for supply chain optimization. The platform is FDA and DSCSA
compliant for pharmaceuticals and GS-1 UDI/GTIN for devices
including serialization, ownership, and custody in extended
modules. Blockchain is offered as an add-on, at an additional cost,
for robust security and traceability. Additionally, the H-Source
platform provides all the accounting and data allowing buyers and
sellers to capture product transactions and custody
movements. This platform is designed to increase and
maximize supply chain efficiency while reducing costs by moving
products directly from manufacturers, providers, and distributors
to businesses or consumers. For more information,
please visit http://h-source.com/.
On behalf of the board of directors of H-Source Holdings
Ltd.
John Kupice
CEO & Director
CAUTIONARY DISCLAIMER STATEMENT: The TSXV has not
reviewed and does not accept responsibility for the adequacy or
accuracy of the content of this news release.
This news release contains forward-looking statements
relating to the completion of the listing of the Company's shares
on the TSXV and other statements that are not historical facts.
Forward-looking statements are often identified by terms such as
"will", "may", "should", "anticipate", "expects" and similar
expressions. All statements other than statements of historical
fact, included in this release are forward-looking statements that
involve risks and uncertainties. There can be no assurance that
such statements will prove to be accurate and actual results and
future events could differ materially from those anticipated in
such statements. Important factors that could cause actual results
to differ materially from the Company's expectations include the
failure to satisfy the conditions of the TSXV and other risks
detailed from time to time in the filings made by the Company with
securities regulations.
The reader is cautioned that assumptions used in the
preparation of any forward-looking information may prove to be
incorrect. Events or circumstances may cause actual results to
differ materially from those predicted, as a result of numerous
known and unknown risks, uncertainties, and other factors, many of
which are beyond the control of the Company. The reader is
cautioned not to place undue reliance on any forward-looking
information. Such information, although considered reasonable by
management at the time of preparation, may prove to be incorrect
and actual results may differ materially from those anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement. The
forward-looking statements contained in this news release are made
as of the date of this news release and the Company will update or
revise publicly any of the included forward-looking statements as
expressly required by applicable law.
SOURCE H-Source Holdings Ltd.